For some people, the thought of purchasing anything through a loan or mortgage is horrible. These folks prefer to buy only with cash, and if they don’t have the cash then they don’t buy it. There are some distinct advantages to cash financing, if you have the funds to do so.
No Interest Payments – Cash financing means that you avoid having to pay any interest rates or fees. Getting a low interest online loan from Plain Green Loans to buy an item that would have normally had a higher interest rate can also be a good way to avoid excessive interest payments.
You’re the Owner – Using cash to purchase something means that you’re the only owner. The bank doesn’t hold title until you have paid the bank back. The product or item is yours outright and you can do with it what you wish.
Quick Turn-Around – If you use cash to purchase a high end item like a home, you can quickly turn it around and sell it for a profit without having to go through the banks.
Make Money Work for You – Money that may be sitting idle in an investment account could be put to better use by purchasing large items. If it isn’t making you money, why not use it to make your purchase rather than spend money on an interest rate or finance charges?
There are many ways that cash financing can benefit you. They often say that having money allows you to make money, and at least in this case if you have money you can avoid paying too much money.