Believe it or not, automakers are diving into extra-long auto loans in order to cut buyers’ payments. Toyota motor credit acknowledged it is making 84 month loans to cut payments and boost sales.

They are assuming the consumer shops with a monthly budget in their heads. And in today’s credit squeezed market, dealers have less access to cheap interest rates and are therefore cutting payments by offering longer term loans.

I think this is insane. Please, wise women out there, don’t so this! When you drive a car off the lot it immediately loses value!! Be aware and go for the shortest term car loan possible!

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