to spend on your car


per month


Click to edit rate

Car finance calculator

Ever struggled to figure out how car finance is calculated? Try our car finance calculator below. We’ve included helpful things such as how much interest you’ll be paying, how much your car payments will be each month, and the APR on your car finance.

Plan Breakdown

Interest rate

payments of


Final payment of


Total cost of credit


Option to purchase fee


Total payable


For illustration purposes only. The rate and budget you may be offered will be based on your individual circumstances. This is not an offer or a quote for finance.

Representative Example

Borrowing £10,000 over 54 months with a representative APR of 14.8%, an annual interest rate of 14.8% (Fixed) and a deposit of £0.00, the amount payable would be £250 per month, with a total cost of credit of £3,500 and a total amount payable of £13,501, including a one-off Option to Purchase fee of £1.

We offer hire purchase loans between £2,000 - £40,000 at a personalised APR between 6.9% and 24.9%

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How to use our car finance calculator?

To calculate your monthly loan repayments, simply enter your budget, your contract length and your APR. The numbers in our HP car finance calculator are subject to change and do not represent a quote or offer. They are for illustrative purposes only, to help you understand how to calculate car finance payments.

To get a better idea of how much your car finance payment would be, you can download our app and get your budget. Everything is handled online, the process is super easy, and all you need is your driving licence.

How to calculate what I can afford to spend on my car? 💸

Our Hire Purchase calculator can help you understand the amount you’d have to pay monthly, but this won't tell you how much you can afford to spend. You'll also need to think about your monthly affordability. You can follow the steps below and calculate how much car finance you can afford.

Affordability calculator

Calculate your disposable income


This is the amount you get paid into your account each month

How much do you spend each month on...


Hit calculate to see your estimated monthly disposable income


Now that you know what you can afford, use our car finance calculator to see how much you can spend on your car

The use of this Affordability Calculator to determine your disposable income is not a guarantee of the availability of credit facilities from Carmoola

Step 1: Your monthly income

How much do you earn each month? Is it a regular amount? If not, try to average out the past 6 months.

Step 2: Your monthly outgoings

How much do you spend each month? This amount should be your individual monthly spending on the following:

  • Housing (i.e. rent or mortgage)
  • Utilities and other bills (i.e. council tax, gas, electricity, water, home insurance, broadband, TV, mobile phone)
  • Food
  • Childcare
  • Commuting and car costs (i.e. commuting costs, car insurance, MOT, servicing, road tax)
  • Your monthly credit commitments (i.e. loans, credit cards)

Step 3: Calculate your monthly disposable income

Now you've got your monthly income and monthly spend, you can deduct the spend
from the income to see roughly what your monthly disposable income might be. For example, if you earn £1,500 per month, and you spend £1,000 per month, your disposable income would be £500.

When calculating your disposable income, you should always allow yourself a little buffer for any unplanned events or activities to ensure that you’ll be able to afford your monthly car loan repayments.

Step 4: Investigate your credit history

There's loads of free tools out there where you can find out more about your credit score. We really like Credit Karma, as they also give you cool tips on how to improve your credit score! If you're not familiar, you can start to get up close and personal with your score, and this could help you understand what sort of rate you might be offered by car finance companies.

Step 5: Calculator time!

Now you have everything to use our  hire purchase car finance calculator to see what sort of budget you could be working with, and how much it might cost to finance a used car. Don't forget, you may have some savings or an old car to part-exchange as part of the purchase.

Step 6: Get an accurate budget on Carmoola

If you're keen to upgrade your car, then you may want to get a budget for real! It takes 60 seconds in the app, and there's no paperwork or faff to worry about.

How are interest rates calculated?

Each lender has specific criteria that looks at your individual financial circumstances and calculates the interest rate based on these details. Car finance rates usually range between 6% and 30% APR. Car loan rates are subject to change.

Answer a couple of questions to find out if you might be eligible to buy your car with Carmoola!


See if you’re likely to be approved for a budget 🤞

  • Aged between 18 - 75
  • Live in the UK
  • Have a full driving licence
  • Buying a second hand car
  • Borrowing between £2K - £40k

How it works

Out with the old. Drive in with the new.


Get a budget in 60 seconds

In a few questions, find out how much you can spend on your car

Step 2

Buy your car from anywhere

Pay swiftly online with your card, or by bank transfer at the showroom

Step 3

Hit the road and pay monthly

Take full control of your account in the Carmoola app

See How Carmoola Works

No dealership commissions, no middlemen. Just you, and us 🥰


5 ⭐️ support

Got a question? Our friendly, UK-based team is here from 8am - 9pm EVERY day, via WhatsApp, email, SMS or phone.


“Such a simple way to get car finance and at a good rate too. Easy to use app with step by step process. Love the finance calculator, which allows you to adjust the amounts and see the payments instantly. Would definitely recommend!”




“Easy to use and to get a budget with their online calculator! The best part is the flexibility, you can choose how much within your allocated budget and for how long to repay. Will defo use again in the future. *****”




“Absolutely amazing service, super quick to respond and it couldn’t have been easier, I would 100% recommend Carmoola to anyone!”




“Not just a normal car Finance company!! Very fast and efficient and they make you feel like a valued family member, lots of unexpected after sales benefits that have been very much welcomed and appreciated too!!”




“Incredible experience! Omg! The way forward in car finance. I’d use these guys again and thoroughly recommend them. 🚘”



FAQs About Calculating Car Finance

Check below for the answers to some of our most frequently asked questions, related to our Hire Purchase car finance calculator. Got more questions? Check out our FAQs page 👍

What is a good APR for car finance?

Car finance lenders determine the APR they can offer you, based on your individual credit profile. A good APR for one person, may be a terrible APR for another! To find out what APR you would get, why not answer a few quick questions on Carmoola? We only run a soft credit search when you do this, so there's no impact on your credit score just to find out.

Does deposit make a difference in my monthly payments?

Yes! Here's an example to help you understand how it works. Let's say you're buying a car that costs £10,000. Some lenders such as Carmoola will be able to help you borrow the whole £10,000 if you want to. However, if you decide to add a small deposit, let's say £2,000, then you'd only need to borrow £8,000 to buy the car. Borrowing less, means your monthly payments will be less, and you'll pay less interest overall.

Are interest rates fixed?

When you take out a Hire Purchase car finance agreement, your APR is set at the beginning and is fixed throughout the term you choose.

Dream it Drive it

What would you like to do first?

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Takes 60 seconds, no impact on your credit profile 👍

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Representative 14.8% APR