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Debt & Loan Management
Auto Loan / Car Lease Calculator
Calculate your monthly car payment and compare the true cost of buying vs leasing a vehicle.
Use this auto loan vs car lease calculator to make an informed decision at the dealership. For buying: enter your vehicle price, down payment, loan rate, and term to find your monthly payment and total cost. For leasing: enter the residual value percentage and money factor (available from the dealer) to calculate your true lease payment. The side-by-side comparison shows which option costs less over the same time period — though it also highlights the equity difference.
🚗 Vehicle & Loan Details
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Enter vehicle and financing details to compare buying vs leasing costs.
Frequently Asked Questions
Buying wins long-term: lower total cost once the loan is paid, no mileage restrictions, equity built, lower insurance requirements. Leasing wins short-term: lower monthly payments, always driving new cars, tax deductions for business use. If you drive 12,000+ miles/year and keep cars 6+ years, buying is almost always cheaper.
Multiply the money factor by 2,400 to get the approximate annual percentage rate. Money factor 0.00125 × 2,400 = 3% APR. Money factor 0.002 × 2,400 = 4.8% APR. Always ask the dealer for the money factor to calculate your true financing cost.
The residual value is the estimated worth of the vehicle at the end of the lease term, expressed as a percentage of MSRP. A higher residual means lower monthly payments because you're only financing the depreciation. Luxury/slow-deprecating vehicles often have 55–65% residuals; economy cars 40–50%.