How would you like to pay?
Scenario:
You have $30,000 in the bank earning 4% (humour me) compounded interest. You want to buy a car which costs $30,000 and carries a 5% loan rate over 5 years.
You have two options:
1) pay for the car in cash resulting in no debt/interest paid.
2) keep the money in your bank and pay the 5% loan over 5 years.
Which would you choose?
If you chose #1, once again you have been misled!
Let us show you how what you thought to be true is in fact not true!
