What is a good length for an auto loan term?

Most car loans run 36–72 months, with 60 months (5 years) being the sweet spot for many buyers.

Here’s the trade-off: 

Shorter terms (36–48 months) = Higher payments, but less interest overall.

Longer terms (72+ months) = Lower payments, but more interest and risk of being upside down on your loan.

Pro tip: Aim for 60 months or less to save money and avoid negative equity!