Compare two cars before you decide.

How to compare two cars fairly

Use a real purchase quote, a loan APR quote and an insurance estimate for each vehicle. Enter the same down payment and loan term first to see the effect of the vehicle choice, then explore different financing. Change the expected resale percentages to see how uncertain future values affect the result.

What goes into the five-year cost?

The total adds five-year depreciation, loan interest paid during the first 60 months, fuel, insurance and maintenance. Depreciation is the purchase price minus estimated resale value. Loan principal payments and the down payment are not added again because depreciation already accounts for the value consumed.

• Fuel: 60,000 miles divided by the entered MPG, multiplied by $3.25 per gallon.
• Insurance: the entered monthly premium multiplied by 60.
• Maintenance: the entered annual allowance multiplied by five.
• Interest: an amortized monthly loan calculation through month 60, or until the loan ends if sooner.

Mileage and gasoline price are fixed assumptions in this tool, not local quotes. A loan longer than 60 months can still have an unpaid balance after five years. The displayed payment follows the full selected loan term; the ownership total includes only interest within the five-year window.

Example: fuel savings versus purchase price

At the tool's fixed assumptions, a 30 MPG car uses about $6,500 of fuel over five years. A 42 MPG car uses about $4,643, saving about $1,857. That saving alone does not offset a $6,000 higher purchase price; compare depreciation, financing and the other costs as well.

Why the lowest payment may not win

A longer loan can lower the monthly payment while leaving more interest and a larger balance later. A higher-priced car can retain more value, but resale estimates are uncertain. The lower-cost result reflects your assumptions and is not a prediction of market value.

Costs to check separately

This comparison excludes sales tax, title and registration, dealer fees, trade-in loan shortfalls, parking, tolls and inflation. Fuel estimates model gasoline use; for charging costs use the EV versus gas calculator. Check state vehicle taxes and the affordability calculator before deciding.