Is buying a car outright worth it?

If you can afford to buy a vehicle outright is this the best option. We take a closer look

Lawrence Minnie

5 May 2022 · 09:44Buying a Car

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Full ownership

For most consumers, the opportunity to purchase a car outright simply does not exist. Outright means that the vehicle is paid in full and the ownership has been transferred to you. With many cars priced in the hundreds of thousands, most buyers just don't have that kind of capital lying around.

If you do happen to find yourself in the position to purchase a car outright then that is the best situation. The old saying is that a paid-up car is the best car. Anything that you don't owe money on becomes an investment.

Score!

The other side of the coin is opting for putting down a hefty deposit and paying off the vehicle to buffer your credit score. Having no credit score is just about as bad as having a bad one. If you have other means of maintaining your credit score and can afford to buy cash then this is naturally the best option.

Written by Lawrence Minnie

Lawrence has been involved with motorsports for almost 30 years. Whether it's two wheels or four, if it has an engine, he will try to race it. This love of motor vehicles has led him to ride, drive, film, photograph, and write about his passion. Freelance for a while but now a permanent fixture on the AutoTrader team for over 7 years, Lawrence contributes written, photographic, and video content for AutoTrader and AutoTrader Bikes.Read more