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Car Affordability

Car Affordability

How Much Can You Afford to Pay for a Car?

Your down payment and monthly payment amount are just the beginning of the costs involved in owning a car. Maintenance, insurance, fuel, and other ongoing expenses can take up a substantial amount of your overall transportation budget.

For many individuals, the price of car they can afford is a function of the amount
of the monthly payment. You can use this calculator to help determine how much you
can afford to pay for a car based on your monthly payment amount, down payment,
loan term, and available interest rate.

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Your Results
Description Amount
Based on the information you provided, you can afford to buy a car that costs: $0.00
Total interest you would pay: $0.00
Total cost of car: $0.00

This chart illustrates the remaining loan balance over the life of the loan.

Car Loan Balance Over Time

This hypothetical example is intended for illustrative purposes only. Actual results
will vary based on the car you buy and the terms of your loan.



Lease Payment

Lease Payment

How Much Would Your Monthly Lease Payment Be?

Use this calculator to determine the monthly payment amount, interest paid, and
total cost of the lease you are considering based on the factors listed below.

 

Based on the information you provided, the monthly payment amount, total monthly
payments, total lease cost, and total interest paid are shown below.

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Your Results
Description Amount
Price of vehicle (or negotiated lease amount, if known): $0
Payment due at lease signing: $0
Lease period in months: 0 months
Residual value at end of lease: $0
Interest rate: 0%
State sales tax rate (if any): 0%
Monthly payment: $0
Total monthly lease payments: $0
Total lease interest paid: $0
Total Lease Cost: $0

Below are the estimated costs of the lease you are considering.



Credit Card Debt

Credit Card Debt

How Long Will It Take to Pay My Balance?

If you have accumulated credit-card debt, you can use this calculator to estimate
how long it could take you to pay off that debt based on your payment amount.

Assumptions:

  • No additional charges are added to the balance.
  • 12 equal billing cycles per year.

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Your Results
Description Amount
My current credit card balance: $0.00
The annual percentage interest rate on your card: 0%
The minimum amount required to pay only the interest: $0.00
Each month you plan to pay: $0.00
At that payment, the time required to pay off your balance: 0 years
You will pay total interest of: $0

This chart shows the number of years it would take you to pay off your balance based
on the information you provided. You can substantially reduce the time needed to
pay off your debt and your total interest paid by increasing monthly payments. If
you feel your credit card interest rate is too high, you may want to consider whether
you can transfer your balance to a lower-interest card.

Credit Card Balance Over Time



Mortgage Acceleration

Mortgage Acceleration

How Soon Could You Pay Off Your Mortgage?

Paying just a little extra on your mortgage each month can have a dramatic effect
on the time it takes you to pay off your mortgage and the amount of interest you
pay over the life of the loan. This calculator is designed to show you how much
time and money — over the life of the loan — you could save by paying
an additional amount in your mortgage payment each month.

The results below show the time and money you would save by accelerating your mortgage
payments. Other popular payment options you could consider to reduce the time and
cost of your mortgage loan include making biweekly payments or making one additional
payment each year. All of these strategies can help you save money and time without
incurring the expense of refinancing. Keep in mind that not all mortgages have a
prepayment feature so you should consult with the holder of your mortgage for the
specifics of your situation.

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Your Results
Description Amount
The original face value of your loan: $0.00
Additional amount you are adding to your monthly payment: $0.00
By making this extra payment, you will save the following amount of interest: $0
Also, your home will be paid off this many years early: 0 years

The graph below shows the difference between paying your mortgage with the minimum required payments vs. adding the additional amount you specified to your mortgage payment each month. The more you can manage to pay each month, the faster you’ll pay off your mortgage and the less interest you’ll pay.

Accelerated Mortgage Projection



Mortgage Refinancing

Mortgage Refinancing

Should You Refinance Your Mortgage?

During the past few years, record numbers of Americans have refinanced their home
mortgages as a result of historically low interest rates. This calculator is designed
to help you determine whether you should consider refinancing your mortgage.

 
 

The results below show the estimated cost of refinancing, your current and refinanced
mortgage payment amount, the monthly savings, and the amount of time it will take
you to recoup the costs of refinancing. If you plan to sell your home before you
recoup the cost of refinancing, it may not be worthwhile. However, if you plan to
stay in your home beyond that time, refinancing could possibly save you a substantial
amount of money.

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Your Results
Description Amount
Total estimated refinance costs: $0.00
Current monthly payment: $0.00
Estimated monthly payment (refinanced): $0.00
Monthly savings: $0.00
Break even (in months) to recover refinancing costs: 0 months

The calculation above assumes the refinance costs are not added to the new loan.
This hypothetical example assumes your mortgage is subject to refinancing.

The graph below illustrates the difference between your current mortgage and the
mortgage you are considering. You can see what the balance and payoff time would
be for each mortgage. Although your monthly payments and overall expenses may be
reduced if you refinance, the term of your payments may be longer. For example,
if you have been paying on your current 30-year mortgage for five years and you
refinance a new 30-year mortgage, you will be making payments for an additional
five years.

Projected Refinance Costs

The calculation above assumes the refinance costs are not added to the new loan.
This hypothetical example assumes your mortgage is subject to refinancing.



Home Affordability

Home Affordability

Estimate of the maximum amount of financing you can expect to get when you begin house hunting.

Shopping for a home can be a very exciting time. But before you begin evaluating neighborhoods and housing options, you’ll need to know just how much you can afford to spend. This calculator is designed to give you an estimate of the amount of financing you can expect to get when you begin house hunting.

 

The results below show the down payment amount, the maximum home price, and the
monthly payment amount, based on the information you provided. Note that if you
can afford a larger down payment — or find a mortgage with a lower interest
rate — you will ultimately be able to spend more on a home.

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Your Results
Description Amount
Down payment: $0
The maximum home price you may be able to afford, including your down payment: $0
Your monthly payment amount: $0

This chart shows how much of your annual income will go toward paying your debts if you were to buy the highest-priced home you can afford based on the information you provided. Would too much of your income go toward debt? If so, you may want to consider paying off some of your existing obligations before buying a home.

Income That Would Go Toward Debt

When determining the amount you can borrow, lenders will typically prefer that your mortgage plus taxes and insurance not exceed 28 percent of your gross monthly income. In addition, lenders recommend that your mortgage, property taxes, insurance and all other monthly obligations not exceed 36 percent of your gross monthly income.



Loan Payoff

Loan Payoff

What’s the True Cost of the Loan You Are Considering?

Borrowing money can be an expensive proposition. Even at relatively low interest
rates, you may be surprised at the amount of interest you pay over the life of a
loan. This calculator is designed to help you estimate the true cost of that loan
you may be considering.

 

The results below show the monthly payment amount, the interest cost, and the potential
tax savings (if the interest on your loan is tax deductible) for the loan you are
considering. It may surprise you to learn that for a long-term loan, such as a 30-year
mortgage, you could pay more in interest over the life of the loan than
you originally borrowed. For example, if you borrow $100,000 at 6% over a
30-year period, you would pay $115,838 in interest — more than the amount you
initially borrowed — bringing the total pay-back amount to $215,838.

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Your Results
Description Amount
Original loan amount: $0.00
Term of the loan (in months): $0.00
Monthly payment: $0.00
Total interest payments: $0.00
Assuming the interest is tax deductible, your tax savings would be: $0.00

This chart shows how much the balance of your loan will be over the time period
you are making payments. You’ll see that in the early years of the loan, the
principal you owe is reduced more slowly than in the later years of the loan. The
longer the loan, the more dramatic this effect is. This is because in the early
years, a greater portion of your payment goes toward interest on the balance of
the loan; as the balance of the loan is reduced, the interest accrued each month
is reduced, and more of your payment amount is credited to the loan principal.

Loan Balance Over Time