What's the average car payment in America?

The average U.S. car payment is around $748 for new cars and $532 for used cars, based on late 2025 data from Bankrate.com. These figures reflect higher vehicle prices and interest rates, with many buyers paying over $1,000 monthly, though actual payments vary significantly by credit score, vehicle type, loan term, and down payment.


How much is a monthly car payment for a $30,000 car?

How much would a $30,000 car cost per month? This all depends on the sales tax, the down payment, the interest rate and the length of the loan. But just as a ballpark estimate, assuming $3,000 down, an interest rate of 5.8% and a 60-month loan, the monthly payment would be about $520.

What is the average monthly car payment in the US?

As of late 2025, the average monthly car payment in the U.S. is around $748 for new cars and $532 for used cars, though figures can vary slightly by source, with factors like interest rates, loan terms, and credit scores influencing individual payments. These figures reflect rising vehicle prices and interest rates, pushing new car payments higher, with many over $1,000 and longer loan terms. 


How much is a $70,000 car payment for 72 months?

For a $70,000 car loan over 72 months, your monthly payment will vary significantly with the interest rate (APR), but expect payments generally from around $1,000 to $1,200+ monthly, depending on your credit score and lender, with lower rates (e.g., 6-7%) giving payments closer to $1,000-$1100, while higher rates push payments up considerably. 

What car can I afford making $3,000 a month?

Take-home pay is the amount you make each month after taxes, so if you bring home $3,000 monthly after taxes are deducted, it's likely you can comfortably afford a $300 car payment.


Average new car loan monthly payment at an all-time high l GMA



How expensive of a car can I afford if I make $50,000 a year?

On a $50k salary, you can likely afford a car in the $17,000 to $35,000 range, but it depends heavily on your budget; aim for monthly payments under 10-15% of your take-home pay, with total car expenses (payment, gas, insurance, maintenance) under 20%. A total car price around half your annual income ($25k) is a conservative guideline, while some suggest aiming for a purchase price of $17,500 (35% of gross income) for a cheaper car. 

What is the crappiest car ever?

There's no single "worst car," but common contenders for the title include the AMC Gremlin (awkward design, handling issues), Chevrolet Vega (engine/rust problems, quality control), Renault Dauphine (terrible performance/reliability in the US), and the Trabant (symbolized communist-era poor quality), alongside others like the unreliable Ford Pinto, flimsy Reva G-Wiz, and quirky Triumph TR7. These cars are often cited for poor engineering, build quality, performance, or design failures that made them notoriously bad.
 

What's a good down payment for a $40,000 car?

As a general rule, you should pay 20 percent of the price of the vehicle as a down payment. That's because vehicles lose value, or depreciate, rapidly. If you make a small down payment or no down payment, you can end up owing more on your auto loan than your car or SUV is worth.


What is the 8% rule when buying a car?

The 20/3/8 rule is a guideline that suggests you put 20% down on a car and repay the loan over three years. Applying the rule correctly will also require your monthly payment and car expenses be 8% or less of your income.

How much should I spend on a car if I make $200,000?

With a $200,000 income, you can likely afford a higher-end vehicle, but financial experts suggest keeping total monthly car costs (payment, insurance, gas, maintenance) under 15-20% of your after-tax income, or roughly $2,500-$3,300/month, allowing for a purchase price of $50k-$100k+ depending on down payment, loan terms, and other expenses, but a conservative approach might cap total vehicles at half your income ($100k). 

What credit score is needed for a car?

You can get a car loan with almost any score, but a "Good" score (670-739 FICO) gets you the best rates, while "Prime" (661+) borrowers get the best terms; however, lenders offer options for "Fair" (580-669) and even "Subprime" (500-600) credit, though expect higher interest rates. Lenders look at your income, down payment, and credit history too, not just the score. 


How much is a $20,000 car loan for 5 years?

A $20,000 loan at 5% for 60 months (5 years) will cost you a total of $22,645.48, whereas the same loan at 3% will cost you $21,562.43.

What is the best time to buy a car?

The best times to buy a car are the end of the year (Dec), end of the month/quarter (last few days), and during holidays (Black Friday, Memorial Day) for big discounts as dealers clear inventory and meet quotas, with fall (Oct/Nov) also great as new models arrive, but January/February offer deals on leftover stock and lower demand, while weekdays (Mon/Tues) in the late afternoon/evening often yield better negotiation, say experts from CNBC, U.S. News & World Report, and CarEdge. 

Is a 60 or 72 month car loan better?

Better interest rate: A 60-month loan will typically have a lower interest rate than a 72-month loan because the risk for lenders isn't as high. (Lenders consider long-term loans to be riskier because the longer it takes to pay off the loan, the more opportunity exists for the loan to not be paid back in full.)


How much car can I buy for $300 a month?

For a $300 monthly car payment, you can likely afford a quality used car in the $8,000 to $12,000 range, or potentially lease a new, basic model, but the exact price depends heavily on your down payment, loan term (e.g., 72 months), and interest rate (APR). Aim for your car payment to be under 15% of your take-home pay, with total transportation costs (gas, insurance, maintenance) under 20% to stay financially healthy. 

What credit score do I need for a $30,000 car loan?

To qualify for a $30,000 car loan, most lenders prefer to see a credit score of at least 660 to 700. That being said, your credit score is only one part of the equation. Lenders will also consider: Your debt-to-income ratio (how much you owe compared to how much you earn)

What is a red flag when buying a car?

Use your best judgment; if a car looks or feels wrong, don't buy it. Look out for excessive rust, a worn tailpipe, or illuminated dash lights. During your test drive, pay special attention to how the car handles and sounds. If something's off, ask the seller and double-check the title and history report.


What disqualifies you from an auto loan?

Large amount of debt

A DTI of 50 percent or higher may lead to rejection because lenders determine how much you can afford based on your income, current debts and requested loan amount. Paying down your debts is the best way to lower your DTI, but if you're able, a second source of income can also lower your DTI.

Is 7 years bad for a car loan?

You won't just be paying more in interest for a seven-year loan. You'll also be at greater risk of going upside-down on the loan, which means you owe more than your car is worth. This is because cars quickly depreciate in value. By extending the length of your loan, you could end up owing more than your car is worth.

What salary to afford a 50k car?

To afford a $50k car, most financial experts suggest an income between $100k to $140k+, depending on your budget style, often using rules like the 20/4/10 Rule (20% down, 4-yr loan, 10% of gross income for total costs) or keeping total monthly car expenses (payment, insurance, gas, maintenance) under 15-20% of your take-home pay, with a larger down payment being ideal to offset depreciation. 


Is it better to lease or buy a car?

Often requires a larger down payment. Typically requires less upfront, and sometimes none. If you plan to keep a car for many years, buying often makes better financial sense in the long run. However, leasing can be attractive if you value new technology, lower monthly costs, and frequent vehicle upgrades.

What is Dave Ramsey's rule on car buying?

Dave Ramsey's core car buying rule is to pay cash for a reliable used car, avoiding car loans entirely because cars lose value, and ensuring the total value of all your vehicles doesn't exceed half your annual income, emphasizing that things that depreciate shouldn't be financed. He advocates buying what you can afford outright to prevent debt, suggesting you save up and buy a modest, dependable vehicle instead of a new car that rapidly loses value.
 

What car is the poor man's Ferrari?

The most common "poor man's Ferrari" is the Toyota MR2 (SW20 generation), nicknamed the "baby Ferrari" for its mid-engine layout, sleek styling reminiscent of Ferraris like the 308/348, and accessible price. Other cars sometimes called this include the Pontiac Fiero, Volvo P1800 (for its looks/GT feel), and even budget modern options like certain Hyundai Tiburons or the Ferrari California itself (as a more affordable entry).
 


What is the #1 car in the world?

The #1 car depends on the metric: the Tesla Model Y was the world's best-selling model in 2024/2025 by volume (over 1 million units), while the Toyota Corolla is the best-selling nameplate of all time. For luxury/prestige, it's subjective but brands like Rolls-Royce dominate expensive one-offs, while the Kia EV9 won World Car of the Year 2024 for overall excellence.
 

What car has the fewest problems?

For cars with the least problems, Lexus, Toyota, Mazda, Honda, and Subaru consistently rank highest in reliability, with models like the Lexus RX, Toyota Camry/Corolla, and Mazda MX-5 Miata often cited for dependability and low ownership costs, backed by studies from Consumer Reports, J.D. Power, and Edmunds https://www.consumerreports.org/cars/car-reliability-owner-satisfaction/who-makes-the-most-reliable-cars-a7824554938/, https://www.jdpower.com/business/press-releases/2025-us-vehicle-dependability-study-vds,. These brands focus on durable engineering, leading to fewer unexpected repairs and long lifespans, making them excellent choices for trouble-free driving.