Pay for a car in full, or do monthly payments?

Depends on the interest they're asking for...

If it's 0% Interest for not extra cost for a certain period I'd take that, because

1) It's 0% interest, and if there are no hidden fees attached it's not costing you anything. [i][u]But need to look for those hidden fees first.[/u][/i]

2) In theory keeping your money in your bank account longer will keep giving you interest longer and a gain more, those interest rates for some banks are quite low.

3) Having it could really help your credit (if you can afford not and pay it off on time), helps your credit score having a big ticket item that you're paying off on time. Of course, the opposite could be true, if you can't afford it or miss payments and don't pay it off.

Depends on the interest rate and what you can afford and what you may need the money for in the next few years. If it’s above 3.5%, generally better to pay up front. But...

Spreading it out gives you more options for other purchases.

Is your earning potential going up soon?

Depends on the interest rate. Cheap rate use their money, high rates use yours.

Technically you can do both. The object of credit is to continue to use it for your advantage. If your cash rich but fail to use credit, your score can drop horribly.

So, the solution is to take a loan, let’s say $20k. The first month pay off the vast majority of the note. Let’s say $18k. Now you’ve safeguarded yourself against interest charges. The remaining $2,000, just make your required monthly payments. You’ll have the note paid off in six months. Your credit will improve because you’ve shown the ability to borrow any pay off a large note. And, your interest paid will be incredibly nominal.

How long (years) would you be paying for the monthly payments?

If it’s longer then you would keep the car...pay in full

In full if you can. Don't they charge more if you pay in installments?

Pay in full if you can ... that way you don't have to worry about monthly payments.

Get it out of the way pay in full if you can!

Idk how much they want for the car, but if it were me I'd put 50% down & finance the rest unless the interest rate was too high. Put the other half of the money in your "rainy day fund". Besides you don't want to pay a car off right away. Dealerships (reputable) give a year warranty so if it's a lemon you have legal recourse.

Make payments if the car is more than 5k. What if you pay 20k upfront, then total it next month...

You buyout assets not liabilities. A car is a liability. I would spend my money paying a house down to own it and it's equity.
Cars have no equity unless it's antique.

Find the best rate and finance it.

lets face it its gonna break down at some point just buy a scrapper thatll do ya a year, kinda works out cheaper

Your Tax advisor may say to make payments if your investing the remaining portion.

If you can get a zero interest loan, do the installments.

I always pay cash for my cars I always have the money saved

I've always paid in full.

In full.

Thanks for the advice, everyone.

Depends on how your budget would be affected.
If paying the full amount would mean cornflakes and peanut butter sammiches everyday for the next few months, well...🤔