It can be done but for most people it's not a good idea...
If you have the cash in some form of investment that is making 8%, do you pull that out to pay for the car, or do you take a loan that costs 4% interest?
With interest rates so low, sometimes it can be better to take a loan, rather than use your own $$ that is making more in its current spot than it will cost you for the loan.... And even better if you pay it off quicker than the terms....
But the bottom line is that most people aren't that disciplined to do it the "right way"... So in general the best answer is ... Don't do it...
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