Just took on our first car payment. A $10,000 loan with a 4.69% interest rate for 3 years on a 04 Forester XT.
Per wanted my wife's 00 Impreza for a project car and the Forester happened to pop up. 60,000 miles with a 5 speed and bone stock. I don't like the idea of a loan and we could have paid cash for the car but the house needed a roof and 4.69% is pretty cheap cash. We did not stretch to buy the house last year so it does not put undo financial stain.
Plus with a VF39, downpipe and tune it should be in the mid 13's. 
If it becomes a hassle to make the note I will probably sell one of the project cars to help pay it off. I get a new company car every two years so there shouldn't be a need for another newish car until the Forester gets close to 200,000 miles.
Sonic
Dork
9/3/10 9:44 p.m.
It depends on the situation, and you being comfortable with your financial situation.
I financed part of my 98 M3 sedan, even though I had the cash to buy it, because I was 25 and wanted to build my credit. Credit scores are a necessary evil in this day and age, and choices like that (and setting it up on auto payment) make it so that my 740+ credit score made buying a house last year in the toughest credit market in decades was a non issue, at a phenomenal rate. A car is the second biggest purchase of your life, so showing you can pay that off properly, makes a huge difference in your credit.
My girlfriend's car was financed (one payment left!) but at 0% for 3 years. Anyone would be an idiot not to take advantage of a 0% or 1.9% or whatever as their money is making more in investments than paying that interest.
It is all about buying what you can afford, whether it be cash or finance.
I have financed,leased and paid cash. It really just depends on your financial circumstances. Typically our best vehicle has been the tow vehicle(usually a 'Burb, Expedition or Excursion) and it aint easy to pay cash for those so I prefer to lease. My wife gets to keep a good reliable car so I usually finance her car but she tends to keep it until it begins to have issues(the last two Nissans were close to 200k). I tend to drive older sports cars that are same model or brand of what I am racing at the time so I pay cash for the RX7, Miata, MR-2 or whatever.
The only new car that I have purchased for myself in 20yrs was the '94 Miata R that I leased for less than $200 per month. It was too sweet a deal to pass up.
