It depends on your risk tolerance. The stock market is expected to have another good year for 2011. So, if you can stomach the risk you could probably earn a return that beats the interest you pay on the car loan. (Of course, this depends on your credit rating and the basket of risky assets that you purchase.)

I paid cash for my 2009 Z and own it outright. I can mod all I want and not worry about any issues from the bank.

I also paid cash. The only way I would finance is with 0% interest.

I paid cash for mine, but would probably finance with 1-2% interest, since I could comfortably beat it in investments.

Cash is obviously the better choice but most people will never have that option.

I was hoping to pay cash but we'll see what happens in the coming months. I could either have a sick Z or end up sleeping under a bridge. :D

Cash in full is the way to go, why pay interest when you don't have to? Sure you can build credit if you finance, but having credit cards would help you achieve the same thing. Just pay on time, keep the balances low, and good credit will come.

I paid more than 2/3 in cash and financed the rest through my credit union. I could have paid in full, but that would've left me with no cash for insurance and bills.