To calculate your car loan interest percentage (or, the APR), you can use a spreadsheet. You’ll just need to know the following information:
The monthly payment amount
The value of your loan before fees
If you don’t know your monthly payment amount, that’s okay! You can calculate it by typing in this formula:
=PMT(interest rate as a decimal/12, number of months in loan term, loan amount, with fees)
The result should be a negative number. You’ll use this number in the equation to calculate your APR:
=RATE(number of months in loan term, estimated monthly payment as a negative number, value of loan minus fees)*12
The result should be your approximate interest percentage rate, which you can use to compare your current loan to others that are available to you.
If you do decide to find a new loan, why not refinance with the Jerry
app? Just download the app to compare quotes from multiple lenders without the hassle of researching and sending documents to potential lenders. Jerry’s app instantly connects you with top companies to help you find a loan that best meets your needs.