I want to buy a new car with cash in my bank account

I want to buy a new car with cash in my bank account. I want to ask advice.

2 REPLIES

Hi @cyfirgens! Thank you for reaching out. Congratulations on your upcoming purchase! What questions might we be able to try and assist with? ~Holland

Interest rates are way too low to pay all cash up front.  My car loan's rate is 2.15% - on a USED car.  If your income allows you to fund a ROTH IRA, max it out now and in January (for 2022).  That would be about $13,000. invest the bulk of the money in monthly dividend payors at a much higher rate than your car loan. You'll come out on top.

OR, simply keep the cash and pay the car note from your paychecks.