Car Loan Calculator
Work out your monthly car loan repayments. Enter the vehicle price, your deposit, the APR offered by your lender, and the loan term to see the total cost of borrowing.
Frequently asked questions
What is a car loan?
A car loan (also called a personal loan for a car) is an unsecured or secured loan used to buy a vehicle. You repay the full amount plus interest in equal monthly instalments over a fixed term. Unlike PCP or HP, you own the car outright from day one (if unsecured) or once the loan is repaid (if secured).
What APR should I expect on a car loan in the UK?
Typical UK car loan APRs range from around 3% for borrowers with excellent credit to 15%+ for those with lower credit scores. Dealer finance often quotes flat rates which look lower than the true APR, so always compare the APR, not the flat rate.
Is a car loan the same as HP?
Not exactly. A personal car loan gives you immediate ownership, while Hire Purchase (HP) means the finance company owns the car until the final payment. Both involve fixed monthly payments over a set term with no balloon payment at the end.
Can I pay off a car loan early?
Yes. Under the Consumer Credit Act, you can settle a car loan early and receive a rebate on future interest. Your lender may charge up to 58 days of additional interest as an early settlement fee. Use our early settlement calculator for an estimate.
These calculations are estimates based on 2026/27 HMRC and DVLA rates. Speak to a lender or qualified financial adviser for a personalised quote.