Auto Refinance Savings CalculatorFree online financial calculator — instant results, no sign-up
Compare remaining auto payments with a new loan including financed refinance fees.
Estimates only, based on the inputs and assumptions shown. This is not financial, investment, tax, or legal advice. Prices, rates and local rules may change; crypto scenarios do not predict returns. Confirm important decisions with a qualified professional.
Sign in to save results and favorites.
About the Auto Refinance Savings Calculator
The Auto Refinance Savings Calculator compares the payments left on your current auto loan with payments on a replacement loan that includes financed refinance fees. It estimates your new monthly payment, monthly payment reduction, and total remaining payment savings so you can weigh a lower rate against fees and a different repayment term.
- Current balance ($)
- The outstanding principal on your current auto loan, in dollars; the default is $22,000.
- Current rate (%)
- The annual interest rate on your current auto loan, expressed as a percentage; the default is 9%.
- Remaining term (months)
- The number of monthly payments remaining on your current loan; the default is 48 months.
- New rate (%)
- The annual interest rate offered for the refinance loan, expressed as a percentage; the default is 6%.
- New term (months)
- The number of monthly payments scheduled for the refinance loan; the default is 48 months.
- Financed fees ($)
- The refinance fees added to the new loan principal rather than paid upfront, in dollars; the default is $200.
Formula and method
Let A(P, r, n) = P × r / [1 − (1 + r)^(−n)] when r > 0, and A(P, 0, n) = P / n. Monthly rates are r_c = i_c / 1200 and r_n = i_n / 1200. Current payment: M_c = A(B, r_c, n_c). New payment: M_n = A(B + F, r_n, n_n). Monthly reduction: D = M_c − M_n. Total remaining payment savings: S = M_c × n_c − M_n × n_n.
- A(P, r, n)Monthly payment for a fully amortizing loan with principal P, monthly interest rate r, and n monthly payments.
- BCurrent outstanding auto loan balance in dollars.
- FFinanced refinance fees in dollars, added to the new loan principal.
- i_c, i_nCurrent and new annual interest rates entered as percentage values, such as 9 and 6.
- r_c, r_nCurrent and new monthly interest rates expressed as decimals.
- n_c, n_nRemaining current-loan term and new-loan term in months.
- M_c, M_nEstimated current and new monthly payments in dollars.
- DMonthly payment reduction in dollars.
- STotal remaining payment savings in dollars over the respective loan terms.
Convert each annual percentage rate to a monthly decimal rate. Calculate the current payment from the outstanding balance and remaining term, then add financed fees to the balance and calculate the new payment using the refinance rate and term. Subtract the new payment from the current payment, and compare each payment multiplied by its respective number of months. Keep full precision during calculations and round displayed dollar results to cents. With a $22,000 current balance, a 9% current rate, 48 months remaining, a 6% new rate, a 48-month new term, and $200 in financed fees, the new loan principal is $22,200. The results are New payment = $521.37; Monthly reduction = $26.10; Total remaining payment savings = $1,252.96.
Worked example
These are the calculator's starting values and the results it actually produces for them.
Inputs
- Current balance22000 $
- Current rate9 %
- Remaining term48 months
- New rate6 %
- New term48 months
- Financed fees200 $
Results
- New payment$521.37
- Monthly reduction$26.10
- Total remaining payment savings$1,252.96
How to use the Auto Refinance Savings Calculator
- 1Enter your current outstanding balance and annual interest rate from your loan records.
- 2Enter the number of months remaining on your current repayment schedule.
- 3Enter the proposed refinance interest rate and new term in months.
- 4Enter all refinance fees that will be rolled into the new loan balance.
- 5Review the new payment, monthly reduction, and total remaining payment savings together, especially if the new term differs from the remaining term.
Reading your result
New payment is the estimated monthly principal-and-interest payment on the refinanced balance, including financed fees; the default result is $521.37. Monthly reduction is the estimated current payment minus the new payment; the default $26.10 is a decrease, while a negative result would mean a higher monthly payment. Total remaining payment savings compares all scheduled payments left on the current loan with all scheduled payments on the new loan; the default $1,252.96 indicates lower total payments after refinancing. A negative total means the refinance would cost more in scheduled payments. Multiplying a rounded monthly reduction by the term may not exactly match total savings because calculations use unrounded payments.
Limitations
The calculator assumes fixed rates, equal monthly payments, and fully amortizing loans with no balloon payment. It reconstructs the current payment from the entered balance, rate, and remaining term, so it may differ from your contractual payment. Daily interest accrual, payoff-date adjustments, lender rounding, late fees, and payment timing can change actual results. Only fees entered as financed fees are included; upfront costs and prepayment penalties are not automatically counted. Use the interest rate applied to the loan balance rather than an APR that incorporates fees, to avoid potentially counting fee costs twice. Total savings is a nominal payment comparison, not a present-value calculation, and a longer term may lower the monthly payment while increasing total cost. Results do not guarantee loan approval or the quoted refinance terms.
Common questions
How do the $200 in financed fees affect the default refinance comparison?+
They increase the new loan principal from $22,000 to $22,200. The new payment therefore includes repayment of those fees plus interest on them, and the total savings comparison already accounts for that cost.
Can refinancing lower my auto payment but increase my total payments?+
Yes. Extending the new term can spread repayment over more months and lower the monthly payment while increasing the total paid. Check total remaining payment savings rather than treating a positive monthly reduction as proof of overall savings.
Why might my current statement payment differ from the payment used here?+
This tool estimates your current payment using your balance, current rate, and remaining months. Extra principal payments, payment deferrals, daily interest calculations, or an approximate remaining term can make that estimate differ from your lender's scheduled payment.
Should I enter refinance fees that I will pay in cash?+
Not in the financed fees field, which adds fees to the new loan balance. To assess your net nominal savings, subtract any separately paid upfront fees or applicable payoff penalties from the displayed total remaining payment savings.
Does the calculator save my information?+
Calculations run in your browser. While signed in, inputs and results are automatically recorded in account history; saving a result creates a separate saved record.
Further reading
You might also like
Auto Loan Calculator
Monthly car payment including trade-in, tax and fees.
Cash Back or Low Interest Calculator
Decide between a cash rebate and a promotional rate.
Auto Lease Calculator
Monthly lease payment from price, residual and money factor.
Vehicle Out-the-Door Price Calculator
Estimate purchase total with a taxable trade-in credit and untaxed registration fees.
Vehicle Declining Value Calculator
Project vehicle value using a constant annual percentage loss.
EV Versus Gas Energy Cost Calculator
Compare energy costs using electricity drawn from the wall and gasoline consumption.
Results are estimates for informational purposes and are not financial, medical or legal advice.