Car Loan Calculator
Calculate flat-rate loan instalments, total interest and effective annual interest from your lender quote.
Calculate your monthly car loan instalment using flat interest rates. Enter the flat rate from your lender’s quote. Fees and balloon payments are excluded.
Loan Details
Monthly Instalment
S$1,422.14
for 7 years at 2.78% p.a.
Loan Summary
Effective annual rate, excluding fees: 5.31%. Monthly instalments are rounded; the lender may adjust the final payment.
Principal vs Interest
How this calculator works
Flat interest is charged on the original principal for the entire term. Total interest is calculated first; rounding the displayed monthly payment does not change that total.
interest = principal × annual_flat_rate × years
payable = principal + interest
monthly = payable / (years × 12)The effective annual rate is solved from equal monthly payments and annual compounding. It assumes the full principal is received initially and each payment is made at the end of the month. It excludes fees; it is not a fixed multiple of the flat rate.
New-car financing limits
| OMV | Maximum loan / purchase price | Maximum term |
|---|---|---|
| Up to S$20,000 | 70% | 7 years |
| Above S$20,000 | 60% | 7 years |
LTV depends on the applicable OMV, not on choosing a shorter loan. The purchase price includes COE and taxes. Use the affordability calculator to check the down payment. For used cars, confirm the applicable OMV and loan term with the lender.
Source: MAS motor vehicle financing limits.
Worked examples
| Years | Monthly | Interest | Effective annual rate |
|---|---|---|---|
| 5 | S$1,898.33 | S$13,900.00 | 5.37% |
| 7 | S$1,422.14 | S$19,460.00 | 5.31% |
What this calculator does not capture
This models equal monthly instalments without fees, early settlement charges, financed insurance or balloon payments. The lender may adjust the last payment for rounding. Loan eligibility and deposit requirements are separate from this repayment calculation.
Frequently asked questions
- How is flat-rate interest calculated?
- Multiply the original principal by the annual flat rate and the number of years. The service calculates interest before rounding monthly instalments.
- Does the effective annual rate include fees?
- No. It is calculated from equal monthly payments, assuming the full loan amount is received at the start. Fees, balloon payments and early settlement charges need a separate assessment.