KevinR

Really good concept here^^^

Z Fury

iTrader: (1)

I'll concede the argument as I always hated future value calculations, and there are too many variables to consider. I've recently settled into the mindset that if I have the money in the bank to pay for something, I pay it, unless the financing is 0%.

I completely agree that CPAs are conservative though. I am one also.

Lethal Z

In a world of mortgage pmts, credit cards, college tuition, insurance, property taxes and a slew of other house hold bills I don't see many being able to pay off a $38K dollar car in 3 years. With the price of vehicles soaring im starting to see more and more advertisements for 6 years. Buy hey if you got it like that, more power to you.

06 SS

Just because they offer the loans for that long (on a depreciating asset no less), does not mean they are a good deal for those buying it. My own rule of thumb is a four year loan, not that it matters to anyone else. Perhaps a buyer might want to explore the idea that a 72 month loan does mean that they cannot afford that particular car. Probably upside down on it for over four years, stolen, wrecked, tired of it, whatever, you end up owing more than it is worth for a very, very long time.

Lethal Z

I agree with you completely, a smart shopper (that has the money) and can afford to make a nice down pmt and or double up on pmts to get paid off in 4 years or less is definately the way to go. With that being said there is a reason 72 month car loans exist. They may not be the smartest way to buy a vehicle but there are those that don't care. They want what they want when they want it and will pay the extra interest to get it. Smart? No but it is an option.

I think its crazy to buy any car brand new IMO. Buy it used and let someone else take the hit.

silver2010

CASH! But you are to old when you can afford it to enjoy it like you would have as a young guy.