Survey: U purchase? Lease? or Finance ur FRS? How long is the Term?
 

How you guys get the FRS? I Finance it for 6 years which I think I will try to get a better rate next year and pay extra in order to own it soon.

One check.

I was always told to never buy anything unless i can pay it up front right there, right now.

http://www.ft86club.com/forums/showthread.php?t=29418

Finance, leasing only makes sense if you're going to get rid of it in a year or two anyway. In my opinion why pay for it if you don't own it? 6 year term, should be paid off in about a year and a half if I budget properly.

5 Year Jumbo CD APR 1.85%
Auto Loan 1.49%

Make your Money work for you.

I wrote a check for the full amount. I've never financed a car. No car payments for me.

Financed for 6 years through the dealership at 3.5% APR and got a $500 discount. Waiting 3 months as required to get the $500 discount before refinancing through my bank at 2.5% for the remaining term.

Hope to have it paid off in 4 years. My house will be paid off in 3 and then when I add that payment to my normal car payment I should have it paid off within that year.

Then I will have 1 year left on my truck and I will be debt free!!!!

Two checks for me: one deposit, one to finish it off.

Seems like compared to you guys I'm living life on the edge YOLO style with my 5 year finance

Yeah...

I'm not so sure how wise it is to simply write it off as "only pay cash for cars"

Especially when you can get a low rate. You'd be better off investing it for the 5 years instead of spending it on the car.

I got a 5 year loan with 3% rate.

5 year 2.89% interest. I wish i had the money to just pay cash, but as a younger guy i figure its better to get my credit built up

I financed for 2 years after a large down payment, have enough to pay it out but would rather use the payments to maintain and build up my credit rating.

Make payments. Money is so cheap to borrow now it's ridiculous.

This is what i plan on doing as well :)

Am I the only one who read that paying off loans early actually hurts your credit score?
.....

I've heard the same thing, not sure if true or not to be honest.

This right here living BELOW your means, and a couple decent investments will make you a multi-millionare

im not sure if it is the same in canada and the states, but as a 22yr old it just makes sense to build my credit rating. i don't think paying off early would hurt your credit, if anything it would add to it.

financed w/ 75mo @ 4.74 interest. Will refinance after a year for a better interest rate

60 months at 1.74% with a 8k trade in.

75 months at 2.29%. Hope to have it paid off in 2.5 years.

Purchased

60 months, forgot the interest. But my parents are paying the car off for me <3

It depends on your credit history.
If you dont have a long credit history (3-5+ years of solid payment history on multiple credit accounts) then paying off your debt too early actually does hurt your rating.
So if you only have 1 or 2 open credit accounts with balances on them and dont have a big credit payment history I suggest not paying off your balances too early. You need to make regular payments and build a history showing that you make payments.
I know it seems counter intuitive but that is not how the bureaus work. Part of the credit score calculation is dependent on your payment history. Therefore if you pay off your balance too early you have no "payment history" to calculate.

On topic:
Financed mine 5 years @ 2.3% for a payment of $455.

Financed mine last June through the dealer to get the $1000 college grad rebate at 3.5%.
Four days later I went to my bank and refinanced at 1.99% for 62 months.

You should've made this a poll... I don't really see why people are bashing the financing option. If you're younger and want the car, or just want to build up your credit rating all-together than it just makes sense to finance with rates under 4%.

Not sure if i'm missing something that's different in the states to here but if you lived your whole life by the "only buy something if you can pay for the whole thing" most people would be homeless fyi...

Agreed.

As a recent college grad I have student loans with significantly higher interest rates than with an auto loan, so it makes more sense to pay more money towards those loans than towards buying a car outright.
No reason to bash on financing imo.

Financing. I haven't taken delivery yet, so I can't nail down my rates, but it'll probably be around 2.6% @72mo. Payments around $285/mo. At the rate I'm going now, I should be able to pay the car off in 4 years.

I'm young with a good job, but I have ~$80k in student loans and can't wait around saving money to buy the car outright given the condition of my current car. In the end it'll help build my credit, and with my down payment I'll never owe more than the car is worth.

I won't be out of student debt for the next 15-20 years anyway, so if I can afford debt that gives me both happiness and a means to get to the job that pays for my student loans and living costs every day then it works out.

It's criminal what our interest rates are. Mine are 6.8% with one at 7.8% through Uncle Sam. What are you looking at?

60 months at 2.9% financing.

i put about 8k down between tradein/cash.

i have about 20k financed.

Mine are the exact same, with a total of just under $70k. :(
I think it is absurd that I can get below 2% interest on a car loan, but have student loans around 7-8%.

Seriously. I can get a joe-schmo loan from my bank for 3%. I considered doing this to pay off my student loans cheaper and faster.

The high interest rates come with a wonderful benefit though: Super-low risk. Can't make a payment? Fine! Want to lower payments? That's okay! Just let us know when you can! No repossessing, no debtors calling you every night with threats (unless you fail to work it out with the loan agency). It's pretty awesome, but that interest....

fully finance 66 month For 3.25% from Toyota. Will refinance later.

I have better plans for my money right than paying down payments.
aka saving a bit more to pay downpayment for a house, so I don't have to pay rent, and interest on mortgage can be use as tax write off anyway.

Also, to Xenith,
you might want to reconsider on paying up the student loan first.
Since student loan interest are tax deductable as well.

5 year loan at 2.65% -- going to have this paid off in 2 1/2 years. shouldn't be too bad.

Financed about 22k low APR, will be refinancing in May with USAA to get lower rate, in prep for a home purchase.

This issue whether or not to pay CASH or finance really depends on your financial situation. Paying cash for the car really feels good ... if you can swing it. Nothing like owning a depreciating asset and owing zero on it. A sense of financial well-being. But ..... if you run a small business and cash flow is an issue ..... then financing or LEASING makes sense. I recently purchased another car with a large down payment and financed the remaining through PenFed at 1.49% for 5 yrs. This is cheap money. It is easy to become a member of PenFed. Just go to the website PenFed.org and follow the instructions on becoming a member. You can also refinance your current auto loan with them.

agree, It honestly depends on your plan your life. Paying upfront might not be the best option for everyone.