In short, since this is somewhat near term, you probably want as little risk as possible, so stocks are not recommended.
Said longer, a high interest savings account or bond fund at 2-3% is probably your safest bet, but you also need to consider the opportunity cost— tariffs WILL increase the price of a new vehicle this time next year, so are you planning to buy new? Does it make any sense to buy now and refinance later? Tariffs could be as high as 25%, depending on which way the wind blows (country of origin, assuming new, etc).
Opportunity cost aside, what’s your spending target, how much do you have saved already, and how much does optimizing on interest rate actually help?
From $0, saving $300/mo for 3 years at 0% interest is $10,800.
At 3% interest, the same total after 3 years is $11,127, which nets you $327. That’s not nothing, but even an insanely optimistic 10% is ~$1100, but you would be just as likely to lose money.
Your needs and risk profile are yours alone, we’d need a lot more information to say more than “low risk and buy used”.
In short, since this is somewhat near term, you probably want as little risk as possible, so stocks are not recommended.
Said longer, a high interest savings account or bond fund at 2-3% is probably your safest bet, but you also need to consider the opportunity cost— tariffs WILL increase the price of a new vehicle this time next year, so are you planning to buy new? Does it make any sense to buy now and refinance later? Tariffs could be as high as 25%, depending on which way the wind blows (country of origin, assuming new, etc).
Opportunity cost aside, what’s your spending target, how much do you have saved already, and how much does optimizing on interest rate actually help?
From $0, saving $300/mo for 3 years at 0% interest is $10,800.
At 3% interest, the same total after 3 years is $11,127, which nets you $327. That’s not nothing, but even an insanely optimistic 10% is ~$1100, but you would be just as likely to lose money.
Your needs and risk profile are yours alone, we’d need a lot more information to say more than “low risk and buy used”.