U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > General Forums > Economics > Frugal Living
 [Register]
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
View detailed profile (Advanced) or search
site with Google Custom Search

Search Forums  (Advanced)
 
 
Old 12-14-2013, 07:54 AM
 
1,020 posts, read 2,680,262 times
Reputation: 578

Advertisements

its hard to resist. I never had a car payment in my life nor my parents. its very easy to want a 19k to 25k car after taxes, but you dont have that much, why not just pay a low low price of 280 a month? or wanting to buy a 35k luxury car and paying 380 a month. it seems too easy but it will strap someone for 5 to 8 years (max). I feel that its a pretty big burden, even though its "only" 200 something dollars, it adds up in the end.



my current car, i paid 1000 for. I dont have to worry about loosing it if i lost my job. the Joy of not worrying outpowers my need for a brand new car. if money was not an obstacle, i would of just bought a new car.
Quick reply to this message

 
Old 12-14-2013, 08:08 AM
 
24,696 posts, read 26,777,106 times
Reputation: 22704
Quote:
Originally Posted by civic94 View Post
its hard to resist. I never had a car payment in my life nor my parents. its very easy to want a 19k to 25k car after taxes, but you dont have that much, why not just pay a low low price of 280 a month? or wanting to buy a 35k luxury car and paying 380 a month. it seems too easy but it will strap someone for 5 to 8 years (max). I feel that its a pretty big burden, even though its "only" 200 something dollars, it adds up in the end.



my current car, i paid 1000 for. I don't have to worry about loosing it if i lost my job. the Joy of not worrying outpowers my need for a brand new car. if money was not an obstacle, i would've just bought a new car.
No.

The stress and expense of car payments is not worth it.

Now some people do get 0% or very low interest rate deals and they feel they can invest that money more profitably than paying all cash. Assuming they negotiate a good price for the car, this can be sensible.
Quick reply to this message
 
Old 12-14-2013, 08:14 AM
 
Location: Southern New Hampshire
6,719 posts, read 11,734,498 times
Reputation: 19354
I buy cars new and then keep them basically 'til they die (or become too expensive to fix). I did finance my last car but I have great credit so I got a really low interest rate (about 2% IIRC) -- I got a 5-year loan with no prepayment penalties (just simple interest) and I paid it off in two and a half years. I HATED having car payments again after not having had them for 10 years or so!

I don't buy expensive cars as a car is for me simply transportation from point A to point B -- not a symbol of anything or a toy. (Not knocking cars as toys for people who can afford that! )

Last edited by karen_in_nh_2012; 12-14-2013 at 08:23 AM..
Quick reply to this message
 
Old 12-14-2013, 08:15 AM
 
Location: southwestern PA
20,426 posts, read 35,696,560 times
Reputation: 38829
Quote:
Originally Posted by civic94 View Post
it seems too easy but it will strap someone for 5 to 8 years (max).
You CAN get loans for 2 or 3 years. No need to string it out that long...

Nothing wrong with a car payment, especially when your mortgage is paid off!

I financed my brand new 2003 car (0.9%) and paid it off in 18 months. And I still own it!
Quick reply to this message
 
Old 12-14-2013, 08:32 AM
 
2,081 posts, read 2,321,921 times
Reputation: 1669
I purchased a new car in '12 because I was sick and tired of paying for my used car to be repaired. In my life, I have had one, one good used car. I knew where that car came from ( my father) and knew he took damn good care of it. The problems I have had in the past with just about every used car I have owned justified my reasoning for buying new. I know there will be a lot of people arguing with me that buying new is stupid. I was just tired of the expenses I had to fork out with just about every used car I have owned. Yes, I will have a monthly payment of $280 for the next 3 years, BUT, I do not have to worry about it breaking down, and if it does, the warranty will take care of it for the next 5 years.

The problem with buying used, is in most cases you never know who owned the car before you and what their driving habits where like. I have friends that purchased a rental car. 2 friends. Guess what? After their warranty expired, a whole 90 days of it, they ended up paying for repairs AND paying their car note on top of it. I warned them about buying a rental car. The problem I had when I purchased my used cars, was the previous owner drove the crap out if. I would take the car to a trusted mechanic, and have it thoroughly looked at, yet despite all my precautions, there was issues that would remain hidden. I had a friend that purchased a used car from the dealership. About a year after he bought it, the engine seized up on him. Turns out the previous owner didn't believe in oil changes, and depending on whom or where you take your car to, these issues are overlooked until the problems emerge.
Quick reply to this message
 
Old 12-14-2013, 08:34 AM
 
35,121 posts, read 37,790,060 times
Reputation: 61840
Have not had anything financed since 1997 and I am glad of it.
Everything we have we paid cash for and own.
Quick reply to this message
 
Old 12-14-2013, 11:04 AM
 
12,405 posts, read 9,195,957 times
Reputation: 8856
Quote:
Originally Posted by civic94 View Post
its hard to resist. I never had a car payment in my life nor my parents. its very easy to want a 19k to 25k car after taxes, but you dont have that much, why not just pay a low low price of 280 a month? or wanting to buy a 35k luxury car and paying 380 a month. it seems too easy but it will strap someone for 5 to 8 years (max). I feel that its a pretty big burden, even though its "only" 200 something dollars, it adds up in the end.



my current car, i paid 1000 for. I dont have to worry about loosing it if i lost my job. the Joy of not worrying outpowers my need for a brand new car. if money was not an obstacle, i would of just bought a new car.
Ok, if 280 a month is a 'low price', why haven't you been putting that away every month (into savings)? You wouldn't miss it (or would you) ?

If you did, you could pay cash. Or put another way, financing does not make it more affordable, since the monthly 'cost' of saving to pay cash for a car is no higher than a payment would be. In fact it's quite a lot lower if you start a long time before you are actually going to buy it.

If you think you could live on 280 less a month, then go ahead and do it, but keep your current car. After several years, look at your balance, and you will realize that that poster on CD a few years back was right

If, OTOH, you could not live on 280 less a month, then what you are really asking is whether you should a) have a not-so-cool car, or b) have a nice car for a few months, and then have no car after the repo man taketh away...

Last edited by ncole1; 12-14-2013 at 11:26 AM..
Quick reply to this message
 
Old 12-14-2013, 05:18 PM
 
Location: San Francisco Bay Area
11,406 posts, read 13,950,805 times
Reputation: 10901
I financed my current car, at 0% interest.
Quick reply to this message
 
Old 12-14-2013, 09:41 PM
 
1,256 posts, read 3,178,921 times
Reputation: 931
Financed my car, 1.9%. $786 a month.
Quick reply to this message
 
Old 12-14-2013, 10:40 PM
 
Location: Amherst
127 posts, read 135,913 times
Reputation: 110
I rent, $120/week for a full sized car, sometimes free upgrade to premium or SUV. When possible I'll go 2-3 days with no car and then get something else. Most of December is free with all of the free rentals earned.

I drive 60k miles per year and haven't paid for a car repair in years.

Not for everyone but it beats making payments or breaking down/losing time/paying for repairs. Or worse ....making payments AND breaking down/losing time/paying for repairs.
Quick reply to this message
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


 
Please update this thread with any new information or opinions. This open thread is still read by thousands of people, so we encourage all additional points of view.

Quick Reply
Message:
Over $104,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Economics > Frugal Living
Follow City-Data.com founder on our Forum or

All times are GMT -6.

2005-2018, Advameg, Inc.

City-Data.com - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35 - Top