| Period | Payment | Principal | Interest | Balance |
|---|
The same fixed-rate amortisation as a mortgage. P is the amount financed after deposit, tax, fees and trade-in; on PCP the balloon is left off that slice.
Pick a region first, then set price, deposit, APR and term. Open Fees & extras for trade-in payoff and arrangement fees.
A UK PCP looks cheap because a large optional final payment sits at the end. You still pay interest on the amortising slice, and the balloon is due if you want to keep the car. Treat it as money you owe, not a discount.
A common US rule: 20% down, no more than 4 years, and total car costs under about 10% of gross income. Strict, but it keeps you out of long underwater loans.
If you swap cars every three years, a long loan almost guarantees negative equity at trade-in. Match the term to how long you will actually drive it.
A longer term or a bigger balloon lowers the payment, and raises the interest. Compare the term cards for the trade-off, and expand the schedule for year-by-year totals before you choose on the monthly figure alone.
Standard fixed-rate amortisation on the amount financed: monthly rate r = APR/12, term n months. Interest is charged on the remaining balance, so early payments are mostly interest.
Hire purchase finances the whole amount after deposit — you own the car when the term ends. PCP leaves a balloon (GFV) unpaid during the term so monthly payments are lower; at the end you pay it, refinance, or return the car under the contract.
Often yes — many dealers roll state/local sales tax into the amount financed. This tool adds tax on the vehicle price by default for the US region; set the tax % to zero if you pay it up front.
Leases use residual value and money-factor pricing, not the same amortisation as a loan. This page covers purchase finance (loan / HP / PCP), not closed-end leases.
Credit-score pricing, dealer mark-ups, insurance, fuel, maintenance, early settlement fees, PCP mileage excess, GAP insurance, and tax treatment. Your lender's illustration is the figure that matters.
No. It is a reference calculator. Real offers depend on credit, dealer, fees, insurance, and (for PCP) contract mileage. Verify with your lender before you sign.
Releases in which this page changed, newest last. Derived from the archived copy of every release, not from notes written afterwards — so it reflects what actually shipped. Site-wide passes are left out; they are in the full changelog.