Car Finance Calculator
Instantly calculate your monthly car finance payments, total interest, and overall cost. Free, accurate tool for PCP, HP, and personal loan estimates in the UK.
Calculate Your Monthly Payments
Enter your vehicle price, deposit, interest rate, and term to get an instant, personalised evaluation of your monthly car finance costs.
Finance Details
Enter your car finance figures in GBP (£) to calculate payments
Finance Evaluation
Calculated monthly payments and total costs
Car Finance Types
Common car finance structures in the UK to help you choose the right agreement for your needs.
| Finance Type | Monthly Payments | End of Term Option | Best For |
|---|---|---|---|
| Hire Purchase (HP) | Higher | Pay £1 option fee to own the car | Those who want to own the car eventually |
| Personal Contract Purchase (PCP) | Lower | Pay balloon (GFV) to own, return, or trade in | Those who want lower monthly payments and flexibility |
| Personal Loan | Fixed | You own the car immediately (no lender restrictions) | Those with good credit scores wanting total freedom |
Car Finance FAQ
Everything you need to know about car finance, APR, and managing your auto loan.
APR stands for Annual Percentage Rate. It represents the total yearly cost of borrowing money, including the interest rate and any standard fees. A lower APR means you will pay less in total interest over the life of the loan.
A balloon payment, often called Guaranteed Future Value (GFV) in Personal Contract Purchase (PCP) agreements, is a large lump sum due at the end of the finance term. You can either pay it to own the car, refinance it, or return the vehicle to the lender.
Hire Purchase (HP) spreads the total cost of the car evenly over the term, with no balloon payment, and you own the car at the end. Personal Contract Purchase (PCP) has lower monthly payments because a large balloon payment (GFV) is deferred to the end, giving you the option to buy, return, or trade in the car.
Yes, you have the legal right to settle your car finance agreement early. However, depending on the type of agreement and how much you have already paid, the lender may charge an early settlement fee (often capped at 1-2 months’ interest under FCA rules).