Car loan calculator
Work out the payment on a car loan from the price, your deposit and your lender's rate, and see how much interest you'll pay. Uses the same payment maths as our mortgage calculator.
Your payment
How this is calculated
The loan is the car's price minus your deposit. The regular payment is the standard level-payment formula, where r is the annual rate divided by the number of payments a year and n is the total number of payments:
Each payment first covers the interest on the remaining balance; the rest reduces the balance. We run the whole schedule in cents, and the final payment is adjusted by a few cents so the balance ends at exactly zero. Rates vary by lender and borrower; always use the rate you are quoted.
Worked example
A $35,000 car with a 10% deposit ($3,500) leaves a loan of $31,500.00. At the starting rate of 10% over 5 years:
- Monthly payment: $669.28
- Total interest over 5 years: $8,656.93
- Total repaid: $40,156.93
Frequently asked questions
How is a car loan payment worked out?
The same way as a mortgage: the loan (price minus your deposit) is repaid in equal payments that cover the interest on the remaining balance and pay down a little more of the loan each time.
How long can a car loan be?
Most lenders in The Bahamas offer car loans of five to seven years at most, depending on the car's age and your income. A longer loan lowers each payment but costs more interest in total.
What else should I budget for?
Insurance, the yearly licence and inspection fees, and, if you are bringing the car in yourself, excise duty, the environmental levy and VAT. The related tools below estimate those.
This is an estimate for planning only. Confirm figures with the relevant government department, your bank or a qualified professional before making decisions. See our terms.