I want to buy a 2010 Toyota Prius (it will be my first car) What do I need to do?

[Penguins Rock!]

1) How much does it cost per monthly?

2) Will it be a good car for a 17 year old who is going to start his first year of college?

3) Can someone explain to me the percentage things & what a down payment is?

Anything else I should know??

 

[mccoyblues]

1) the monthly payment will be determined by the loan you qualify for, the price you negotiate for the car and the amount of cash you put down. Assume an estimated monthly payment of around $400 a month.

2) It's a good car but there are other less expensive, more fuel efficient cars available. The VW Jetta TDI is one of them.

3) Percentage thing. I assume you are talking about the interest rate. Interest is a fee charged to you by the bank for the privileged of borrowing money from them. The interest rate you are charged is based on your credit score and your ability to repay the debt.

A down payment is cash that you add to the deal in order to reduce your monthly payment and to help secure a better interest rate and loan terms. The more cash you put down the lower your payment is.

 

[hamn]

1. Montly payment is only relevant to how much you're financing, and for how long, and how much interest.

2. I wouldn't say its the best car for a new college student, mainly because it is a hybrid, and they do get costly to repair if there is an issue, and it's highly expensive (especially because the 2010 model just dropped, and they're highly wanted even in this economy which equals a price mark up)

3. What do you mean by percentage? I'm guessing you mean in the commercials. Those are APR, or interest added onto the car. Usually fi you have really good payment, you'll get zero or a really low APR for 3-4 years, usually the longer you finanace, the higher the APR. Since you're 17, and you can't get credit, i'm guessing you're going to be finanaced under your parent's credit?

And as for down payment, it's what you put down intially on the car. Most dealers want this, and it's usually 20 percent if you have good credit, or if you have bad/no credit, a lot of dealers mandate 50 percent down.


What you should know:

Hybrids are the biggest thing right now in the auto industry, therefore you will be paying big bucks for one b/c a lot of people want one. You can always get the older body style for a cheaper price, but resale value is also less b/c of hte new body style change, it all depends on what you need, and what you can pay for, and how long you plan to keep the car.


*MSRP/Sticker Price/Asking Price is always before tax & licensing fee. Always ask for an out the door price before you settle on a car/dealer.

* Sometimes, you can find better financing from a different credit company, so you can finance with that finance company, and buy your car in cash, which will also come with a discount.

 

[Stupid Flanders]

1) This will depend on the model you choose, how much money you put down, the length of the loan and the interest rate. It will cost about $400-$500 monthly with good credit, base model, for 60 months.

2) No...you should get something older until you graduate or get a job after college; especially if you are going to be keeping it at school. My car was vandalized or broken into 3 times in 4 years at school.

3) Not sure what you mean, but assuming you are talking about interest rate and down payment.
Your interest rate on your loan is going to depend on your credit.
Theoretically, the better your credit, the less interest you will have to pay.
If you have poor credit, some lenders will require you put a significant down payment before they will finance you.
The down payment goes directly toward the principle amount that you agreed to buy the car for.
For example, if you buy a Prius for $24,000 and make a down payment of $5,000, then the remaining ($19,000) is what will be financed.
Go to edmunds.com for more information.
Below is the calculator from that website attached so that you can play around with some numbers.