The average car payment in the US was $765 a month for a new vehicle and $542 a month for a used vehicle in Q2 2026, according to Experian’s State of the Automotive Finance Market data. By state, Experian’s March 2026 data on all outstanding auto loans runs from $828 a month in Texas to $586 in Rhode Island. Below are the payment for every state, the average auto loan balance by state, and the factors that make payments differ.
Average Car Payment Overview (2026)
| Metric | New Car | Used Car |
|---|---|---|
| Average monthly payment | $765 | $542 |
| Average loan amount | $43,610 | $27,852 |
| Average interest rate | 6.35% | 11.19% |
| Average loan term | 69.5 months | 67.9 months |
| Average credit score (VantageScore 4.0) | 751 | 688 |
Source: Experian, State of the Automotive Finance Market, Q2 2026 (via Experian’s Average Car Payment article, Sep 10, 2026). These figures describe new loans taken out that quarter; Experian says 83% of new-car buyers and 38% of used-car buyers financed their purchase.
Across all auto loans outstanding, not just new ones, Experian put the average payment at $697 a month in March 2026, up from $675 in March 2025 (Experian, Average Auto Loan Debt study, Sep 8, 2026).
Average Car Payment by State
No government agency publishes an average car payment by state. Experian does, in its Average Auto Loan Debt study: the average monthly payment on all outstanding auto loans in each state in March 2026. Because it covers every open loan, old and new, it measures something different from the Q2 2026 new-loan figures above, so the two aren’t directly comparable.
| State | Avg Monthly Payment, March 2026 | vs. National Average ($697) |
|---|---|---|
| Alabama | $730 | +$33 |
| Alaska | $722 | +$25 |
| Arizona | $742 | +$45 |
| Arkansas | $725 | +$28 |
| California | $725 | +$28 |
| Colorado | $688 | −$9 |
| Connecticut | $618 | −$79 |
| Delaware | $636 | −$61 |
| District of Columbia | $662 | −$35 |
| Florida | $717 | +$20 |
| Georgia | $743 | +$46 |
| Hawaii | $709 | +$12 |
| Idaho | $676 | −$21 |
| Illinois | $641 | −$56 |
| Indiana | $654 | −$43 |
| Iowa | $675 | −$22 |
| Kansas | $686 | −$11 |
| Kentucky | $663 | −$34 |
| Louisiana | $780 | +$83 |
| Maine | $606 | −$91 |
| Maryland | $697 | +$0 |
| Massachusetts | $637 | −$60 |
| Michigan | $593 | −$104 |
| Minnesota | $640 | −$57 |
| Mississippi | $661 | −$36 |
| Missouri | $745 | +$48 |
| Montana | $674 | −$23 |
| Nebraska | $622 | −$75 |
| Nevada | $683 | −$14 |
| New Hampshire | $657 | −$40 |
| New Jersey | $789 | +$92 |
| New Mexico | $659 | −$38 |
| New York | $731 | +$34 |
| North Carolina | $657 | −$40 |
| North Dakota | $741 | +$44 |
| Ohio | $623 | −$74 |
| Oklahoma | $738 | +$41 |
| Oregon | $616 | −$81 |
| Pennsylvania | $626 | −$71 |
| Rhode Island | $586 | −$111 |
| South Carolina | $683 | −$14 |
| South Dakota | $664 | −$33 |
| Tennessee | $702 | +$5 |
| Texas | $828 | +$131 |
| Utah | $641 | −$56 |
| Vermont | $677 | −$20 |
| Virginia | $638 | −$59 |
| Washington | $686 | −$11 |
| West Virginia | $628 | −$69 |
| Wisconsin | $717 | +$20 |
| Wyoming | $757 | +$60 |
Source: Experian, Average Auto Loan Debt study (Sep 8, 2026), “Average Auto Loan Payment by State” map (“Source: Experian data March 2026”). Figures were read from the map’s underlying data; the difference from the national average is a wealthvieu calculation.
States With the Highest and Lowest Car Payments
| Rank | Highest Payments | Avg Payment | Lowest Payments | Avg Payment |
|---|---|---|---|---|
| 1 | Texas | $828 | Rhode Island | $586 |
| 2 | New Jersey | $789 | Michigan | $593 |
| 3 | Louisiana | $780 | Maine | $606 |
| 4 | Wyoming | $757 | Oregon | $616 |
| 5 | Missouri | $745 | Connecticut | $618 |
District of Columbia ($662) is not ranked. A high balance doesn’t always mean a high payment: New Jersey has one of the lowest average balances but one of the highest payments.
Payment and balance are different measures. The table below shows how much is still owed on car loans in each state.
Average Auto Loan Balance by State
| State | Avg Balance, March 2025 | Avg Balance, March 2026 | Change |
|---|---|---|---|
| Alabama | $25,997 | $26,938 | 3.6% |
| Alaska | $27,228 | $28,464 | 4.5% |
| Arizona | $26,651 | $27,206 | 2.1% |
| Arkansas | $27,039 | $28,076 | 3.8% |
| California | $25,108 | $24,895 | -0.8% |
| Colorado | $24,154 | $24,140 | -0.1% |
| Connecticut | $20,251 | $20,543 | 1.4% |
| Delaware | $23,052 | $23,839 | 3.4% |
| District of Columbia | $20,949 | $21,049 | 0.5% |
| Florida | $25,865 | $26,316 | 1.7% |
| Georgia | $26,404 | $27,014 | 2.3% |
| Hawaii | $23,968 | $24,633 | 2.8% |
| Idaho | $25,406 | $25,976 | 2.2% |
| Illinois | $22,972 | $23,424 | 2.0% |
| Indiana | $22,179 | $22,842 | 3.0% |
| Iowa | $22,916 | $23,401 | 2.1% |
| Kansas | $23,888 | $24,795 | 3.8% |
| Kentucky | $23,594 | $24,580 | 4.2% |
| Louisiana | $28,037 | $29,147 | 4.0% |
| Maine | $22,182 | $22,743 | 2.5% |
| Maryland | $24,364 | $24,875 | 2.1% |
| Massachusetts | $19,769 | $20,029 | 1.3% |
| Michigan | $19,437 | $19,754 | 1.6% |
| Minnesota | $21,350 | $21,802 | 2.1% |
| Mississippi | $26,132 | $27,166 | 4.0% |
| Missouri | $22,945 | $23,805 | 3.7% |
| Montana | $24,120 | $24,689 | 2.4% |
| Nebraska | $22,491 | $22,816 | 1.4% |
| Nevada | $26,876 | $27,320 | 1.7% |
| New Hampshire | $21,259 | $21,677 | 2.0% |
| New Jersey | $21,374 | $21,182 | -0.9% |
| New Mexico | $29,353 | $30,583 | 4.2% |
| New York | $21,477 | $21,622 | 0.7% |
| North Carolina | $24,324 | $24,951 | 2.6% |
| North Dakota | $25,581 | $26,084 | 2.0% |
| Ohio | $21,248 | $21,880 | 3.0% |
| Oklahoma | $27,175 | $28,246 | 3.9% |
| Oregon | $22,494 | $22,989 | 2.2% |
| Pennsylvania | $21,282 | $21,878 | 2.8% |
| Rhode Island | $19,666 | $19,895 | 1.2% |
| South Carolina | $24,207 | $25,042 | 3.5% |
| South Dakota | $23,449 | $23,738 | 1.2% |
| Tennessee | $25,666 | $26,508 | 3.3% |
| Texas | $29,996 | $30,939 | 3.1% |
| Utah | $24,055 | $24,294 | 1.0% |
| Vermont | $21,433 | $22,121 | 3.2% |
| Virginia | $23,691 | $24,243 | 2.3% |
| Washington | $24,843 | $24,977 | 0.5% |
| West Virginia | $26,338 | $27,598 | 4.8% |
| Wisconsin | $21,145 | $21,804 | 3.1% |
| Wyoming | $27,939 | $28,826 | 3.2% |
Source: Experian, Average Auto Loan Debt study (Sep 8, 2026), data from March of each year. The national average balance was $24,909 in March 2026.
States With the Highest and Lowest Auto Loan Balances
Ranked from Experian’s March 2026 state table above (balances, not payments; District of Columbia not ranked):
| Rank | Highest Balances | Avg Balance | Lowest Balances | Avg Balance |
|---|---|---|---|---|
| 1 | Texas | $30,939 | Michigan | $19,754 |
| 2 | New Mexico | $30,583 | Rhode Island | $19,895 |
| 3 | Louisiana | $29,147 | Massachusetts | $20,029 |
| 4 | Wyoming | $28,826 | Connecticut | $20,543 |
| 5 | Alaska | $28,464 | New Jersey | $21,182 |
Experian notes that Texas routinely carries the largest car loan balances in the nation, and that Michigan and Rhode Island are the only two states where balances are still under $20,000. Balances fell between 2025 and 2026 in just three states: California, Colorado and New Jersey. The biggest increases came in states with larger rural footprints, such as Alaska, Kentucky, New Mexico and West Virginia, where balances grew by more than 4%.
Why Car Payments Differ From State to State
Experian points to the vehicles people drive, which vary a lot between regions, and to regional differences in credit scores. Other factors that change what a buyer in one state pays compared with another:
- Vehicles on the road. Experian notes that what is driven in California is very different from what is on Texas roads, and different again from the older vehicles common in Northeast states. A pricier vehicle means a bigger loan.
- Sales tax and fees. States set their own vehicle sales tax and registration fees, and when these are financed they add to the loan amount. Check your state’s revenue or motor vehicle department for current rates.
- Credit scores. In Q2 2026, Experian’s average new-car rate ranged from 4.41% for super prime borrowers to 16.11% for deep subprime borrowers, and from 6.29% to 21.62% for used cars.
- Loan term. A longer term lowers the monthly payment but increases the total interest paid.
- Insurance. Insurance isn’t part of the loan payment, but it is part of what a car costs each month, and premiums vary by state. See the total cost of owning a car for the full picture.
For how payments differ by age and generation, see average car payment by age.
How Much Car Can You Afford?
There is no official standard for a “right” car payment. A practical approach is to compare a quoted payment with your own take-home pay and your other monthly costs, then add insurance, fuel and maintenance on top. The tables below show how the loan term changes the payment on Experian’s average Q2 2026 loans.
Average new-car loan: $43,610 at 6.35%
| Loan Term | Monthly Payment | Total Interest |
|---|---|---|
| 48 months | about $1,031 | about $5,887 |
| 60 months | about $850 | about $7,403 |
| 72 months | about $730 | about $8,948 |
| 84 months | about $644 | about $10,521 |
Average used-car loan: $27,852 at 11.19%
| Loan Term | Monthly Payment | Total Interest |
|---|---|---|
| 36 months | about $914 | about $5,064 |
| 48 months | about $722 | about $6,824 |
| 60 months | about $608 | about $8,641 |
| 72 months | about $533 | about $10,513 |
wealthvieu calculation, not Experian figures: Experian’s Q2 2026 average loan amount and average rate plugged into the standard fixed-rate loan formula, rounded to the nearest dollar, with no down payment, taxes or fees added. Your own rate depends on your credit, the lender and the vehicle.
Experian’s own example shows how much the rate matters: a $30,000 loan over 48 months costs $718.39 a month at 7% and $760.88 at 10%.
For a more detailed breakdown, see our car affordability calculator and guide on how much should I spend on a car.
How to Lower Your Car Payment
| Strategy | Effect |
|---|---|
| Buy used | Smaller loan amounts: Experian’s average used-car loan was $27,852 vs $43,610 for new in Q2 2026, though used-car rates are higher |
| Larger down payment | Reduces the amount you borrow, and so the payment and total interest |
| Shorter loan term | Higher payment but less total interest |
| Improve credit score | Lower rates: Experian’s average new-car rate was 4.41% for super prime vs 9.71% for near prime borrowers in Q2 2026 |
| Refinance existing loan | Can reduce rate if credit improved |
| Consider leasing vs buying | Lower monthly but no equity |
Bottom Line
Experian put the average new-car payment at $765 a month and the average used-car payment at $542 in Q2 2026. By state, the average payment on all outstanding auto loans ran from $586 in Rhode Island to $828 in Texas in March 2026, and average balances from under $20,000 in Michigan and Rhode Island to more than $30,000 in Texas. Your own payment depends on the price of the car, your credit, your down payment and the loan term, so compare loan offers on their rate and total cost, not just the monthly payment.
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