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You are buying a $ 3 0 , 0 0 0 car from your dealership. You are initially offered 1 2 % APR with 6

You are buying a $30,000 car from your dealership. You are initially offered 12% APR with 600 FICO score for your $30,000 auto loan over 5-year period. Your monthly payment is $667.33.Then, when you are trying to make your final contract to buy your car in your dealership. Senior manager comes to you and says that if you purchase 5-year service warrant which costs you $5,000, they will offer you 3% APR for 5-year loan period. Your monthly payment is $628.90.Should you accept this offer? If so, why? If not, why?

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