Top 0% Financing Deals: December 2018

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Senior Pricing Analyst

Alex Bernstein is the Senior Pricing Analyst for CarsDirect.com. Each month he studies immense volumes of pricing and incentives data in search of trends that are useful to car shoppers. In the process, he often breaks industry news stories -- his analyses and insights have been featured on websites such as Automotive News, The Detroit News, Autoblog, The Truth About Cars and The Car Connection.

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, Senior Pricing Analyst - December 6, 2018

We analyzed hundreds of new car offers to find the best 0% financing deals in December. The best involve loans up to 72 months plus cashback. However, promos like these have become increasingly rare, even with the presence of year-end car sales.

0% deals often require you to give up big cashback incentives, and can actually cost you more money in the long run when considering your total cost with interest.

Here, we've mainly focused on cases in which choosing 0% APR can result in a lower cost compared to rebates. These promos are available nationally unless noted otherwise.

Updated 11:20 am

Best 0% APR Deals on Cars

In California, shoppers have a choice between $500 cash or 0% APR for 60 months plus a $500 bonus. In this scenario, taking the financing will probably be a no-brainer.

On a $17,000 car, your total cost with the rebate would be $18,682 over the course of a 5-year loan at 5%. With the 0% promo, it'd be $16,500.

That's a $2,182 reason to take 0% financing. But there's a quirk worth knowing about.

About halfway through the year, Nissan introduced the 2018.5 Versa Note with more standard features like a backup camera for the exact same price.

    This month, the redesigned Forte benefits from a cut in rate from 0.9% to 0%. Although there's also now a $750 rebate, you'll probably be better off taking the 0%.

    On a $19,000 car, taking the rebate would cost $20,664 with a 5-year loan at 5%. With the 0%, your cost would come out to $19,000, which equates to an advantage of $1,664 over the life of the loan.

    Here in California, bonuses on the 2019 Fusion Hybrid heavily favor financing.

    If you pay cash, you'll only be eligible for a $1,500 discount. However, taking out a loan through Ford Credit gets you access to an additional $1,500 plus 0% APR for 60 months.

    Although the 2018 Fusion Hybrid is still available and features 0% APR for 72 months, we think the 2019 model is a much better value since the model now comes standard with auto emergency braking.

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    Best 0% APR Deals on SUVs

    Shoppers in California currently have a choice between $1,500 cash or 0% APR for 60 months plus $1,000.

    On a $22,000 vehicle, your cost with the rebate would be $23,211 assuming a 5-year loan at 5%. With the 0%, it would be $21,000.

    That's an advantage of $2,211.

    Compared to this month's $1,500 rebate, financing a Rogue Sport at 0% makes a lot of sense.

    On a $24,000 vehicle, taking the rebate would result in a total cost of $25,476 assuming a 5% loan for 5 years. With the 0%, it would be $24,000.

    Here, choosing 0% APR would save you $1,476.

      As before, the Outback is one of the only Subaru models eligible for 0% APR. The catch is that the term is limited to a mere 36 months. As usual, there are no rebates whatsoever.

      With a $28,000 vehicle, your cost with the 0% would be $28,000. If you were to finance at 5% for the same period, the cost would be $30,210. Extending the loan to 5 years would equate to a cost of $31,703.

      The 2019 MKC is eligible for up to $2,000 in offers when you factor a $1,000 down payment assistance bonus. The best part is that you can combine this with 0% APR for 48 months. The offers are meant to be combined, so there isn't really a compelling reason not to finance.

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      Best 0% APR Deals on Trucks

      Unfortunately, we can't recommend a 0% deal on a truck at the moment. Most shoppers may not know that taking 0% APR on a truck will disqualify them from enjoying big discounts.

      For example, the Nissan Titan features 0% financing for 60 months. However, it requires giving up as much as $7,500 in rebates in order to get it. The difference in total cost is staggering.

      On a $50,000 truck, financing at 0% would equate to a cost of $50,000. With the rebate, it would be $45,820 assuming a 5-year loan at 3%. That's a nearly $4,200 reason not to take 0% APR.

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      , Senior Pricing Analyst

      Alex Bernstein is the Senior Pricing Analyst for CarsDirect.com. Each month he studies immense volumes of pricing and incentives data in search of trends that are useful to car shoppers. In the process, he often breaks industry news stories -- his analyses and insights have been featured on websites such as Automotive News, The Detroit News, Autoblog, The Truth About Cars and The Car Connection.

      Follow On: Google+ | Website