SnakeDoctor
Super Freak
Why do people pay down soooo much cash when buying a new car? Is it because the finance rates you're getting aren't so good?
Money talks. Cash discounts are all over the place ... but people charge and finance so much that they don't even know to ask.
You'd be surprised at the discounts you can get on a car if you walk into a car dealership ready to pay in cash. It puts you in the superior negotiating position ... instead of begging the nice car man to borrow some money to buy a car, you've got the car guy begging you to buy his car. You'd be shocked at how reluctant a car dealer is to let you take your $10K somewhere else (and, even if they let you walk ... there's always somewhere else to go).
In the end, financing always costs more ... even 0% financing has you asking their permission to buy their car. That alone gives you less negotiating power on the price.
With the possible eventual exception of a mortgage, I won't borrow another dime. I'm done with car payments. The opportunity cost is just too much -- just think what you could do with an extra $400 - $600/mo. for the rest of your life. If you invest it, you could literally retire with millions ... hope you REALLY like the car.
SnakeDoc