CalcunetCar Loan Calculator (Philippines)
Estimate your monthly car amortization, total interest, and full payment schedule. Switch between add-on rate — how most Philippine banks and dealers actually quote car loans — and diminishing balance to see the real difference.
Monthly payment
₱18,666.67
Total interest
₱320,000.00
Total amount payable
₱1,120,000.00
Amortization schedule
| Month | Payment | Principal | Interest | Balance |
|---|---|---|---|---|
| 1 | ₱18,666.67 | ₱13,333.33 | ₱5,333.33 | ₱786,666.67 |
| 2 | ₱18,666.67 | ₱13,333.33 | ₱5,333.33 | ₱773,333.33 |
| 3 | ₱18,666.67 | ₱13,333.33 | ₱5,333.33 | ₱760,000.00 |
| 4 | ₱18,666.67 | ₱13,333.33 | ₱5,333.33 | ₱746,666.67 |
| 5 | ₱18,666.67 | ₱13,333.33 | ₱5,333.33 | ₱733,333.33 |
| 6 | ₱18,666.67 | ₱13,333.33 | ₱5,333.33 | ₱720,000.00 |
| 7 | ₱18,666.67 | ₱13,333.33 | ₱5,333.33 | ₱706,666.67 |
| 8 | ₱18,666.67 | ₱13,333.33 | ₱5,333.33 | ₱693,333.33 |
| 9 | ₱18,666.67 | ₱13,333.33 | ₱5,333.33 | ₱680,000.00 |
| 10 | ₱18,666.67 | ₱13,333.33 | ₱5,333.33 | ₱666,666.67 |
| 11 | ₱18,666.67 | ₱13,333.33 | ₱5,333.33 | ₱653,333.33 |
| 12 | ₱18,666.67 | ₱13,333.33 | ₱5,333.33 | ₱640,000.00 |
How Philippine car loan interest actually works
Almost every car loan quote you'll see from a Philippine bank or dealership — the "6% all-in" or "1.5% per month" pitch — is an add-on rate, not the diminishing/effective rate you'd get on a mortgage. Add-on interest is calculated once, upfront, on the entire loan amount and then divided evenly across your term. Because you're being charged as if you owed the full principal for the whole loan life — even in month 59 of a 60-month loan — the real annual cost ends up roughly double the quoted add-on rate.
That's why this calculator defaults to add-on rate for car loans: it matches what you'll actually see on a loan disclosure statement. Toggle to diminishing balance to compare it against a personal or home loan quote, or to see what the "true" cost would be if interest were charged the bank-style way instead.
What affects your monthly amortization
- Down payment — a larger down payment shrinks the amount financed, which lowers both your monthly payment and total interest since interest is charged on the financed amount, not the vehicle's sticker price.
- Loan term — stretching from 3 to 5 years lowers the monthly payment but increases total interest paid, since add-on interest accrues for every additional year on the books.
- New vs. used/repossessed units — banks generally price used or repossessed vehicles at a higher add-on rate and shorter maximum term than brand-new units.
See exactly how much that add-on rate really costs, with a worked example, in Add-on Rate vs Diminishing Balance.
Car loan calculator FAQ
What's the difference between add-on rate and diminishing balance?
Add-on rate calculates interest once on the full loan amount and spreads it evenly across every month, even though your balance is shrinking. Diminishing balance recalculates interest each month on whatever balance is left, so it's cheaper for the same quoted rate. Most Philippine car loans are quoted and computed as add-on rate — a 6% add-on rate car loan actually costs close to 11-12% per year in real (diminishing) terms.
How much down payment do I need for a car loan in the Philippines?
Most banks and in-house financing require 20% down payment as a standard minimum, though some dealer promos go as low as 10-15% and some banks allow up to 30-40% down to get a lower add-on rate or shorter approval time. The remaining balance is what this calculator amortizes.
Does this calculator include chattel mortgage fees, insurance, or registration?
No — this calculator estimates principal and interest only. Actual auto loan quotes from banks typically add chattel mortgage fees, comprehensive insurance (usually 1-1.5 years paid upfront), documentary stamp tax, and registration/LTO fees on top of the amount financed. Ask your bank or dealer for the full breakdown before signing.
Can I pay off my car loan early?
Most Philippine auto loans allow early or full settlement, but many charge a pre-termination fee (commonly a percentage of the outstanding balance) because add-on rate financing assumes you pay interest for the full term. Check your loan agreement's pre-termination clause before assuming early payoff will save you the full remaining interest shown here.
Why is my actual approved rate different from what I entered here?
Banks price car loans based on your credit standing, the vehicle's age (brand-new vs. used/repossessed units get different rates), loan term, and down payment size. Use this calculator to compare scenarios and understand your amortization — then confirm the exact rate with your bank or dealer before committing.