Skip to content
ENExplore Calculators

Car Payment with Trade In

Free Car Payment with Trade In calculator with clear step-by-step results.

About Car Payment with Trade In

The number that matters on a trade-in is net equity, not the appraisal. Subtracting the outstanding loan from the appraised value can leave a negative figure, which then gets added to the new loan rather than reducing it - this calculator handles that case explicitly.

Formulas

Net equity

Equity = trade-in appraisal - remaining loan payoff

Monthly payment

Payment = financed amount x r / (1 - (1 + r)^-n)

Worked example

With the default values below, Car Payment with Trade In returns Monthly payment of $489.15. Change any input above and every figure here is recalculated in your browser.

Inputs used

Negotiated vehicle priceminimum 0 $
32,000 $
Trade-in appraisalminimum 0 $
8,000 $
Loan still owed on the trade-inminimum 0 $
3,000 $
Cash down paymentminimum 0 $
2,000 $
APRaccepts 0–40 %
6.5 %
Termaccepts 6–120 months
60 months

Results

Monthly payment
$489.15
Amount financed
$25,000.00
Net trade-in equity
$5,000.00
Total interest over the term
$4,349.22

Step by step

  1. 1Values used
  2. 2Net equity
  3. 3Monthly payment
  4. 4Monthly payment= $489.15
  5. 5Amount financed= $25,000.00
  6. 6Net trade-in equity= $5,000.00
  7. 7Total interest over the term= $4,349.22

Assumptions and limits

  • The result is derived only from the 6 inputs listed above. Anything not among them is not part of the calculation.
  • In particular, this calculator does not take inflation, tax, fees or charges or compounding frequency into account.
  • Figures are rounded for display to 2 decimal places, so totals built from several rounded parts can differ slightly from the unrounded arithmetic.

How these calculators are built and tested is described on the Methodology page. If a figure looks wrong, please report it.

Frequently Asked Questions

What happens if I owe more than the trade is worth?

The negative equity rolls into the new loan, so the amount financed exceeds the vehicle price. The calculator shows negative net equity and a correspondingly larger financed amount.

Should I negotiate price and trade-in together?

Negotiate them separately. Dealers can quietly move value between the two and still hit the payment you asked for while making more on the deal.

Related Calculators

Car Payment with Trade In | Calcrivo