On a $30,000 car loan at 6%, 60 months costs $579.98 a month and $4,799 in interest. Stretching to 72 months lowers the payment to $579.98 but raises interest to $4,799.
The trade-off in one line
A longer loan lowers the monthly payment because the debt is spread over more months. It also keeps the balance outstanding longer, so you pay interest for longer.
Between 36 and 72 months, the interest difference on this loan is $0. The table shows every term side by side.
How to choose
Pick the shortest term whose payment fits your budget without strain. A short term costs less overall; a long term protects monthly cash flow but costs more and leaves you owing more than the car is worth for longer.
Rates often differ by term, so run the calculator with the exact rate each lender quotes for each term.
| Months | Monthly payment | Total interest | Total paid |
|---|---|---|---|
| 36 | $579.98 | $4,799 | $34,799 |
| 48 | $579.98 | $4,799 | $34,799 |
| 60 | $579.98 | $4,799 | $34,799 |
| 72 | $579.98 | $4,799 | $34,799 |
FAQ
What is the cheapest car loan term?+
The shortest one you can afford. At the same rate, $4,799 in interest over 36 months against $4,799 over 72 months.
Does this include fees and taxes?+
No. The figures cover principal and interest at a fixed rate. Add fees to the amount borrowed in the calculator to include them.