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Home Equity Loan vs. Auto loan Calculator

Home equity loans generally often have lower interest rates than auto loans. One good reason to take a look at home equity loans to finance your automobile purchase.
By changing any value in the following form fields, calculated values are immediately provided for displayed output values. Click the view report button to see all of your results.
A home equity loan could save you $1,329.65
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Monthly Loan Payments Column Graph: Please use the calculator's report to see detailed calculation results in tabular form.
Total Payments Column Graph: Please use the calculator's report to see detailed calculation results in tabular form.

Definitions

Term

Number of months for the auto loan.

Auto loan interest rate

Annual interest rate for the auto loan.

Fees

Fee charged for title transfer. Also include any other fees that may be due at delivery.

Home equity interest rate

Annual interest rate for the home equity loan. Home equity loan interest, as of January 1st 2018, is no longer an allowable itemized deduction on your income taxes.

Home equity closing costs

Any additional costs to the home equity loan. This should include any appraiser fees, points paid or other miscellaneous fees.

Monthly payment

Monthly payment for your auto financing.

Total purchase price (before tax)

This is the total cost of your auto purchase. Include the cost of the vehicle, additional options and destination charges. Don't include sales tax in this amount. Sales tax will be calculated for you and included in your total after-tax price.

Rebates and cash down

Total amount of cash and/or factory rebates used in this purchase. The larger your cash down payment the smaller the loan you will need to finance this purchase.

Trade allowance

The total amount that you are given for any automobile that you trade-in as part of this purchase. In some states a trade-in can also reduce the amount of sales tax you will owe. See the definition for "No sales tax deduction for trade-in" for more information on trade-in vehicles and sales tax.

Amount owed on trade

Total loan balance still outstanding on the trade-in.

Sales tax rate

Sales tax percentage rate charged on this purchase.

No sales tax deduction for trade-in

If you live in a state where your sales tax is calculated on your full purchase price, check this box. If this box is unchecked, sales tax is calculated on the purchase price less trade-in. Currently California, the District of Columbia, Hawaii and Michigan allow no deductions for trade-ins when calculating sales tax. In addition, Alaska, Delaware, Montana and New Hampshire have no sales tax on auto purchases. Oregon currently only collects tax on new vehicles.

MTC Federal Credit Union
PO Box 1944
Greenville, SC 29602

Information and interactive calculators are made available to you only as self-help tools for your independent use and are not intended to provide investment or tax advice. We cannot and do not guarantee their applicability or accuracy in regards to your individual circumstances. All examples are hypothetical and are for illustrative purposes. We encourage you to seek personalized advice from qualified professionals regarding all personal finance issues.