A $50,000 car loan at 7% interest for 60 months (5 years) has a monthly payment of $990. Over the life of the loan, you will pay $9,404 in total interest, making the total cost $59,404.

Key Numbers

• •Monthly payment: $990
• •Total interest over 60 months: $9,404
• •Total cost of the loan: $59,404
• •A 72-month loan lowers the payment to $852 but adds $1,973 in interest