Hunter wants to purchase new car that lists for $32,000. The manufacturer currently offers two incentive programs. Hunter may finance the full price of the car through the manufacturer at 0% for 5 years. Alternatively, he may arrange his own financing and receive a $3,500 discount off the price of the car.

Hunter's bank will finance the car at 4.5 percent for 5 years.

Which financing option should Hunter choose? Justify your answer.