Auto Refinance Interest Savings Calculator
Use this calculator to see how much interest you can save by refinancing your auto loan.
How the auto refinance interest savings calculator works
It computes your current payment from the remaining balance, rate and months left, then the payment at the new rate over the same term, and multiplies the monthly saving by the number of payments to find the total interest you avoid.
Worked example: with current loan balance of $22,000, current interest rate of 9.50% and new interest rate of 6.50%, the auto refinance interest savings calculator shows total interest saved of $1,487.
- Current payment
- $552.71
- New payment
- $521.73
- Monthly saving
- $30.98
- Interest saved
- $1,487
The formula
Each payment = balance × r ÷ (1 − (1 + r)⁻ⁿ). Interest saved = (old payment − new payment) × remaining months.
Results are estimates for educational purposes and are not financial advice. Confirm exact figures with your lender, plan administrator or advisor.
Questions about the auto refinance interest savings calculator
Is it worth refinancing my car loan?
If a meaningfully lower rate is available and you have time left on the loan, yes — refinancing keeps the same payoff date while cutting the interest. The calculator quantifies the saving.
Does refinancing extend my loan?
It can, but this calculator holds the term constant so you compare the rate effect alone. Extending the term lowers the payment but can erase the interest savings.
Are there costs to refinance an auto loan?
Sometimes small title or lien fees. They are usually modest, but weigh them against the interest saved, which this estimate excludes.
Is the Auto Refinance Interest Savings Calculator free to use?
Yes. Every calculator on FinCalculators is completely free, with no sign-up, login or paywall. You can run as many scenarios as you like.