Loan v Saving's

[Helen]

I have bought a car for 10,000. Went to my credit union at weekend to get 10,000 from my savings, the teller advised me it was better for me to get a loan, he said over 5 years it would cost me around 1200 interest (thats with 40% rebate of that). Seeing that the dividend this year by credit union will be about 2.5%, I dont know what to do.
Would appreciate any suggestions.

 

[Enaja]

I would consider the following:

What is the payback per month? (interest charged)
How long will it take you to save $10,000. again?
Do you need the money for anything in the near future?
How much interest does the money receive while on deposit?

 

[eamonn66]

madness

the credit union want to lend you your own money and charge you e1200 for the privelige?

 

[Billo]

*

Helen,
(thats with 40% rebate of that).
What does that mean.??
Rgds
Billo