Quote:
Originally Posted by -EndOfAnEra-
IIRC, Select is a balloon financing program. You finance at close to a lease rate for a typical lease term like 36 months, and then when that is over you owe the remaining balance on the car, after you pay that off you own the car.
Generally I would consider this a bad financial choice but I'll let those much better versed in automotive finance take over from here.
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It is much worse because interest is paid on the entire amount financed, including the balloon, as opposed to leasing where the interest is only paid on the depreciation (I think).
This is a horrible deal.