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Are 72 or 84 month car loans a bad idea?

Long-term loans lower your monthly payment but dramatically increase the total interest you pay. A $35,000 loan at 6% for 60 months costs about $5,600 in interest. The same loan for 84 months costs about $8,000 in interest, nearly $2,400 more. Longer loans also increase the risk of being underwater (owing more than the car is worth) for most of the loan term.

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