Hi Pat,

The difference is in what those letters stand for – namely, front-wheel drive and all-wheel drive. XC60 models that are FWD will be cheaper than the same counterpart with AWD, but the FWD version will be better on fuel; AWD systems sap economy, no matter how good and efficient they are. It really comes down to how often you’ll be towing anything with the Volvo and whether you live somewhere remote with unmade roads that you regularly travel on. If not, you’ll be absolutely fine with the FWD model.