Compare the disclosed APR
When two payments look similar, I’d look one line deeper. The interest rate tells you the price of borrowing the principal; APR describes a broader annualized borrowing cost that includes certain fees. Keep the amount financed and term the same, then read the itemized charges.
A smaller payment can be appealing without belonging to the cheaper loan.
The preview’s simplifying assumption
OffLot uses a fixed-rate amortization formula and an illustrative APR input as that formula’s rate. It is a learning estimate, not a lender’s Truth in Lending disclosure or a fee-adjusted APR calculation. Taxes and a demo fee are shown separately in the amount financed.
Use an original two-offer worksheet
Imagine two made-up loan offers with the same principal and repayment period. One has a lower stated interest rate but a separate origination charge; the other has a slightly higher rate without that charge. You cannot identify the cheaper borrowing package from the interest-rate headline alone.
Compare the disclosed APR and finance charge, then examine what each fee buys and whether it is included in the financed balance. No rate in this exercise is an actual offer.
In the preview, keep the selected car, down payment and term fixed while reading the calculator. Note the amount financed before discussing interest. If a real offer uses different payment timing, fees or rate conventions, its contract can differ from this simplified estimate.
Ask for the written disclosures rather than asking Sophie to reverse-engineer an undisclosed loan.