Which is the better option for you–borrowing money to buy a vehicle or paying cash? Generally, if the interest rate you earn on your savings is lower than the after-tax cost of borrowing, it is cheaper to pay cash. However, you face a potential loss of financial flexibility if you pay cash. Use this calculator to determine which option is best for you.
This calculator is for general education purposes only and is not an illustration of current Navy Federal products and offers.
Save with our Auto Buying Program
Enjoy exclusive, low, established pricing on your next new or used car with our Auto Buying Program.
Make Sense of the Car-Buying Process
Visit MakingCents for clear, step-by-step information on the car-buying process, from understanding car costs to making the deal.
Existing Navy Federal loans are not eligible for this offer. Refinanced loan must be at least $5,000 to be eligible for the $200. You must make your first scheduled payment in order to receive this offer. $200 will be credited to the primary applicant’s savings account between 61 and 65 days of the loan origination date. If the auto refinance loan is canceled or paid off in the first 60 days, the $200 offer will become invalid. Offer may end at any time. Recipient is solely responsible for any personal tax liability arising out of this incentive.↵