danm1

Good idea, thank you and will do. My income is more than enough to handle a $2000.00/month car payment. But right now, there's only about $25k in my personal 'fun' money account for the down payment. That's the money I set aside for the fun and ridiculous things that I enjoy, like purchasing a $145K car...LOL! It comes down to this, if the lenders want $50K down to purchase this vehicle, I will have no problem this time next year having that amount set aside. Then, it's a done deal. So I got to save up and wait a year, big deal. It's a goal for me and I'll get there. I've climbed much bigger mountains before.

6spdg37s

oh ok so then if it was just their lenders shop around on your own.

i like kerbeck alot too i got both my c7s from them real nice, professional people.

Nesch18

tones_Z

Credit unions usually have the best loan rates.
Good luck OP!

Newton06

That is a silly statement.

My money works much harder elsewhere than paying auto loan interest rates.

It's akin to saying, 'you shouldn't buy anything unless you can (or are willing to) pay cash.'

I financed my 2018 Z06 Z07 3LZ with zero down (I did get a decent discount off MSRP). It would be silly to pull money out of accounts earning multiple times what my auto loan interest is, provided cash flow is sufficient.

In the business world, you wouldn't be able to leave home base with that mentality.

1983JZR3W

Over the last 25 years, I have paid cash for all cars or trucks I have purchased. That amounts to 15. I am 71 and bought my first new car at 17. I had to finance my cars until I was about 45. From then on it is either cash or keep my current car.

Supersonic 427

Congrats to all that can pay cash! However, for the major majority of the population....we finance! Tell me where would this or any economy be if we all had to buy by cash only? If I had to pay by cash only I would be living in a tent with my bicycle parked outside! lol

elegant

Before anyone buys a ZR1, critical to first find out what their insurance cost would be — as State Farm and several others are now requiring “individual policyholder qualification reviews” (my term) for the ZR1 — as they are also doing on more than a few other HP cars).

6spdg37s

I would assume that when you go to insure any higher priced, performance car, that they would review you before you got a policy ?

what do they look at ? driving history and age ?

meadowz06

Many factors play into any car financing. Debt to income ratio, finance term, credit scores, money down, etc. I was a finance manager at a dealership, and am now the manager.

Gary '09 C6

Paying cash for a depreciating asset is one thing. Having cash set aside in a reasonable-risk investment, earning an after-tax return
greater than the financing cost of the loan used to buy the asset, is quite different. The concept being that one would sell the investment
to pay-off the loan (or a portion of it) if necessary to keep the asset...

DPC57

I only put down $10k when I bought my 2LT Z51 last year. Since all they did was a credit check with no income verification they looked at me like I was insane when I told them I wanted a 36 month term. The finance manager had come back with 72 month loans. They really tried to talk me out of it.

I told then my credit union would give me 2.9%. If they could beat it or match it they could have the business.

I'm considering getting a ZR1 late next year. Guess we will see how huge a down payment they want.

sweedjeff

Right, I bought my car(see avatar) 4 years ago in cash, but it was $6000 lol. We financed our a4 because we, like 95% of everyone else can't pay cash for a $30k car. Everyone here buys 2-3x that amount like nothing. If you are worried about insurance cost for a ZR1,you definitely can't afford it. If your making less than 500k, move on.

Seriously, this car is amazing, but why do people stretch their money trying to think they can afford it. Probably can't even afford a base c7. Buy a c6 and throw a bunch of money into it if you want to go super fast. If you only have 25k in fun money, that's how much car you probably can afford.

DebRedZR1

John, what all does that involve TIA!

blb078

I've never heard of this. I have State Farm and a couple cars with them that have a value more than the new ZR1 and they never done any review or anything. In fact I just email them the vin, tell them if it's going to be a part time vehicle or daily, they tell me the price, I shoot them my bank info, and that's it. Never once has my agent ever asked for anything else.

3 Z06ZR1

They do that on every policy they write to determine what discounts and rates or exclusion's . Some cars carry higher rates!

Purple92

From what I've read:

Roughly 10% - 15% of Car Buyers pay cash.
Roughly 30% Lease
The remaining 55% - 60% Get Car Loans.

That data is a couple of years old - so leasing percentages may be even higher by now.

I'm not going to suggest that anyone is "right" or "wrong" or some level of "morally superior" for buying a car with cash vs. getting a car loan or leasing. I think most everyone would agree when people are first starting out - they need a car that is reliable, and that will get them to work every day - and for the majority of people, that means they will need to take out a car loan. However - I would suggest that by the time someone hits their 40's (roughly halfway through their working career) - they should be ABLE to pay for their next car with cash! They may choose to not do so for any number of reasons - but if you can not afford to pay cash for your next car by the time you're in your 40's - you may just want look at less expensive cars - and/or spend a little bit of time thinking about a number of other financial matters - like how you are going to handle retirement (remember the 4% rule) and what would you do if you needed to come up with $10K for home repairs... They say only 40% of the households could come up with the cash to pay for an unexpected $1,000 expense - and that is Absolutely, Utterly Frightening !!! I kind of doubt that is the case with the majority of people on this forum - but by the time you're thinking about buying something like a ZR1 (which we all know is a very neat - very cool, and very expensive toy) - you should probably make absolutely sure that you have most all of your other financial ducks nicely lined up.....

direct007

couple of points to know...

If you credit score is stellar, dealerships enter your info in the lenders computer system and there is such a thing called "auto approval" The computer decisions the loan and you can walk out without showing any docs other than your drivers license and proof of insurance. This is true up to the magic number of $100k. Once you are over $100k for a car loan...the process isn't that simple. The banks will want proof of income and know that the borrower is rock solid financially.

The dealership is also concerned as any defaults can leave a black mark with the relationship they have with the banks that do the financing.

Kerbeck has offered one of the lowest finance rates available to Corvette buyers...This is in part due to the historically low default rate of their customers with the bank(s) that offer this rate.

Kerbeck doesn't want to put someone into a $145,000 car that is taking their life savings just to make a relatively small deposit. It's a disservice to the borrower and a higher risk to their lenders. They also don't want to saddle their buyer with a high interest lending source that is willing to take the risk.

Sure, there is a lender out there that will most likely do the loan with little money down at a substantially higher interest rate, but does that make sense for the buyer?

direct007

I agree with your thoughts to an extent, however, we aren't talking about financing a Honda Civic. $145,000 is a substantial amount of money for 95% of the general public. Most people buying a car are not Bill Gates or Warren Buffet but rather make an average salary. Banks get more cautious once the loan amount goes over $100k.

direct007

I caught that as well, but I'm not the grammar police and got the gist of what he was attempting to say.