My wife and I got accepted for 2 cars through her CU, and we can borrow up to $46k in aggregate for the cars! She is looking at a 1999 Jeep Grand Cherokee. I plan on buying a 2002 Nissan Altima. In order to keep the overall payments down because we are looking to buy a house in the very near future, I have two choices on my car: 1. Buy the high-end 4 cylinder and finance over 5 yrs. 2. Buy the high-end 6 cylinder and finance over 6 years. Our interest rate is 5.75%. Nissan does not have any special financing terms for the Altima right now, but they do have special terms for other models though Anyway, I figured that it would cost me an additional $1k over the life of the loan to finance for 6 yrs. What would you do?? BTW, my wife has the account with our CU...They didn't even pull my credit when determining our loan (but they did include my salary) even though we filed jointly. It may be something to look into if your spouse has the better credit and you want a loan!
My advice forget the 6 year financing. For the first 2 years you are paying nothing but interest toward the car. You stated it was only a $1K, but $1K is alot...it would buy everybody Xmas presents for this year, it would make most people's mortgage payment, it would pay 2 months worth of payments toward your new car, and it would buy most people's groceries for 3 months. Not to mention it would take a nice chuck out of credit card debt (if you have credit card debt) or it could be the start of a great emergency fund or a CD. Sorry I am accountant...am I hate wasting money. Dani
Sorry I am accountant...am I hate wasting money. Dani, I like the way you think. If only my girlfriend thought the way you did. I would have more money. Get it I!!!
Buy a mid-size Honda sedan, finance for 4 years or less, and when you finish paying for it, hug yourself for Saving hundreds of dollars in gas (and everyone's lungs) Saving thousands of dollars in interest Having a car that's still worth keeping Having a car that's also still worth selling I'm only being partly facetious. It's all the President's fault, really. He's truly an inspiration. Brings out the rabid environmentalist in me. Grrr. It's also way past my bedtime. Late-night loopyness. I also live in Atlanta. Home of the longest average commute in the world, and some of the worst air quality in the country. -ingenue
Ingenue, It is too late to take your advice. I bought the 4 cylinder Altima Thursday night. I previously had a Civic that never had any problems, so I know what you are talking about when it comes to Honda cars. Lastly, it probably is not a good idea to start a political debate
