Hi,
Theoritically, you're not able to get a new car cos the downpayment
should at least be 20%. The car dealer might be able to do
something if your downpayment is less tahn 20% but if you are
talking abt 3k or less, I'm not too sure what they can do. Also,
its not worthwhile as the interest of the car is gonna kill you. I
would suggest you get a 2nd hand car somewhere near the region of 5
yrs old.
Lets take a 1.5l Korea car for example (more budget), a 5 yrs old
car will cost you ABOUT 32k for example (Will be cheaper if you buy
direct from owner rather than go through dealer). And if you
downpay 3k, you'll loan abt 29k for 5 yrs. Thus it'll work out,
take that the interest is 2.2%:-
29000x2.2% =638 /per yr (interest only)
638x 5 yrs = 3190/for 5 yrs
So add the interest to your loan of 29000, it will be a total of
S$32190 for 5 yrs.
So 1 yr you pay 32190/5 = S$6438/yr
Mnth will be 6438/12 = S$536.50
Understand? If you base on 65k for a brand new car, and downpay 3k,
lets say acceptable = 62000 loan. 10 yrs interest will be slightly
higher, so lets say 2.4% (Me not sure, but not advisable to loan 10
yrs one, for a car, not worth it). Your calculation will be:-
62000x2.4%=1488/per ye (interest only)
1488 x 10 yrs loan = 14880
14800+ loan = 14800+62000= 76880
So 1 yr = 76880/10 = 7688
1 mnth = 7688/12= 640.66
But the total you pay for the car is 79880 for a 65000 car cause of
interest.
Base on your 65k car, if you get 7 yrs loan (will be slightly less
than 10 yrs, so lets say 2.3% interest) will be:-
62000x2.3= 1426
1426x7= 9982
Mnthly will be: [(62000+9982)/7]/12=$892/per mnth
However, your total paying will be 65000+9982=74982 for the car,
which mean you save S$4898 for the cars in 3 yrs, though you pay
S$252.00 more.
Get the calculation? Hope this example helps.
