Nowadays people consider it as normal to buy their car on loan and walk into the cycle of « the car loan merry-go-round », however there are a lot of other ways to get their vehicle! It’s generally assumed that many people ignore the fact of paying cash, despite of the current loan rates which are considerably high. In addition to that, they aren’t also prepared to give in luxury and buy less expensive cars, so bank rents wouldn’t be needed anymore. Furthermore, car drivers often think in monthly payments which could be disastrous when the car is no longer worth the debits each month!
http://www.forbes.com/2010/10/07/get-rid-car-loans-save-retirement-personal-finance-bogleheads-view-dogu.html?boxes=financechanneltopstories Thibaud Tack
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