View Single Post
Old 02-27-2010, 01:07 PM   #15
Chip
 
Chip's Avatar
 
Drives: 1969 Chevelle SS '96 riv
Join Date: Jun 2009
Location: Warren, pa
Posts: 58
Quote:
Originally Posted by Fandango View Post

First Case:

New 2SS/RS $37,000 -$2000, - $8000 in trade = Present Value of $27000

PV= $27,000
Interest= 7% APR or .5833 APY (car Loans really go by this monthly compound)
Future value= $0
Period = 60 months
Payment = $534.63

Second case:

USED 2SS/RS $31,000 -$2000, - $8000 in trade = Present Value of $21000

PV= $21,000
Interest= 7% APR or .5833 APY (car Loans really go by this monthly compound)
Future value= $0
Period = 60 months
Payment = $415.82

So, after 24 monthly payments if I buy the car by the end of the year will leave me in Dec of 2011 or Jan 2012, leaves me with a balance of $17000 on the NEW Camaro or about $13,000 on the USED.:(
Wrong.

as a finance guy you should know, you first pay the intrest on the loan... then the principal. so for the first 24 months of a 60 month contract you have paid almost nothing but intrest and will still owe WAY more than 17 or 13, probably more like $25,000.

if a Z28 is what you desire, and you will not be happy unless you have one i would wait, make those $400 Camaro payments to a dedicated savings account once a month and in 24 months you have darn near $10,000 and a mazda as a down payment on your new Camaro!
Chip is offline   Reply With Quote