New car.

[SuperTool]

If you had the cash to buy the car you want, vs finance it at 4-5%, which one would you do?

 

[thawolfman]

1/2 cash down finance the rest? 😕

 

[Isshinryu]

If you have the cash, why not just pay cash for it?

 

[SuperTool]

Originally posted by: Isshinryu
If you have the cash, why not just pay cash for it?

Well, the question is what is inflation, and what return I can get on that money.

 

[NickelTitanium]

personal. pay up front.
business. finance.

 

[SuperTool]

OK, I am clueless about this. If I finance a car, can I pay it off early to stop accruing more interest?

 

[natto fire]

Most auto loans allow early pay-off without penalty fees.

 

[OMG1Penguin]

Depends if you would invest the money... s&p, small-cap, and international indexes (or wtf the plural is), money equally divided between, have averaged 12% something per year over the past million years.

If you're just gonna blow the money, might as well pay cash.

DO NOT get gap insurance at the dealer!!!!! Your auto insurer can get you this much cheaper. (Gap insurance covers you for if your car is totalled and you owe more than it is worth)

 

[SuperTool]

Originally posted by: Captain_Howdy
Most auto loans allow early pay-off without penalty fees.

So if you pay it off in half the time, you don't have to pay interest over the second half? Or do you have to pay the finance charge over the full term?

 

[cchen]

you can pre-pay with no penalty for most car financiers