[OAC_Sparky]

Phantom,Mar 26 2006, 04:36 PM Wrote:My focus 450/month 1.9% interest 500 or 1000 down can't remember. 60months, and that's with the insurance on the loan.
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That's what I'm saying.

$450 x 60 is $27,000 plus even $1000 is $28,000 INCLUDING interest and insurance.

FV=P(1+r)^n

Mathematically if you work backwards you paid approximately $24,500 for your 2005 Focus. The rest was interest.

Which is why I find it hard to believe that we are comparing things equally.
1.9% interest is about the highest rate in the past 5 years on a Focus through Ford Credit. So, obviously, $0 was put down or you financed through the bank for a lot higher interest, if your monthly payments were $500.

To get a monthly payment of $320 on a $23000 car, whether a 4 or 5 year loan, more money had to be put down a ZERO interest loan. And EVEN MORE if the interest rate was higher.

Apples to apples.