Did you Finance or pay in full?

[ebmcs03]

There’s a couple threads about finance rates and such, seems like most people borrow. I’m curious how many just paid for their Model 3 in full.

 

[TurnFast]

I mean even if you have the means to pay cash. Unless something really crazy happens to the stock market, there's a good chance that investing the money you would have used to pay for the car in full will end up neting you a greater return than the interest you paid on the loan.

I was originally thinking pay cash in full (which is why I haven't had an edit button for 6 weeks) but after researching things more i'm now thinking I'm going to put 50% down and finance the rest.

 

[MXWing]

I mean even if you have the means to pay cash. Unless something really crazy happens to the stock market, there's a good chance that investing the money you would have used to pay for the car in full will end up neting you a greater return than the interest you paid on the loan.

I was originally thinking pay cash in full (which is why I haven't had an edit button for 6 weeks) but after researching things more i'm now thinking I'm going to put 50% down and finance the rest.

I’d finance $10,000 for 36 months even if I could be free and clear. Credit building and maintaining.

There’s always two extremes. Overleverege and non at all.

Kudos to the latter though if you had to pick 1.

 

[ebmcs03]

I mean even if you have the means to pay cash. Unless something really crazy happens to the stock market, there's a good chance that investing the money you would have used to pay for the car in full will end up neting you a greater return than the interest you paid on the loan.

I was originally thinking pay cash in full (which is why I haven't had an edit button for 6 weeks) but after researching things more i'm now thinking I'm going to put 50% down and finance the rest.

Maybe for you. Last time I played in the market I lose more than I gain. Sucks to be me.

 

[SoCalDude]

I got 2.39% for 60 months. So I put 50% down and financed 50%

 

[paladinfello]

Could have paid in full but financed $35k for 23 months at 0.99%. Put the money that I would have spent on the car in a high interest account and am getting close to 2% for a net 1% return.

 

[T34ME]

I mean even if you have the means to pay cash. Unless something really crazy happens to the stock market, there's a good chance that investing the money you would have used to pay for the car in full will end up neting you a greater return than the interest you paid on the loan.

I was originally thinking pay cash in full (which is why I haven't had an edit button for 6 weeks) but after researching things more i'm now thinking I'm going to put 50% down and finance the rest.

If you finance, you will have higher insurance premiums and less flexibility on how you want to insure your car, than paying in cash.

 

[MXWing]

Maybe for you. Last time I played in the market I lose more than I gain. Sucks to be me.

Don’t “play” the market.

Index funds totally acceptable. Set and forget. Just don’t do only ONE fund. You need baskets of baskets.

 

[MXWing]

If you finance, you will have higher insurance premiums and less flexibility on how you want to insure your car, than paying in cash.

If you drive a Tesla you generally should have an umbrella which mandates minimums anyway.

 

[HopeToGolf]

Could have paid in full but financed $35k for 23 months at 0.99%. Put the money that I would have spent on the car in a high interest account and am getting close to 2% for a net 1% return.

Before taxes paid so not quite “net.”

 

[Wubbles]

I mean even if you have the means to pay cash. Unless something really crazy happens to the stock market, there's a good chance that investing the money you would have used to pay for the car in full will end up neting you a greater return than the interest you paid on the loan.

I was originally thinking pay cash in full (which is why I haven't had an edit button for 6 weeks) but after researching things more i'm now thinking I'm going to put 50% down and finance the rest.

This is what I did. 60% down. Financed the remaining 40%. Will try and get the loan paid off quicker than 72 months.

 

[sdrevik]

40% down, 60% at 72 months, 4%.

I would never assume anything about the market. Most days we are at 0% for YTD.

 

[WattsHappening]

I agree with the idea of getting a loan even if you can afford to pay cash for the purpose of credit building. However, the whole purchase process is so much easier if you pay cash.

 

[gambit48]

I've got plenty of other things to help me build credit. My key decision was whether I'd get enough in return in exchange for the hassle and lack of peace of mind of having another payment around.

Tesla kind of took that decision away from me. Gave me 48 hours notice right before me going out of town so I ended up just paying cash to make things simpler. Financed another other car I had to get later to replace my super old ones.

 

[RFernatt]

I would hazard a guess that many buyers are not so young that building credit is a concern and keeping it simple is a factor.

 

[RandomCony]

I was able to pay in full but rates are pretty cheap right now so I allocated my full amount with 50 down 25 investments 25 savings.

 

[insaneoctane]

Who's got the biggest, long-term payment??? Anyone 60 months or longer, what's your payment?

 

[SageBrush]

There’s a couple threads about finance rates and such, seems like most people borrow.

Were you expecting threads about how to pay in full ?

 

[RedModel3]

I got a loan because my credit mix was hurting my score - sometime it's bad to NOT have loans or credit cards. But I'm going to not only pay it off sooner, but I just found out my loan was sold to Wells Fargo (BOO HISS) so I'm going to go to the credit union to see what I can get. When I took out the loan, Tesla had the best rate for me.

 

[SoCalDude]

If you drive a Tesla you generally should have an umbrella which mandates minimums anyway.

Yes on the umbrella policy. But got it before the Tesla.