TravelingDeacon
New member
Help me, Calloway/Finance/Math Deacs!
1. If I have 15k to put towards a down payment on a new car, do I do it? Or, am I throwing this money away (i.e., I should invest in mutual funds instead and get the better rate of return)?
2. Next issue: It looks like I can get a 25k loan at 2.99% for 48 months or 3.49% at 60 months. From my calculations, I lose about $700 in interest payments on the longer loan, but each monthly payment is about $100 less (and I could theoretically invest that 100 bucks a month and out beat the interest rate). Which do I take?
In sum, what do I do? Big down payment? Loan with better rate? Loan that keeps an extra 100 bucks in my pocket each month?
1. If I have 15k to put towards a down payment on a new car, do I do it? Or, am I throwing this money away (i.e., I should invest in mutual funds instead and get the better rate of return)?
2. Next issue: It looks like I can get a 25k loan at 2.99% for 48 months or 3.49% at 60 months. From my calculations, I lose about $700 in interest payments on the longer loan, but each monthly payment is about $100 less (and I could theoretically invest that 100 bucks a month and out beat the interest rate). Which do I take?
In sum, what do I do? Big down payment? Loan with better rate? Loan that keeps an extra 100 bucks in my pocket each month?