FINA4

What is the most common financing length term that people select? 24/36/48/60 months?

UmIsThisThingOn

I did 66 mths.

81bear

This should really be based on your financial positions and/or the offered interest rate compared to ROI on current investments.

I went with a longer term finance with little down and a baloon payment at the end as the rate was 2% to borrow and currently I'm making a blended 9% ROI.

carguyrob

Something I read a few months back said that the average term of new car loans in the U.S. is now at 63 months in length. Most people arn't going with longer terms because they are leveraging their cash with their investments rather than buying the car outright (or going with a shorter term loan)...they are doing it because they can't really afford the cars they really want to purchase!

DrVolkl

With my Porsche, I put 50% down and financed the other 50% for 60 months. Throwing extra money at it whenever I can, should be done in 3-4 years.

I'm leasing the S4 because at the time it made more sense... just doing the standard 38 month lease. I'm also throwing a little extra towards it so I get a few months of free car at the end, or I can use that extra money on my next down payment or put it towards the purchase if I chose to do so.

I haven't leased a car in about 10 years... but I go through them so quick I figured this might be a better lesson for me... chances are I'll keep it the entire term of the lease.

If I knew for sure that I wanted to keep this S4, I'd do a purchase.... but then again if I did that, I'd probably buy one with a few miles on it to lesson the depreciation hit.

planbs4

72 months with 4.4 and 25k down payment...Right now working just part time, but after I pass the CPA exams I plan on paying the car off within a year or 2.

sf_loft

There is not standard as it gives you the option of what payments you are comfortable making. I buy my cars outright but will finance on purchase. You usually get a better deal if you finance, at least with BMW, because the dealers get incentives from the financial institution. So I usually put 25%-50% down, finance the rest with which ever APR is lowest, then pay off the remaining before the first bill arrives so that I don't get charged any interest. I will only finance if the rates are dirt cheap (< 3%). With conservative investments you should be able to get 5% returns per year, but since you lose value on the car as soon as it steps off the dealers lot, why compound interest on top of a depreciating asset. What rates are you getting?

xxShadowxx

Putting down about $10k on my S4, but have pre-approval for 3.9% financing. Will probably do 60 or 66 months for loan term. Given the low interest rates, I'd rather have my money doing other things.. I don't have much other revolving debt, so using the car to help keep my credit rating high.

lasallecrew2

0 months. will be 100% payed by the time its ready for me to pick up.

seinsmeld13

I had a valuable trade plus cash, still went long term as the financing was such a sweet deal. I should have it paid off within three years.