72 month finance

[mweisdorfer]

Anybody know the interest rate on a 72 month loan for a CPO 2008 X5 with A credit?

[s2kmugen]

from what the site says, it doesnt look like you can get special finance for 72 months.


"Financing Options
You can finance a Certified Pre-Owned BMW for a term of up to 60 months with no down payment required (subject to credit approval). When you finance the purchase of your Pre-Owned BMW, your name goes on the title. And when your loan period ends, you become the outright owner."

[Cdnrockies]

72 month financing is designed for suckers that can't really afford the car they want to buy.

[D.B.S]

72 month financing doesn't make much financial sense... Why you would want to be in debt for 6 years is beyond me for a car no less? I mean on my NEW '11 X5 my rate is 1.9%, and I still have 36 months left to pay off the car... Yeah, My payments are around 1800 a month, but that's because I don't like to finance a car for more than 4 years...

[sbb]

What's advertised and was your dealer can give you are very different (or what you can get from a CU). I agree with other posters though, 72 months is LONG. 60 month is as much as I'll go and try to pay it off sooner unless I get a rate like what I got on the 2011 X5d, 2.15% on 60 months while they were advertising 4.9%/60 months.

[mweisdorfer]

True no one wants to pay for 6 years on a car. What I do is stagger my cars payoff dates by at least 2 years. This way when a car is payed off we just take that payment we were paying on the car that was just payed off and put it on the car that is not payed off. In a sense doubling down on it. In addition, I like to throw a tax refund or two on it as well. It was money I never had so it goes towards paying off debt. Bottom line, 72 months gives me flexibility, and I can usually pay the car off in 5 years.

[roadkillrob]

72 month financing means you can't afford the car.

[D.B.S]

Originally Posted by mweisdorfer

True no one wants to pay for 6 years on a car. What I do is stagger my cars payoff dates by at least 2 years. This way when a car is payed off we just take that payment we were paying on the car that was just payed off and put it on the car that is not payed off. In a sense doubling down on it. In addition, I like to throw a tax refund or two on it as well. It was money I never had so it goes towards paying off debt. Bottom line, 72 months gives me flexibility, and I can usually pay the car off in 5 years.

Why not have a car paid off and not have any debt afterwards? This is the problem with America, everyone is in so much constant debt. Its no wonder the S&P lowered our credit rating from stable to terrible as a country...

Personally I am paying my Car off in 36 months (as I've stated before) and I'm paying off my Condo Mortgage in 15 years, instead of 30 Years... I hate debt, and their is no point in extending it further than it needs to be... I mean if you like paying the finance company more money to finance it longer, that is your choice, but it's YOUR money your throwing away... THey make money no matter what you choose to do..

What do you need to have two or more cars being financed for? What about a house?

Maybe you already own property, IDK, but it seems, rather stupid to stay in constant debt for one, two or more cars... To each their own...

[aeggroup]

Originally Posted by mweisdorfer

Anybody know the interest rate on a 72 month loan for a CPO 2008 X5 with A credit?

I think the best rate you can get from Bank of America. Here is the link :

http://www.bankofamerica.com/vehicle...ans-_-TextLink

I don't think 72 months financing is a bad thing in current financial situation.
Money is so cheap today - it does not make sence to throw money to pay off a car in 3 years. There are many other options to invest/spend your cash and enjoy life.

[Jappy]

Originally Posted by Army335xi

Why not have a car paid off and not have any debt afterwards? This is the problem with America, everyone is in so much constant debt. Its no wonder the S&P lowered our credit rating from stable to terrible as a country...

Personally I am paying my Car off in 36 months (as I've stated before) and I'm paying off my Condo Mortgage in 15 years, instead of 30 Years... I hate debt, and their is no point in extending it further than it needs to be... I mean if you like paying the finance company more money to finance it longer, that is your choice, but it's YOUR money your throwing away... THey make money no matter what you choose to do..

What do you need to have two or more cars being financed for? What about a house?

Maybe you already own property, IDK, but it seems, rather stupid to stay in constant debt for one, two or more cars... To each their own...

You pay $1800 a month for your car and I pay $800 which like a previous poster said gives me flexibility. I'll invest the other $1000 a month and in the end your car is payed off faster but we'll end up with about the same amount of money even if you start investing your $1800 a month when your done on the car. I will probably end up paying the car off in 5 but I like the flexibility. The comments in regards to not being able to afford the car if you're looking at 72 month finance are ridiculous. I myself am in the top 2% of US wage earners but at the time 72 worked for me, although as mentioned before I'll probably pay it off sooner. Different strokes, yadda yadda

[sbb]

Good point, not sure what's worse 72 months financing or leasing? In the end, if someone wants to finance their car for 10 years, it's their prerogative...

[NiceRide]

Folks make too big a deal about the lenght of financing. IMO if I could get 0% or close I'd extend the financing for as long as possible. It allows me to maintain a little more liquidity.

I have a '10 CTS-V. The whole damn car is being financed for 72 months.... and no I'm not a sucker who couldn't afford it in the first place....

[osteome]

Originally Posted by mweisdorfer

In addition, I like to throw a tax refund or two on it as well. It was money I never had so it goes towards paying off debt.

Uhhh, you always had that money. You just loaned it to the government at 0% when you had it withheld from you paycheck.

I prefer not to have a tax refund!

[Barbja]

My current car is financed for 72 months and so will my next. Having a car payment that is more than $900/mo makes me nauseous. That's more than double the payment on my first house! (Well, so the car cost more than my first house too, but that's beside the point...). My current payment is under $850 -- chump change it isn't, but not nauseating either.

The car will be traded in in three years or less, so what's the difference? I just put down enough cash so that I'm never upside down and, at the end of 3yr, I'll have the same amount of equity as the cash I put down in the first place. And then the cycle begins again... [To not be upside down when you drive off the lot with a loaded X5/X6 and stay that way with a 6y loan is not a small amount of cash -- quintuple digit].

Since I never want to drive a car that is out of warranty again, I have resigned myself to always having a car payment. I guess the way I'm handling it right now is kinda like leasing a car to myself for $850/mo.

[AlexGP]

From one of the most fiscally responisble people I know (myself): I consider car ownership completely personal and subjective. You have to (a) be 100% in love with the car you choose, and (b) be willing to live with the $ deal you have arranged. The rest is BS. Kind of like dating ;-)

[NiceRide]

Originally Posted by Barbja

I just put down enough cash so that I'm never upside down and, at the end of 3yr, I'll have the same amount of equity as the cash I put down in the first place. And then the cycle begins again... [To not be upside down when you drive off the lot with a loaded X5/X6 and stay that way with a 6y loan is not a small amount of cash -- quintuple digit].

Not liking your plan. That's quite a bit of cash down on a 72 month loan to ensure that you're never upside down...and why are you purchasing your cars if you turn them in after 3yrs anyway, regardless of how many miles you drive (can always buy additional miles at discount)?

[NiceRide]

Originally Posted by AlexGP

From one of the most fiscally responisble people I know (myself): I consider car ownership completely personal and subjective. You have to (a) be 100% in love with the car you choose, and (b) be willing to live with the $ deal you have arranged. The rest is BS. Kind of like dating ;-)

Someone with a voice of complete reason.

[Barbja]

Originally Posted by NiceRide

Not liking your plan. That's quite a bit of cash down on a 72 month loan to ensure that you're never upside down...and why are you purchasing your cars if you turn them in after 3yrs anyway, regardless of how many miles you drive (can always buy additional miles at discount)?

Because leasing in Texas is in no way set up to benefit the consumer. I come out behind in all scenarios when calculated with a lease.

Also, I can get rid of my car whenever I darned well please if I buy it. That is no easy feat with a lease. Considering that I'm trading in my 11 month old '11 E70 for a '12 E71, that would have been quite an important issue had I leased (and no, that's not something I ordinarily do. The shortest I've ever kept a car before is 7yrs).

Besides, driving a car that I don't own would totally freak me out. I'd go bananas about every little thing that happened to it 'because it isn't mine'.

[underpar69]

That is a ridiculous statement. I could buy 10 of the damn things for cash, However I have mine on 72 months, because my company pays for a car payment up to $1000. After 2-3 yrs, they buy it at wholesale value from me and I buy a new one. The rate on 72 months is important for me to see how much money I will make at the end of it considering they paid every payment for me. This also allows me to pay cash for the 2012 A8 I bought for my wife last week.

Originally Posted by roadkillrob

72 month financing means you can't afford the car.

[osteome]

Originally Posted by underpar69

That is a ridiculous statement. I could buy 10 of the damn things for cash, However I have mine on 72 months, because my company pays for a car payment up to $1000. After 2-3 yrs, they buy it at wholesale value from me and I buy a new one. The rate on 72 months is important for me to see how much money I will make at the end of it considering they paid every payment for me. This also allows me to pay cash for the 2012 A8 I bought for my wife last week.

If your company is paying your 72 month finance amount, then can you really comment on whether it is a good idea or not? It sounds like you are in an envious position compensation wise, but most would not be in a similar situation. If you company was not paying your payment, you would finance at 72 months with your cash reserves on hand?

The average person who is using the 72 month term to "afford" the payment should NOT be buying a car that expensive. Unless they are putting a ton of money town, they will be typically be behind from an equity standpoint and the interest rates are typically the highest, further harming the chances for equity until late in the term. Few people keep the car for six years, let alone for four. As the finance arms of the manufacturers have upped the length of the available finance term, they have not increased the warranty to match, another potential pitfall in overall costs.

The OP is looking at a 2008 CPO at 72 months...so at the end of the term, if the vehicle is kept that long, he/she will own 10 model year old vehicle with a likelihood of over 100,000 miles. There is the CPO warranty, but it is not as comprehensive as most think. I would not even consider a 72 month loan on new, let alone used.

Yes it is nice to have a low payment for a "cushion", but if one is budgeting that tightly on a car payment, and not putting a lot down, then maybe the whole plan should be reconsidered. A major, non-covered repair, and the budget can go to heck fast.

Just my two cents, but based upon my belief that there really is no such thing as "good debt". There is necessary debt (mortgage), but the average consumer's acceptance that they need or demonstrated willingness to go so readily into debt is a bit scary in my view.

[underpar69]

I agree to your points for most consumers. The whole reason for this post by OP seems they were just getting information on the 72 mo rates. I dont think he was looking for anyones opinion on whether that was a smart deal or not. I am sure they are more than capable of making their own decisions. My point is everyone is giving the OP advice/their opinions, and in fact he just asked for rate info. Nobody knows his circumstances, like mine above. When i see blanket comments like the one above and not being able to "afford" the car..its makes me wonder why they would make such a statement and not have any information about the person or situation. Also, just my two cents. PS osteome...Thank you for your service.

[Cdnrockies]

Originally Posted by underpar69

I agree to your points for most consumers. The whole reason for this post by OP seems they were just getting information on the 72 mo rates. I dont think he was looking for anyones opinion on whether that was a smart deal or not. I am sure they are more than capable of making their own decisions. My point is everyone is giving the OP advice/their opinions, and in fact he just asked for rate info. Nobody knows his circumstances, like mine above. When i see blanket comments like the one above and not being able to "afford" the car..its makes me wonder why they would make such a statement and not have any information about the person or situation. Also, just my two cents. PS osteome...Thank you for your service.

Well knowing your situation now, it would seem your company needs to learn how to do better math. It certainly seems like it works in your favor but certainly not theirs.

If you're not looking for "advice" don't post on the internet. Regardless of how you try to word it, you're going to get opinions....solicited or not.