We're turning this into "Finance Fanatics."
My Focus is financed at 0% interest. When shopping for cars, I had originally assumed I would get something used, 4-5 years old. Around where I live, though, a lot of the cars to be found that fit this profile would be at least 8 or 9k $CDN, but typically more, and usually with at least 100,000 km. They also were not typically something I'd want to drive. Moreover, the larger, reputable used car dealers in my region seemed to all charge 8-10% finance interest, and I didn't have the savings to buy a car outright. I could have gone for a bank loan, but the more I thought about it, I figured if I was going to lock into paying for a car for several years, it may as well be new, only driven by me, and with a full warranty. It's hard to argue with 0% interest, too.
Whatever choice is made for payment, something different fits everyone's life. I'm young without a family, and I really wanted a car I would love. Plus, I have student loans that are appreciably larger than what I owe on my car, and they DO increase with interest, so they are my priority to pay off.
It doesn't hurt to talk through crap like this, though. This car is my first car not bought outright, so I was new to things like financing and leasing. Talked it through quite a bit with friends and family before I pulled the trigger on the deal.