The monthly cost of financing R 200 000
At 12.75% over 60 months the instalment on R 200 000 is R 4 525.06. The example rate is prime of 10.75% plus 2 percentage points. Your own rate is set by the lender and depends on your credit record, the deposit and the vehicle, so treat this as an illustration.
In the first year you pay R 54 301, of which R 23 756 is interest. Over the full term the interest adds 35.8% to the price you financed.
How it is worked out
- Amount financed: R 200 000 with no deposit, trade-in or balloon payment.
- Monthly rate: 12.75% a year ÷ 12 = 1.0625% a month.
- Number of payments: 60.
- Instalment: the level payment that clears the loan after 60 payments is R 4 525.06.
- Total repaid: R 4 525.06 × 60 = R 271 504, so interest is R 71 504, or 35.8% of the price.
What a different term does
A longer term lowers the monthly instalment and raises the total interest. A shorter term does the opposite.
| Term | Monthly instalment | Total interest | Total repaid |
|---|---|---|---|
| 48 months | R 5 341 | R 56 354 | R 256 354 |
| 60 months | R 4 525 | R 71 504 | R 271 504 |
| 72 months | R 3 988 | R 87 171 | R 287 171 |
What a deposit does
Paying 20% upfront, which is R 40 000, reduces the amount financed to R 160 000 and the instalment to R 3 620, and cuts total interest to R 57 203.
| Deposit | Amount financed | Monthly instalment | Total interest |
|---|---|---|---|
| No deposit | R 200 000 | R 4 525 | R 71 504 |
| 10% (R 20 000) | R 180 000 | R 4 073 | R 64 353 |
| 20% (R 40 000) | R 160 000 | R 3 620 | R 57 203 |
Cars near R 200 000
| Vehicle price | Monthly instalment | Total interest | Total repaid |
|---|---|---|---|
| R 150 000 | R 3 394 | R 53 628 | R 203 628 |
| R 200 000 | R 4 525 | R 71 504 | R 271 504 |
| R 250 000 | R 5 656 | R 89 380 | R 339 380 |
| R 300 000 | R 6 788 | R 107 255 | R 407 255 |
| R 350 000 | R 7 919 | R 125 131 | R 475 131 |
A car that costs R 50 000 more, at R 250 000, adds R 1 131 to the monthly instalment; one that costs R 50 000 less, at R 150 000, takes R 1 131 off it.
Assumptions
- Interest at 12.75% a year, compounded monthly, over 60 months. This is an example rate, not an offer.
- No balloon payment, trade-in, initiation fee or monthly service fee. Those raise the real cost and can be added in the full calculator.
- Insurance, licensing, fuel and servicing are not included.
Work it out for your own numbers
This page uses fixed example inputs. To change the figures, use the full car finance calculator. It recalculates as you type and nothing you enter leaves your browser.
More prices
- Lower: R 150 000
- Higher: R 250 000
- All amounts: Car finance