How long should my car loan be?

Is it better to get a longer loan and save on the monthly car payment? While going over financing options I was given the choice between 48, 60, and 72 months. The payments are less the longer I go, but the total amount that I will pay for the car increases with the longer loan.

Answer provided by
Johnny Puckett
Answered on Jul 07, 2021
Johnny Puckett is a freelance writer and automotive expert. He has contributed content to a number of some of the largest online publications, aftermarket automotive manufacturers’ sites, and automotive informational sites. His experience in the automotive and information fields informs his writing at Jerry. His automotive interests bleed into his free time, where he enjoys modifying his favorite cars and woodworking.
“If you can afford the monthly payments, it would be best to go for the shortest loan available. A 72-month loan can cost you far more in interest in the long run than the car is worth.
If you can’t afford the monthly payments of a shorter loan, go for a longer loan and pay extra each month. The longer loan will give you a little bit of leeway for those tight months and paying the loan off early will save you money in the end.
Another option is to pay as large of a down payment you can afford to help lessen the overall loan balance.”

Did this answer help you?

Ask us a question by email and we will respond within a few days.

Have a different question?

You can meet us at our office and discuss the details of your question.

Easiest way to compare and buy car insurance

No long forms
No spam or unwanted phone calls
Quotes from top insurance companies