New car repayment weirdness

[curiousgeorge]

Ok, maybe the lifers here can help me with this one, came at me from an expat friend (apologies, I have no idea, I ride bikes).

So, a car is advertised at $495 monthly payments. I assume 10 yrs = $59,400

But the car in question at the dealer is $135,900
Based on an average car loan calculator at 1.88%, with 90% of the value loaned, thats $122,310...which is nowhere close to the $59,400 above.

So I got thinking - maybe a longer loan period...but even overs 20yrs that doesnt cover it.

So I figure that there must be a hefty downpayment ($75,500!) to get the remainder at $495 a month over 10 years.

But surely the kind of person who is looking for low monthly repayments is not the kind of person who will have $75k lying around for downpayment.


SO how does that work then?!

For info, the promo is http://www.sgcarmart.com/new_cars/newca ... Code=10469
And the loan calc is here http://www.sgcarmart.com/services/loan_ ... bcode=1477

[sundaymorningstaple]

You forgot the fine print. Look at the bottom of the ad. "$3000 above valuation for trade-in"

That's the part that's not spelled out by the asterix next to the payment amounts. So the payment amounts can be had ONLY if certain trade-in of a specific value it offered. Only then, is the balance equal to the amount you figured out.

Sneaky buggers.

[ecureilx]

Sneaky buggers.

And car salesmen use terms like "re-trade", "over-trade" .. and the whole works ..

And of course, you forgot the 30% down payment, as per "MAS LAW" as they suddenly declare ..

And the COE ???