3 ms·
I think by definition if you have to take a loan out to buy your car then you can't afford it. The only reason I would ever take a loan out on a car would be if
by guidoism 7y ago
I think by definition if you have to take a loan out to buy your car then you can't afford it. The only reason I would ever take a loan out on a car would be if it were at 0% interest and even then it would be such a small amount of gain as to not be worth the mental effort.
- tomrod 7y agoWe bought a van a few years back, and the total interest paid came out to $700 total. That was worth the credit build to us. And in our minds that was what we purchased: low interest for an asset we needed and one we earned many multiples in interest because we held a large portion of the principal.
- 0xffff2 7y ago0% is the wrong number. You should take the loan if the rate is less than your expected rate of return on parking the cash in an investment vehicle that matches your expected rate of return. That is certainly higher than 0%.