Well.. How many people actually go for a car loan?? I guess lots because, when I bought my first car and offered to pay the entire amount, the dealer's jaw dropped and he had a shocked expression on his face.
IMHO, it does not make financial sense to take out a car loan and spend it on a depreciating asset. Its ok for businessmen because part of the cost is absorbed by income tax deductions. I guess the American culture of borrowing has slowly seeped into our mindset. |