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How Much Ir Your Monthly Note?
- Thread starter georgie24
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1911
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No note, I buy out right (minimize consumer debt). Insurance? I don't want to talk about it. I have not had a moving violation in 5+ years but my "history" still drives my rates if you know what I mean (driving record is poor). State? Nope.
Later,
Later,
supersizeme
New member
How many tickets has driving an uninsured vehicle landed you thus far?? And what is your beef with insurance?
I think of a car payment as a part of life. I can't afford to buy what I want to drive outright so I usually bounce from car to car and spend about 3 years in each car until I am no longer upside down on my car loan. By that time I'm bored of it and have to get something new...my car payments are usually in the mid 400s but I'll generally pay $100 over to knock interest out early.
I think of a car payment as a part of life. I can't afford to buy what I want to drive outright so I usually bounce from car to car and spend about 3 years in each car until I am no longer upside down on my car loan. By that time I'm bored of it and have to get something new...my car payments are usually in the mid 400s but I'll generally pay $100 over to knock interest out early.
supersizeme
New member
heheh. it's funny how many people took me serious on that and probably still to this day think i'm an arrogant, rich bastard.
hey the maclaren's used...got a good deal on it
hey the maclaren's used...got a good deal on it
Paying for a car outright is usually not a great idea. You pay cash for a depreciating ivestment, and then you lose the services of the cash.
I'd rather have, say, $30K in the bank and pay $550 per month (assume little down) then lose teh 30K. Where;s your return on investment?
I'd rather have, say, $30K in the bank and pay $550 per month (assume little down) then lose teh 30K. Where;s your return on investment?
supersizeme
New member
lol ok gotcha.
*standing there with glazed over eyes watching the clue bus speed by*
*standing there with glazed over eyes watching the clue bus speed by*
supersizeme
New member
i think he is getting at the fact that if you are paying cash outright for the car...that 30K is gone. if you pay per month, you can keep the cash in the bank and do whatever you'd like with it to make money from it. the car itself is still a bad investment either way, but keeping the cash in the bank you can go throw it at some stocks and maybe make a little money that cancel out what you're losing in interest. or that's not at all what he's talking about and i'm lost.
W
Warik
Guest
MattTheSkywalker said:
That's where your misconception (which I've noticed before) is - the purchase of an automobile is not an investment. Neither is buying a computer, furniture, food, electronics, or anything like that.
Buy a TV? Crap in 1 year.
Buy a computer? Crap in 1 week.
Buy some food? Crap, literally, in 1 day.
None of them have a financial return on the investment, but they all do have some sort of return.
TV - Nice, big, clear, crisp picture. Great sound. A pleasure to watch.
Computer - Fast performance to enjoy games and complete business tasks more efficiently.
Food - Keeps you alive.
Car? Ok, you buy your car, it's worth less in a few years, but what's the return? It was a pleasure to drive.
I drove a '94 Ford Tempo for 2 years, and I've driven my '00 Maxima for almost a year and a half. I know the difference in costs, and I know the value of a dollar. Honestly, I'd rather have no return on the "investment" than drive around in an uncomfortable chair, roll down my own windows, and accelerate slower than a kid on his first bike with training wheels.
-Warik
supersizeme
New member
curling said:
I don't know if you're kidding or not, but in case you aren't, I don't have a McLaren. I don't even have a postive net worth at the time being, so a $950,000 car is probably the last thing you'll find me rolling around in.
the nature boy
New member
what, nobody uses a rickshaw anymore? where the hell have I been?
Warik said:
Warik:
Spend money = investment. That's the definition I use.
But let;'s use yours: The "return" on the car is that, as you say "It was a pleasure to drive."
The sensation of driving is the same whether you pay cash or borrow. So why lose the service of your cash?
georgie24 said:i bought a vw a while ago no payments cause i paid cash, just wondering what im gonna be getting into, i have a yamaha r6 that i bought cash too
New Bimmer?
Figure $499-$600 to lease a new one.
Or you could see if there are any 2001's left - they may give you a better price.
W
Warik
Guest
MattTheSkywalker said:
Because I lose less cash paying $30k upfront for a car than I do paying more than the car is worth over the course of several years.
-Warik
Warik said:
No...generally you don't. Remember the present value of money vs. inflation.
If you lock in a payment of say, $400 per month, then in 4 or 5 years, when the loan is paid off, $400 is "less" money than when the payments began, because of inflation. But you pay the same.
If that doesn't convince you, consider the relatively low interest rates that are avaiable to those with good credit. If you invest wisely, your rate of return should be higher than any "extra" amount you have to pay the bank due to interest.
Trust me on this - you don't want to lose the services of the large sum of cash. Once you get out of school, you'll have the cash - and you'll want to leverage the hell out of it.
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