There is nothing unusual about a car loan which payoff lasts for a few years. But have you ever heard of 12-year car loan? That may sound unusual and crazy, but such loan terms exist. Consider the case of a business consultant who was afforded with a 144-month loan – equivalent to 12 years – when he purchased a $300,000 Aston Martin from a dealership in the United States in February.
His case may be unusual, they it doesn’t worry the people who watch the health of automotive credit. Melinda Zabritski, senior director of automotive credit for Experian Automotive, told Automotive News that loans that long few and far between. She noted such loans are typically afforded to wealthy people with high credit scores buying expensive vehicles.
"Those are people who pay their bills," Zabritski noted. A staffer at the Aston Martin dealership disclosed that the buyer is indeed a successful businessman who made a huge down payment. The staffer said that stretching the amount financed over 144 months provided additional flexibility that the wealthy customer appreciated. Likewise, the customer does not intend to pay off the loan in 12 years; he plans to pay it off early. [source: automotive news - sub. required]