$38,000 6 percent interest rate payments $612 a month on a 2018 Toyota Rav4 SE good or bad?

18 Answers

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  • Dave
    Lv 7
    2 years ago

    That's a lot of money for a SE I would look at another dealer.

  • 2 years ago

    A $38K car with added 6% interest will never hold it's value. However, if your income can easily afford the years of $612 payments, go for it.

    I will never buy a new car ever again. If you buy a new car and then back up onto the lot 30 seconds later, you have already lost value in the automobile and would never get what you paid for it 30 seconds later. What does that tell you? Then, add 6% to the total?

    If you have to borrow that amount of money for a car, then you are overspending. Most people who can easily afford cars over 25K, pay cash.

    In the l980's I bought a cottage on waterfront property for $36K. Gosh, how things have changed.

  • Art
    Lv 7
    2 years ago

    Brilliant , however if you have the bucks to buy it why not buy a fiat 500 or a mini cooper? Or as I would do buy a 2008 model. Well no for that many bucks I would buy a 55 chev , has more room and about as much power.

  • Bruce
    Lv 5
    2 years ago

    Bad. If you have to borrow the money for it, you can't afford it.

    Try a new Corrola for under $17k, or a used car for $5k.

    One way to think: How many year more do you have to work instead of retiring, with that expense for transportation?

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  • 2 years ago

    Good

  • 2 years ago

    I pay less then $612/month for rent!

    That's a lot of money to pay for a RAV4.

  • 2 years ago

    RAV4 it’s good car buy it

  • JetDoc
    Lv 7
    2 years ago

    6% interest is not that great for a new car, Skippy. Some manufacturers are offering much better rates to qualified buyers. Shop around,

  • Bort
    Lv 6
    2 years ago

    In my personal opinion regardless of the care package and warranty that comes with it a Rav4 is not worth $45,000 which is what you'll pay for it in total with a 6% interest rate. You can buy a very nice pickup truck or SUV for that much which has more space and capability on (and off) the road than a little Rav4. Another thing that would cause me to immediately decline that offer is the cost per month being that high regardless of credit score and everything else involved. Screw that!! WAY too much for that vehicle. According to https://www.kbb.com/ which is where everyone should go to determine what a vehicle is worth the Fair Market Value of that vehicle is $29k to $36k fully loaded so you're already getting raped for between $2k and $10k not including what the interest rate is going to cost you which is another $8k so you'll pay more than $18k over it's market value on a 6 year loan and in 6 years that car is only going to be worth around $10k.

    Definitely a bad idea financially. If you want to dig yourself a hole you'll never get out of buy a 20 dollar shovel, a 5 dollar rope, dig a hole, tie yourself up real good, and dive in.

  • 2 years ago

    That looks way too much to pay for a Rav4. Buy something you can afford and don't go into debt. Your 38,000 purchase would be worth about $27,000 in two years. And you would be under water on the purchase.

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