Yeah, hmm, that's interesting. Well then it seems to me if interest wasn't an issue, you'd want to stretch the payments out as long as possible - money loses value over time because of inflation, so it's easier to pay $350 in a few years than it is to pay it now (because that same dollar amount is actually worth less in a few years). Plus, money you hang on to can be invested instead of just given away. For example - if you wanted a 36 month loan, it would make more sense to get a 72 month loan, so the payments are half as much, and then each month invest the other half in something that appreciates value, like a reliable stock, or a CD account or something. Then, after your 36 months are up, and you've paid off half of the car, and you've invested the other half of the car's value in an account that earns interest, you can pay off the rest of the car with the money you put in that account, and keep the interest it earned to yourself!
At least, that's how i see it, when no interest is involved...
My other question is this:
I found a certified pre-owned '08 redline in the color combo that i want with about 4k miles on it from a woman who decided she'd rather have an auto. I can get it for $27k, which is pretty good, but i know that with the '09's coming out, new '08's are gonna be discounted a lot soon too... Should i offer them even less for the used one? Like $25k? Or is $27k good? Or should i wait and see if a zero percent deal comes back? And if zero percent does come back, do you think it will only be for '08's?
I really want to wait and see if the zero percent financing comes back, because then i can get a 72 month loan and just have silly low payments, but i'm worried that it won't and i'll have missed out on a good deal on the used one.
Or if i wanted to play it safe i could buy the used one, and then trade it in if they do zero percent, right? But how much would i lose if i did that? Or is that not so bad of an idea?
Turns out i have a lot of questions, but you guys are really helpful and i appreciate it!
-Taylor