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Its typically recommended to have a sizable down payment beforebuying, but that isnt always the case.
The long-term savings and breathing room provided by doing so is priceless.
If it’s possible for you to pay more than $1,000 in down payment, you probably should.
However, everyone doesnt have the money to cover a standard car down payment.
New cars arent cheap.
Used cars are notably cheaper but still pricey.
If you do the math, that makes the average down payment on a new car $9,728.80.
Generally speaking, he said its rare that making a small down payment is beneficial.
For example, experts generally recommend putting three to six months of living expenses aside in an emergency fund.
If this happens, you got lucky, so make the most of it.
Its better to pocket that extra down and use it toward something else, he said.
Instead of spending the money frivolously, consider putting it in savings or using it to pay down debt.
No two people have the same exact circumstances, so make the decision thats best for you.
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