monthly payment amount for a smart?

[Jimbo]

I went the credit union route, my term is 42 months at 4.5%. but I did it as a home equity loan. The interest is then deductible on federal taxes, so the practical interest rate is actually under 3%. I know many people think mining equity on the house is an iffy thing to do, but I've got less than a year to go on the 1st mortgage, so there's plenty of equity left, and precious little deduction to take. The fees are very low, about 100.00. I make the payments from a savings account at the credit union, automatically withdrawn every month. I had the program set up prior to getting the car; Since Smart was so slow about getting my baby to me, by the time I was able to pick it up I'd had the 1st 3 payments already made.

[NeWave]

Credit Union I've been with for 10ish years.
$180/mo for 5 years. 6%. About half down...

[jwight]

275 x 72 = 19,800.

Just an example of these long term auto loans; an 08 Passion is probably worth 11.5 to 12K right now; what will it be worth in 3 or 4 more years? Everybody's situation is different, etc. but being upside down on a car within the first year is really not a good situation IMHO.

[NCC1701]

Originally Posted by jwight

being upside down on a car within the first year is really not a good situation IMHO.

Maybe not. But, it is the normal situation isn't it? Unless you start out with a substantial down payment. When you finance 100%, you're upside down from the time you drive it off the lot and continuing for at least a year.

I've had mine for almost 10 months. I've reduced the principle by $3,020.51 in 10 months and I'm still upside down. IMO, that's normal. Give me another 6-12 months to get right side up.

[Carlarm]

I also did the one payment plan for my smart. My motto has always been "Don't borrow money to buy anything that depreciates in value." Most people buy new cars not because they need one but because they want one. Myself included. You can almost always keep your current car running for less than the monthly payments for a new car. Save your money and pay cash for the new car.

[jdlynch99]

My payment, is the same as my truck, and My Harleys, and the wifes PT 1 payment with 0 ballance due.

[ibking]

If this car is your transportation then finance wisely otherwise do not finance it if this is only a toy, if you have the means to pay for it outright, pay it off and have fun with it.