Car loan refinance savings calculator
Enter your current balance, APR, and months remaining, then the rate you could refinance to. The calculator holds the term fixed and shows the old payment, the new payment, the monthly saving, and the total interest saved — so the saving you see comes from the rate, not from stretching the loan.
Refinancing $15,000 from 18.86% to 14.11% over the same 48 months changes the payment by $37 a month and total interest by $1,760.
| APR | Payment | Total interest | Total repaid | |
|---|---|---|---|---|
| Current loan | 18.86% | $447/mo | $6,475 | $21,475 |
| Refinanced | 14.11% | $411/mo | $4,715 | $19,715 |
| Difference | — | $37/mo | $1,760 | $1,760 |
Both sides use the same balance and the same remaining term. Extending the term when you refinance can lower the payment while raising the total cost — this calculator holds the term fixed so any saving shown comes from the rate alone. Estimates only: principal and interest, no lender fees, and not a quote, an offer of credit, or a credit decision.
Why the term is held fixed
The easiest way to make a refinance look good is to extend the term: the payment drops, the total cost rises, and the drop gets presented as a saving. Extending the term can lower the payment while raising what the loan costs you in total — which is why this calculator refuses to do it. If an offer you receive lowers the payment, check whether the rate actually fell or the term just got longer.
What to check before you apply
A refinance makes sense when your score has genuinely improved since you signed — typically after six to twelve months of clean payments — or when your original rate carried dealer markup. Compare the new APR against your tier average on rates by credit score, and watch for fees: a small rate improvement can be eaten by title and processing charges.