PriceProtect™
DriveShield™
GarageGuard™
Services
Insurance
Car Insurance
Compare Car Insurance with Jerry
Jerry’s Expert Advice
Car Insurance Estimates
Home & Renters Insurance
Renters Insurance
Repairs
Car Repair Estimates
Repair Estimates for Popular Services
Advice
Read Car Content
Browse Jerry Car Advice
Check Out Expert Car QnA
Learn About How We Create Content
Jerry Data & Research
Should I get a car loan for a Mustang if I have the cash to pay it off?
"I have $30,000 saved up for a Mustang. However, I was wondering if I should get a car loan anyways.
Is it better to pay cash for the car or get a loan if I was quoted 3.19% on a 48-month loan?"
Eric Schad · Updated on
Reviewed by Shannon Martin, Licensed Insurance Agent.
“The idea here is whether you’re an investor of any kind. In most cases, you should get the loan and take the $30,000 and invest it.
If you can earn more than 3.19% on your $30,000, you’re actually breaking even or coming out ahead; essentially, you’re getting a 0% interest loan.
But if you’re just going to leave the $30,000 in a savings account that gets 0.1% interest, you’re better off paying cash for the car, or at least making a big down payment.”
View full answer
- Gregory R.
WHY YOU CAN TRUST JERRY
Jerry partners with more than 50 insurance companies, but our content is independently researched, written, and fact-checked by our team of editors and agents. We aren’t paid for reviews or other content.
Join 4M+ members in lowering their car insurance
You Might Also Be Interested
Read Advice From Car Experts At Jerry
What Others Are Asking
Browse More Content
Insurance in Your State
Easiest way to compare and buy car insurance
No long forms
No spam or unwanted phone calls
Quotes from top insurance companies