Question 1

How accurate are these calculators?

Accepted Answer

Our calculators use standard financial formulas used by banks and lenders. However, they provide estimates - your actual loan terms may vary based on your credit profile, lender policies, and current market rates.

Question 2

What credit score do I need to buy a car?

Accepted Answer

While you can get approved with scores as low as 500, you'll pay much higher interest rates. A score of 680+ typically qualifies for good rates. Score of 720+ gets you the best rates.

Question 3

What's the difference between APR and interest rate?

Accepted Answer

The interest rate is the cost of borrowing expressed as a percentage. APR (Annual Percentage Rate) includes the interest rate plus fees and other costs, giving you the total yearly cost.

Question 4

What loan term should I choose?

Accepted Answer

Shorter terms (36-48 months) mean higher monthly payments but less total interest paid. Longer terms (60-72 months) offer lower payments but cost more overall. Avoid 84+ month loans if possible.

Question 5

Should I make a down payment?

Accepted Answer

Yes, if possible. A 20% down payment is ideal - it reduces your loan amount, lowers monthly payments, helps you avoid being upside-down, and may qualify you for better interest rates.

Question 6

Is leasing or buying better?

Accepted Answer

Buying is usually cheaper long-term because you build equity and eventually own the vehicle. Leasing works if you want a new car every 2-3 years and drive under the mileage limit.

Question 7

Should I get pre-approved before shopping?

Accepted Answer

Absolutely. Pre-approval gives you a real budget, strengthens your negotiating position, and prevents dealers from marking up rates. Get pre-approved from your bank or credit union first.

Question 8

How can I improve my credit score quickly?

Accepted Answer

The fastest way is to pay down credit card balances to get below 30% utilization (10% is ideal). Ensure all bills are paid on time. Significant improvements typically take 3-6 months.

Question 9

When should I refinance my auto loan?

Accepted Answer

Refinance if your credit score has improved by 50+ points since your original loan, interest rates have dropped significantly, or you're struggling with payments and need to extend the term.

Question 10

Do you share my information?

Accepted Answer

No. All calculations are performed locally in your browser. We don't collect, store, or transmit your financial information to our servers. Your data never leaves your device.

Frequently Asked Questions

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How accurate are these calculators?

Is the Credit Simulator accurate?

What's the difference between APR and interest rate?

What interest rate can I expect?

What credit score do I need to buy a car?

How can I improve my credit score quickly?

What loan term should I choose?

Should I make a down payment?

Should I get pre-approved before shopping?

Can I negotiate the interest rate at a dealership?

Is leasing or buying better?

What happens if I go over lease mileage?

When should I refinance my auto loan?

What does 'upside down' or 'negative equity' mean?

Should I buy GAP insurance?

Should I make extra payments on my car loan?

What if I can't afford my car payment?

Do you share my information?

Can I save my calculations?

Which calculator should I use first?

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