re: capital one/ my dealer..
Super Member
Joined: Apr 2007
Posts: 800
Likes: 1
From: Southern California
2014 GL 450
A HELOC is typically the best choice, although with a new job & a new house, it may be difficult to qualify and/or it may take a while to process the loan.
With the 7.85 interest rate, you're looking at total interest being repaid of $20,194.20 vs. the 7.95 rate over a shorter period of time at $16,897.33 (using the auto loan calculator at bankrate.com). Personally, I'd take the higher rate over the shorter period of time, but like others have said, it comes down to cash flow.
I ended up leasing the vehicle with the intention of buying it out at the end of the contract. For me, it works better that way. I get a bonus every year, so next year's bonus will cover the pay-off amount (I had a pretty good-sized down payment). And, if that bonus doesn't happen, I'll finance the pay-off amount in 4 years when the lease comes due.
With the 7.85 interest rate, you're looking at total interest being repaid of $20,194.20 vs. the 7.95 rate over a shorter period of time at $16,897.33 (using the auto loan calculator at bankrate.com). Personally, I'd take the higher rate over the shorter period of time, but like others have said, it comes down to cash flow.
I ended up leasing the vehicle with the intention of buying it out at the end of the contract. For me, it works better that way. I get a bonus every year, so next year's bonus will cover the pay-off amount (I had a pretty good-sized down payment). And, if that bonus doesn't happen, I'll finance the pay-off amount in 4 years when the lease comes due.
