Low on $$$, kid needs car, what to do? (insurance, vehicle, 2012)

[dkf747]

My daughter is graduating high school and getting ready for college. She has lined up a job, but it requires her to have a car. She's been using my van at times, but for this I can't let her use it, since we need it. We need to buy the car but she will make about 75% of the payment, with us helping on 25%. We will do something like that to help her get started on her own. We want her saving her earnings for college rather than on a car. We are not rich, however, so we need to find something with a low payment ($200 or a little more per month territory). If it costs more than we would have to increase our percentage of the payment. We're trying to avoid that. We could pay the entire payment but then our own finances would be too tight. That's the financial background (though feel free to ask for more info if needed).

One other thing. I am a person with disabilities. Despite knowing how, I can't fix the car myself. We can't go with some really cheap car like I would have done if I had my health like it used to be. It seems that we're forced to spend a little more for something newer, and less likely to have tons of problems.

Knowing this, we are looking at options like:

- a 2012 Ford Fiesta - loan 6 years, good warranty, payment a little high but acceptable. (another 2012 brand could work too)
- A 5 year old or less used car from a dealer. - not sure about loan terms, or payments yet, but the ones I saw estimated payments closer to the newer cars payments.
- an even ol.dler car in great shape from some granny.
- your suggestion?

What would you do in this situation? We could tell her to do it all her self, but I think we can help a little. I don't know if I gave enough info to help, so if not, please ask.

[GTOlover]

I say go with the 2012 Ford Fiesta...


2011 Ford Fiesta Review from Consumer Reports - YouTube

Might also want to check out a VW Golf or Jetta as they are great entry level buys that hold thier value well.

[whiteboyslo]

Nothing wrong with the Fiesta at all, but I'd imagine just as reliable vehicles can be had used for less. Plus, remember insurance rates for a new vehicle can be much higher than for a used one even if only a year or two old.

I'd set a budget closer to $10K max and start looking used. Even if you financed the entire $10K, a 5 year note at 5% is only $189/mo.

Mike

[BlueDay1]

First time teenage driver? Insurance will cost alot on a new car. There is a good chance that she will wreck it.

I would suggest a 7 to 10 year old reliable car like a Civic or Corolla with less than 120,000 miles. It should cost about $4,000 to $8,000.

If you get an automatic, don't get a 2001-2002 Civic, since they are known to have tranmission problems.

[manderly6]

What about a few year old civic or corolla? You should be able to find something in your price range.

[BlueDay1]

Originally Posted by manderly6

What about a few year old civic or corolla? You should be able to find something in your price range.

Please look at the post above yours.

[whiteboyslo]

Originally Posted by BlueDay1

Please look at the post above yours.

Lighten up. The time stamp on the posts would indicate manderly6 was typing pretty much at the same time as you.

Mike

[manderly6]

Originally Posted by BlueDay1

Please look at the post above yours.

Good work detective. I obviously stole your idea. You caught me this time.

[Me007gold]

Originally Posted by BlueDay1

Please look at the post above yours.

So more then one person cant make the same recommendation? When more then one person says the same thing, its usually a pretty good sign, and good advice.

OP have you considered a used car? A civic/corolla from a few years makes a good car for a 1st time driver. It will all ready have some dents/dings, so when the 1st one happens it will not be the end of the world

[texdav]

I also would recommend a good used car paid for with cash if possible to reduce need for costly full coverage insurance in under 25. I never had a not paid for car under 25 for just that reason and drove to college.Also be sure and check your existing coverage that it covers under 25 driver within the family. often it exclusdes them without additonal coverage and premium. Oterh wsie it appears that jobs does pay for itself with the need for a vehicle perhaps.Make sure she know the need to have maintanence and breakdwon covered plus cost of gasoline.