Overhaulin' - i have about 4 thousand saved up for a new car. buy cash or credit?

i have about 4 thousand saved up for a new car. buy cash or credit?

i want to get a scion tc used and they run for about 10000 what should i do credit or cash?

Public Comments

If you only have $4,000 saved then you'll need to finance the car.
CASH CASH CASH !!! believe me you do not want to deal with financing companies, and interest rates during this economic state we are in. Be smart and go for the used but not abused line of automobiles
CASH for sure! Believe me you do not want to get into a crappy loan like I did. But if you are trying to get credit established, use the money for down payment (take enough out to pay sales tax so you can get plates! Around 1000 to make sure.) And with a good down payment like that look for a short term loan with the lowest interest rate. Shop around for loans most definately and ask LOTS of questions. And if you have a good cosigner you can get next to nothing on the interest rate with the economy the way it is. Now is the time to buy.
I would say that it all depends on the vehicle you want. You could find a real nice used one and pay cash. Then you don't have payments. With a vehicle title in your hands, or you could put a huge down payment on a really nice $10k car and get a really good interest rate and extremely low payments.
Congratulations on saving $4000! Just buy a $4000 car and don't get a loan. Not having a car payment will bless your life.
With today economy I would find something that you can pay cash for, sometimes you can check around with the banks and credit agencies and make them an offer on something they repulled, because they make most of their money for the loan during the first 2 years of the note, so you can buy something at loan value or cheaper !
all depends on how long u plan on having the car.... and the mileage u average per year.... also, if u have a good credit score, a low interest loan is no problem for you... why tie up your cash if you can get a loan for nearly no interest... plus, while having that loan, you continue to build a credit score even higher than b4... thats worth its weight in gold.. in todays economy banks and finance companies are looking a little closer at your payment history and not taking the risks they used to.. put 1/2 your cash down, get a low interest loan, and pay as you go.. before you pay the car off, you'll end up trading it in anyway... think of this, how many people do you know actually buy a brand new vehicle and keep it until, #1 their loan is completly paid off or #2 run it till the wheels fall off.. less than 20%. keep ur cash, get the loan, run the car, pay some interest, continue to build credit, and when its time to trade up, you still have some cash in your pocket.... it makes sense... whatever you do make sure you get a warranty.... i cant stress that enough... in 2 years time, i can almost promise it will be worth every last penny.. just make sure its from a company in good standing that doesnt throw alot loop holes in it... good luck in whatever u decide
I would agree with some posters, if you have $4000 in cash saved up for a car, you'd be best served buying cash. If you bought new, the sticker price might be $10,000, but tack on the interest rate, down payment, length of loan, that could be $11,000-$14,000 depending on the terms of the loan. $4000 will buy a very nice car that's used but not abused, as stated. If I were you I'd find a car up to $4000 in cash and buy it outright, that way the keys and title is in your hand You would then be the owner of the car free and clear with no payments to anyone.