Is it still worth taking out a loan at such high interest rates?

Wow, that's pretty brutal 😅 but with €8,000 and 6.5% you're gonna pay a decent amount of interest over a normal loan term. If you can manage to save up somehow, I'd do it - especially with smaller amounts. But definitely try to check out multiple banks and negotiate, sometimes there's wiggle room, especially if you're a good customer! And honestly, I'd rather drive around in an old car a bit longer than burden myself with an expensive loan 🤷‍♀️

After 27 years working in the shop I know this problem. 6.5% in 2026 is really not cheap, but whether it's worth it really depends on how much longer your car's gonna last and what's going on with it.

If your car's about to give up the ghost right now and you've got an expensive repair ahead of you, then a loan can sometimes make more sense than saving for 2-3 years. An engine or transmission repair costs like 2000-3000 euros quick, and if you don't do it, it gets even more expensive. Then better to take the loan and drive than just sit around. At the Sparkasse you can definitely negotiate though - just ask for better terms, especially if you're already a customer there. Some places also have special rates if you can prove better creditworthiness. Check other banks too, online loans are often cheaper.

But if your car's still running pretty okay and you just want to save preventively, then I'd see it differently. Then better to save for 8-10 months if you can and spare yourself the interest. With 8k euros you're easily paying 500-800 euros in interest over a normal loan period, that's not really worth it if you're not in an emergency situation. And honestly - a car always needs something, so having some savings is important anyway.