I am 56 on disability because of an accident should I buy a car outright or finance one and invest the money?

The car I want is about $20000. I am planning on paying all my debts off. I am a homeowner with no mortgage. After I pay off my bills I would have about $300000 left. I am torned about what to do. I am divorced with one son who is in college. we both receive monthly fin. benfits that covers our living expenses.

I would put $5000, down and get a no or very low interest rate on the balance rather than stripping your savings. Don't park the money in a checking account, get a laddered CD or money market at a bank paying 5% or invest in Vanguard's or similar non load index fund. That way you could help pay for your son's college and have a safety net.

Buy the car outright since you are living on a fixed income and are paying off your other accounts. Save the finance charges.

Buy the car outright. You'll pay more in financing the car than what you can get back with investments.

I would buy it outright. That's how I buy my cars, and it's nice not having a car payment.