If you are going to finance a car...slap yourself if you do longer than 48 months

[b@squ1@t redux]

FOF this shit immediately after the next post

 

[blakfyahking]

Real talk, everyone should be paying with cash, but I understand everyone is not able to, so if you are going to finance the vehicle dont do a loan longer than 48 months, smh at fools nowadays

actually it's better to have a loan extended out as far as possible..........that way the payments are smaller

the real issue is not taking the whole life of the loan to pay it off

but making your payments on time for a longer period actually helps your credit score

/this is why you shouldn't take financial advice from just anybody SMH

 

[Itz Luigi Bitch!]

actually it's better to have a loan extended out as far as possible..........that way the payments are smaller

the real issue is not taking the whole life of the loan to pay it off

but making your payments on time for a longer period actually helps your credit score

/this is why you shouldn't take financial advice from just anybody SMH

but in some cases you can get penalized for payin shit off too early...rediculous but true...

 

[konceptjones]

actually it's better to have a loan extended out as far as possible..........that way the payments are smaller

the real issue is not taking the whole life of the loan to pay it off

but making your payments on time for a longer period actually helps your credit score

/this is why you shouldn't take financial advice from just anybody SMH

Longer payments means you're paying far more in interest. These newer 72 month car loans are a fuckin goldmine for the finance institutions. You're stuck in a loan for 6 years paying ultimately more in interest than if you got in for 48 months.

Ever wonder why banks try to steer you into a 30 year fixed home loan instead of the 15 year fixed loans that are available? The bank doesn't make as much money on you from the interest, that's why. The longer you're kept in a payment, the more interest can be collected.

Shorter term = more of your payment is principal over interest.

 

[blakfyahking]

Longer payments means you're paying far more in interest. These newer 72 month car loans are a fuckin goldmine for the finance institutions. You're stuck in a loan for 6 years paying ultimately more in interest than if you got in for 48 months.

Ever wonder why banks try to steer you into a 30 year fixed home loan instead of the 15 year fixed loans that are available? The bank doesn't make as much money on you from the interest, that's why. The longer you're kept in a payment, the more interest can be collected.

Shorter term = more of your payment is principal over interest.

yeah, that's true unless it's an amortizing loan

generally the difference between a 3 yr and a 5yr car loan is minimal, if your credit is straight

the goal is to have it extended out longer with smaller payments, but to go ahead and pay it off quickly

also @ the underlined, you have to consider inflation...........banks do actually make more money in a nominal sense with a longer loan, but it's inflation that fucks them over.............the inflation can screw you over as well if you just look at a 360 month amortization schedule

that way if something happens where you need to pull some money from somewhere (cause real life happens) you know you only obligated to make a smaller payment vs a larger one..........even if it's close to the same overall amount

 

[Well Got Dam]

Fuck what the loan length is. It's all about the APR you financed the car with. You can always pay more than what the monthly payment is and pay that bitch off early.

The only institutions that make you pay a penalty for paying a loan off early or those shady ass banks or credit unions. If you stick with a reputable institution you don't have to worry about that. But always take the paper them car dealers give you and read over that shit take your time, fuck them muthafuckas. Read the dam fine print.

 

[mike06]

lemme slap myself then....also for financing a FORD.....fuckin peice of shit

 

[DRO]

Alotta these new cars have 0% financing anyway... So that’s the deal