I am looking to buy a used car here in California, a 2020 mazda 6. The car is advertised for 19500. I have 10,000 to put down. Should I put the full 10,000 down or should I only put down 20% then put the rest down after starting to finance the car to ensure the money goes to the principle? Is what I am saying making sense? lol. I purchased a new vehicle before and to this day I am still wondering what happened to the down payment I put down. Someone please help.
How much do you have saved in total, including your $10,000 down payment?
If that’s the majority of your savings, I would put a smaller amount down (maybe taxes/fees/20%) and then finance the rest if you’re comfortable with the payment amount and total cost including financing.
It’s always good to have some money set aside for incidentals and things that may occur to the car.
I see. The money isn’t from my savings. My car was stolen and that’s what my insurance company gave me for the car.