[THE SCUD]

Originally Posted by THE SCUD

That's perfectly correct:
http://www.auto123.com/en/new-cars/calculator/

If you put in $36,223 as the car price and then calculate, look at 4% (which is 3.99%, obviously) - it comes to 667 a month.

Further more, here's the break down: $667 x 60mo = $40,020.

Thus the interest component is $40,020 - $36,220 = $3,800

$3,800 / $36,220 = 10.% / 5 years = 2.1%

If that's what's messing you up (why isn't in 4%?!) it's because the interest you're paying is decreasing. To start the term, every $667 payment, roughly $605 is paying down the loan and $67 is paying the interest, so you are reducing the principal on which interest is calculated with each payment, thus reducing the interest expense.