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.
I think the issue with most people isn't that the buy new cars, it's that they treat a car payment as if it's a fixed expenditure in life.
Some people like driving new cars, and trade theirs in every two-three years -- just because.
If that's their "thing" and they can "afford" it -- just like someone else who's into electronic gadgets, or clothes or travel -- or whatever....it's their money, and the cost of their hobby or interest or whatever they're "into" is the cost of enjoying or doing that thing. C'est la vie.
In a sense he is right. Anything with wheels and an engine is a terrible financial idea, and we see these people every day all around us. There is one caveat IMO: If the vehicle is a business related vehicle needed in your line of work and can be written off as such on your taxes. Otherwise buy what you can pay cash for and live happily ever after.
In a sense he is right. Anything with wheels and an engine is a terrible financial idea, and we see these people every day all around us. There is one caveat IMO: If the vehicle is a business related vehicle needed in your line of work and can be written off as such on your taxes. Otherwise buy what you can pay cash for and live happily ever after.
Obviously, if you live/work in a place or metro area with a good/great public transportation system, then it's fine not having a vehicle. The way I look at it, is that your vehicle (for the most part) is a means to get you to your place of employment (unless you work from home), where you earn your living and make 40, 50, 60, 80, 100, 200k+ a year.
I agree you shouldn't "overbuy" and waste money on a tricked-out top of the line gas guzzling new vehicle, but for most people, if they didn't have a means to get to work their income would/could go to $0. Look at your vehicle choice as an investment to allow you to get to work to make a living and to survive.
Such a lost art of keeping cars till the wheels fall off!!!
That sounds *so* safe. Are people really that short of money? I wouldn't drive a car that is more than 10 years old unless it was garage-kept and maintained by me or else some sort of priceless antique.
That sounds *so* safe. Are people really that short of money? I wouldn't drive a car that is more than 10 years old unless it was garage-kept and maintained by me or else some sort of priceless antique.
I think most people who own 10+ year old cars bought them much newer than that, so I assume they're pretty aware of maintenance/safety issues. Although truth be told, we did buy an 11 year old car that served us very well for another decade. (We also bought it private party and had a mechanic check it out before purchase, so there's that).
That sounds *so* safe. Are people really that short of money? I wouldn't drive a car that is more than 10 years old unless it was garage-kept and maintained by me or else some sort of priceless antique.
Consider how much cars have went up in price in the last 10 years. Consider that a great deal of folks, especially those who work in the public sector, don't get regular raises nor have a regular cost of living increase. Which means, their salaries cannot keep up with the rising cost of housing, transportation, medical, etc...
Yet, people are so judgmental to those who don't make six figures a year. I don't get the attitude. Yes, people *are* that short of money, because new cars are starting to price out the average salaried worker.
Obviously, if you live/work in a place or metro area with a good/great public transportation system, then it's fine not having a vehicle. The way I look at it, is that your vehicle (for the most part) is a means to get you to your place of employment (unless you work from home), where you earn your living and make 40, 50, 60, 80, 100, 200k+ a year.
I agree you shouldn't "overbuy" and waste money on a tricked-out top of the line gas guzzling new vehicle, but for most people, if they didn't have a means to get to work their income would/could go to $0. Look at your vehicle choice as an investment to allow you to get to work to make a living and to survive.
You can get to work in an "ol' granny" car that wasn't driven much but is 15 years old and goes for $3000.
You can get to work in an "ol' granny" car that wasn't driven much but is 15 years old and goes for $3000.
No doubt and people should drive those to get to work, so they can earn a living. That was the point I was getting at, buy what you could afford and what's reliable to get you around. See your car (whether an old jalopy or a newer car) as an investment that allows you to get to your place of employment.
In a sense he is right. Anything with wheels and an engine is a terrible financial idea, and we see these people every day all around us. There is one caveat IMO: If the vehicle is a business related vehicle needed in your line of work and can be written off as such on your taxes. Otherwise buy what you can pay cash for and live happily ever after.
Ramsey presents any easy formula for winning at life. If you are responsible and follow his plan, winning is almost guaranteed. (barring major disability or some other catastrophe) So before you knock his method, realize there are always exceptions to a general rule and most Americans are losing at life and could benefit greatly from following his formula.
^^^This is the bottom line.
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 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.
