Buying a car, need help with math

[yo vanilla]

Originally Posted by JTraik

Why? Customers should educate themselves before diving into such an important financial matter.

It certainly isn't genuinely honest. But I agree, the customer should do his due dilligence before shopping.

Now, I hate to be a jerk, but I hope I'm not hearing what I think I'm hearng from the original poster. This is exactly why, and how, salesman can make alot more money selling a car - by payment. 'Cause people have no idea that they are paying way more for the car, for the financing, what have you. I used to sell. Hated it, God help me if I ever do it again.

If that's what's going down, if you haven't signed a contract I implore you to check out bankrate.com and learn a bit more. Also here is their auto loan calculator:
Auto loan calculator, car loan payment calculator by Bankrate

But the simplest way to figure out what you are paying is to take $200/month x 60 payments = $12000 loan value. Add your $6K down = $18K you paid for the car. And it will state the exact amount on the finance contract, make sure you get a good look at every number on that contract!

[getmeoutofhere]

7% is not high, especially if it's a used car.

[wheelsup]

Originally Posted by yo vanilla

But the simplest way to figure out what you are paying is to take $200/month x 60 payments = $12000 loan value. Add your $6K down = $18K you paid for the car. And it will state the exact amount on the finance contract, make sure you get a good look at every number on that contract!

He knows that already, see his post. He didn't explain it well but I think he wants to know what the purchase price of the car will be, not the total payments made on that car.

Kinda like buying a house and the Realtor saying "this house is $1,200/month for 30 years" instead of "this house is $160,000".

[yo vanilla]

He doesn't know that, otherwise he wouldn't be asking. (Or, he's not sure what he's asking).