Buying a car involves emotions, pressure, and FOMO. Samuel plans to pay cash, but the dealership pushes financing. They offer $1,500 off for financing, enticing Samuel to consider. Dealerships profit from financing, focusing on monthly payments to make expensive cars seem affordable, leading to longer loan terms and higher profits.

Samuel may be tempted by dealer incentives to finance, but should beware of prepayment penalties and minimum interest clauses. Dealers may ask buyers to delay paying off a loan to secure incentives. Understanding the true cost of financing versus paying cash is crucial in the era of longer loans and rising delinquencies.

Read more at Yahoo Finance: My car dealer offered me a big discount if I financed instead of paying cash. Can I take the deal and pay it off anyway?