Compare total cost
Cash back can look attractive, but the lower rate can win when interest savings over the full term exceed the upfront discount.
Example
On a 30,000 loan, a 1,500 cash-back offer reduces the effective financed amount, but a lower APR may still save more over 5 years. The calculator compares both monthly payment paths and total paid.
Common mistakes
Do not compare only monthly payment. A longer term or dealer fee can make a payment look lower while raising total cost.
Limitations
This estimate excludes taxes, fees, early payoff, dealer markups, rebates with restrictions and offer eligibility rules. Confirm lender terms before deciding.
Last reviewed: 2026-05-17