SwitchWizeFinancial Decisions, Made Clearer
P2

Dealer Markup Calculator

Compare your lender's buy rate against a dealer-quoted APR to see how much extra you'd pay monthly and over the life of the loan.

Quick answer: Compare a user-entered lender-rate scenario with a dealer-quoted APR to estimate the signed payment and total-cost difference; it does not establish dealer compensation. Enter Loan Amount, Lender Buy Rate, Dealer-Offered Rate, and Loan Term (Months) to personalize the estimate. It returns Signed Total Cost Difference, Payment at the Dealer Rate, and Extra Monthly Cost so you can compare the impact before choosing a next step. Use it to compare payment, APR, total cost, credit impact, and lender or card tradeoffs.

SWReviewed by SwitchWize Research Desk · Last reviewed July 14, 2026
Signed Total Cost Difference
$2,131
Signed Total Cost Difference
$2,131
Payment at the Dealer Rate
$615
Extra Monthly Cost
$36
Diagnostic

The signed dealer-minus-buy-rate monthly payment difference is $36.

Over the full term, the signed payment difference totals about $2,131; positive means the dealer APR costs more and negative means it costs less.

Compare auto loan rates
What to do next

Compare auto loan rates

Your action plan
  1. 1

    Set the target and timeline for this plan

    Compare a user-entered lender-rate scenario with a dealer-quoted APR to estimate the signed payment and total-cost difference; it does not establish dealer compensation.

  2. 2

    Pressure-test one alternate scenario before deciding

    Assumptions change the answer, especially when rates, taxes, or timing matter.

  3. 3

    Save the result to Money Map or use the linked next action

    Turn the result into a prioritized action instead of treating it as a one-off number.

Compare auto loan rates

This is an educational estimate, not tax, legal, investment, or lending advice. Tax rules, rates, and eligibility change and depend on your full situation. Confirm with a qualified professional or the provider before acting.

Calculator action path

Turn this result into a decision

Every SwitchWize calculator connects to a product comparison, rate context, guidance, alerts, and Money Map.

Rate authority hub
Compare
You could gain ~$2,131/yr. Compare nowMove from calculation to current product options.
Rate Trend
Track personal loansUse market context before you decide when to act.
Guide
What the Dealer Adds to Your Auto Loan Rate, and How to Beat ItWhen a dealer arranges your car loan, it often marks up the lender's rate and keeps the difference. That hidden spread can cost thousands. Here is how to see it and get the real rate.
Money Map
Map this $2,131/yr opportunitySave this opportunity and see how it fits your broader money plan.
Alert
Create a rate alertWatch the market instead of checking manually.
Top auto loan rates

Reviewed Sep 23, 2026 · Methodology

See all →
Navy Federal CU
Checked Sep 23, 2026
3.89%APR
Get Rate
C
Caribou
Checked Sep 23, 2026
4.18%APR
Get Rate
C
CarPutty
Checked Sep 23, 2026
4.33%APR
Get Rate

Advertising disclosure: SwitchWize may earn a referral fee if you open an account through a link above. This does not affect our rankings. Ranked using the SwitchWize methodology. Learn more

Free to embed

Add this calculator to your site

Paste this snippet into any page. No account or API key required, the widget is responsive, and it updates with live rates. A SwitchWize attribution link is included in the embed automatically.

<iframe src="https://www.switchwize.com/embed/dealer-markup?source=embed_selfserve" width="100%" height="680" loading="lazy" style="border:1px solid #e2e8f0;border-radius:14px;max-width:100%;width:100%" title="SwitchWize calculator"></iframe>
<script>(function(){window.addEventListener("message",function(e){if(e.origin!=="https://www.switchwize.com")return;var d=e.data;if(!d||d.type!=="sw-embed-resize")return;var f=document.getElementsByTagName("iframe");for(var i=0;i<f.length;i++){if(f[i].contentWindow===e.source){f[i].style.height=d.height+"px";break;}}});})();</script>

Frequently Asked Questions

Everything you need to know.

What does an example Dealer Markup Calculator calculation look like?
Using this calculator's own default assumptions, a loan amount of $30,000, lender buy rate of 6% and dealer-offered rate of 8.5% produces an estimated signed total cost difference of $2,131 and payment at the dealer rate of $615. Enter your own numbers above to see how it changes for your situation.
Why would a dealer quote a higher rate than the lender buy rate?
The dealer markup is how the dealership earns compensation for arranging the loan. The lender provides a wholesale rate, and the dealer can offer it at that rate or mark it up; any markup above the buy rate becomes dealer profit. This is a standard business practice, but the size of the markup can vary based on market conditions, the dealer, and negotiation.
Does a higher dealer rate always mean a bad deal?
Not necessarily. A small markup may be reasonable compensation for the dealer's work in sourcing the loan, and some market conditions push all rates higher. However, this calculator lets you see exactly what that markup costs you each month and in total, so you can decide whether the dealer's quote is acceptable or worth negotiating lower.
Is the Dealer Markup Calculator free to use?
Yes. SwitchWize calculators are free, and you do not need an account to run scenarios or view the result.
Does using the Dealer Markup Calculator affect my credit score?
No. Using a calculator does not trigger a credit check. A credit impact can occur only if you apply directly with a lender, card issuer, or provider.
Are the results personalized financial advice?
No. Calculator outputs are educational estimates based on the inputs you enter. Review assumptions and confirm terms directly with providers before making a financial decision.
What should I do after seeing the result?
Use the recommendation module on this page to compare auto loan rates, or run Money Map to compare this loans & credit decision with your other opportunities.
How does SwitchWize choose related offers?
Related offers are matched by the calculator surface (auto) and ranked using SwitchWize data such as rate, fees, trust signals, product fit, and switching friction. Paid relationships do not change organic ranking order.
How fresh are the rates and offers shown?
Rate and offer data is reviewed on a recurring cadence and every offer module shows review context or links to the methodology and disclosure pages.
Where can I see the ranking methodology?
The SwitchWize methodology page explains how rate freshness, editorial review, affiliate disclosure, and category ranking factors work.
Can Money Map use this result?
Yes. Money Map is the broader diagnostic path: it compares savings, mortgage, cards, and debt so you can see whether this calculator result is your highest-impact next move.

Why This Matters

Dealers often mark up the lender's buy rate to generate compensation, and that markup flows directly into your monthly payment and total interest paid. Understanding the spread between the wholesale rate and the retail rate you're offered helps you evaluate whether the dealer's quote aligns with market conditions. Even a small rate difference compounds significantly over a multi-year loan, affecting both your cash flow and total out-of-pocket cost.

How to Use It

  1. 1Enter the total amount you plan to borrow.
  2. 2Input the lender buy rate: the wholesale rate your lender offers before any dealer markup.
  3. 3Enter the APR the dealer has quoted you.
  4. 4Specify your loan term in months.
  5. 5Review the payment at the dealer rate, the extra monthly cost versus the lender rate, and your total cost difference over the full loan term.
Related calculators
Auto Loan Payment and Affordability PlannerCredit Score vs APR Cost CalculatorRebate vs Low APR Calculator
Compare auto loan rates