Utilize your financial knowledge, give your answer or opinion to the input question or subject . Answer format is not limited.

Is a car loan bad debt?
What's missing in your question, so Kate couldn't address, is the rest of your financial picture.  If you have a fully funded emergency account, are saving for retirement, and have saved up the $15K for the car, buy in cash.  If you tell me that if the day after you buy the car in cash, your furnace/AC system dies, that you'd need to pay for it with an $8K charge to a credit card, that's another story.  You see, there's more than one rate at play. You get close to zero on you savings today. You have a 1.5% loan rate available. But what is your marginal cost of borrowing? The next $10K, $20K? If it's 18% on a credit card, I personally would find value in borrowing at sub-2.5% and not depleting my savings.  On the other side, the saving side, does your company offer a 401(k) with company match? I find too many people obsessing over their 6% debt, while ignoring a 100% match of 4-6% of their gross income.  For what it's worth, trying to place labels on debt is a bit pointless. Any use of debt should be discussed 100% based on the finances of the borrower.