Help on finance numbers.
07-23-2009, 03:38 AM
#1
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2008 C350
Help on finance numbers.
Its been a year since I bought my 08 C350 with a deal of 39500 OTD.
I've decided to finance the car with 25000$ downpayment and the rest to be financed over 3 years. I've been paying 538.15$ per month and when I caculated the total amount it turns out that I have to pay an interest of about 4300$
Does these numbers seem right or am I being ripped off???
Thanks
I've decided to finance the car with 25000$ downpayment and the rest to be financed over 3 years. I've been paying 538.15$ per month and when I caculated the total amount it turns out that I have to pay an interest of about 4300$
Does these numbers seem right or am I being ripped off???
Thanks
07-23-2009, 05:21 AM
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Depends on your interest rate. You will spend a great deal of time paying off your interest first in the finance.
My C350 was purchased for 43k in October of 2007 and I had a downpayment of $20k, rest financed over 60 months at 6.9% interest(I'm young :/). My payments are $397/mo currently.
My C350 was purchased for 43k in October of 2007 and I had a downpayment of $20k, rest financed over 60 months at 6.9% interest(I'm young :/). My payments are $397/mo currently.
07-24-2009, 02:39 AM
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ML350 W164
kimgoon320 & imboom,
I tried to calculate both your numbers. They don't match?
First for imboom, if what you are saying is true, you are financing 43k-20k equals 23k for 60 mos @ 6.9%. Is this APR or Flat Rate? Auto financing tends to use Flate Rate.
If it is a Flat Rate, your installment would be (23k + 5x6.9%x23k) divided by 60 mos. It equals to 515.68/mo. But if you say the installment is in fact 397/mo, then the interest equals to (397x60)-23k or 820. 820 over 23k in 5 years, comes to a Flat Rate 0.71% or APR 1.44% yearly.
Secondly, for kimgoon320. You are financing 39.5k-25k or 14.5k over 3 years. If your installment is 538.15, you are paying interest of 36x538.15 - 14.5k or around 4,873 for three years or 1,624 yearly. This interest over a loan of 14.5k is equal to a Flate Rate of 11.20% or APR of 21.14% yearly. Unless the number is wrong, I think it is expensive
I tried to attach an xls file of the calculation, but I don't think it is possible. I'll try pdf file later.
Regards.-
I tried to calculate both your numbers. They don't match?
First for imboom, if what you are saying is true, you are financing 43k-20k equals 23k for 60 mos @ 6.9%. Is this APR or Flat Rate? Auto financing tends to use Flate Rate.
If it is a Flat Rate, your installment would be (23k + 5x6.9%x23k) divided by 60 mos. It equals to 515.68/mo. But if you say the installment is in fact 397/mo, then the interest equals to (397x60)-23k or 820. 820 over 23k in 5 years, comes to a Flat Rate 0.71% or APR 1.44% yearly.
Secondly, for kimgoon320. You are financing 39.5k-25k or 14.5k over 3 years. If your installment is 538.15, you are paying interest of 36x538.15 - 14.5k or around 4,873 for three years or 1,624 yearly. This interest over a loan of 14.5k is equal to a Flate Rate of 11.20% or APR of 21.14% yearly. Unless the number is wrong, I think it is expensive
I tried to attach an xls file of the calculation, but I don't think it is possible. I'll try pdf file later.
Regards.-
07-24-2009, 03:14 AM
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2008 C350
Found out my interest rate was 14.75
When I calculated through Yahoo finance, it came out to be 522$ which is almost the amount that I am paying right now.
The reason I think why my interest rate is so high is
1. Not US citizen
2. No credit record what so ever before I started to finance this car.
3. Maybe age affects interest rate also(24 current 23 when purchased).
Sucks to be non US citizen...
When I calculated through Yahoo finance, it came out to be 522$ which is almost the amount that I am paying right now.
The reason I think why my interest rate is so high is
1. Not US citizen
2. No credit record what so ever before I started to finance this car.
3. Maybe age affects interest rate also(24 current 23 when purchased).
Sucks to be non US citizen...
07-24-2009, 04:24 AM
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kimgoon320 & imboom,
I tried to calculate both your numbers. They don't match?
First for imboom, if what you are saying is true, you are financing 43k-20k equals 23k for 60 mos @ 6.9%. Is this APR or Flat Rate? Auto financing tends to use Flate Rate.
If it is a Flat Rate, your installment would be (23k + 5x6.9%x23k) divided by 60 mos. It equals to 515.68/mo. But if you say the installment is in fact 397/mo, then the interest equals to (397x60)-23k or 820. 820 over 23k in 5 years, comes to a Flat Rate 0.71% or APR 1.44% yearly.
Secondly, for kimgoon320. You are financing 39.5k-25k or 14.5k over 3 years. If your installment is 538.15, you are paying interest of 36x538.15 - 14.5k or around 4,873 for three years or 1,624 yearly. This interest over a loan of 14.5k is equal to a Flate Rate of 11.20% or APR of 21.14% yearly. Unless the number is wrong, I think it is expensive
I tried to attach an xls file of the calculation, but I don't think it is possible. I'll try pdf file later.
Regards.-
I tried to calculate both your numbers. They don't match?
First for imboom, if what you are saying is true, you are financing 43k-20k equals 23k for 60 mos @ 6.9%. Is this APR or Flat Rate? Auto financing tends to use Flate Rate.
If it is a Flat Rate, your installment would be (23k + 5x6.9%x23k) divided by 60 mos. It equals to 515.68/mo. But if you say the installment is in fact 397/mo, then the interest equals to (397x60)-23k or 820. 820 over 23k in 5 years, comes to a Flat Rate 0.71% or APR 1.44% yearly.
Secondly, for kimgoon320. You are financing 39.5k-25k or 14.5k over 3 years. If your installment is 538.15, you are paying interest of 36x538.15 - 14.5k or around 4,873 for three years or 1,624 yearly. This interest over a loan of 14.5k is equal to a Flate Rate of 11.20% or APR of 21.14% yearly. Unless the number is wrong, I think it is expensive
I tried to attach an xls file of the calculation, but I don't think it is possible. I'll try pdf file later.
Regards.-
