Car loans are stupid

Non-repair car talk
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kevm14
Posts: 16024
Joined: Wed Oct 23, 2013 10:28 pm

Car loans are stupid

Post by kevm14 »

Yes, inflammatory title but this is specifically regarding people who use car loans as a means to purchase something they actually can't afford. There are a few edge cases where a car loan makes financial sense and we will not be discussing those.

These guys have a channel and seem to discuss financial stuff for a portion of the subjects. Mike challenges his sister to not go buy a $15k vehicle when she only has $2k cash in the bank.
https://www.youtube.com/watch?v=8tk1BycWC9I

More to come.
kevm14
Posts: 16024
Joined: Wed Oct 23, 2013 10:28 pm

Re: Car loans are stupid

Post by kevm14 »

The result. 95 Camry. Good choice.
https://www.youtube.com/watch?v=nAJkbasxACw
kevm14
Posts: 16024
Joined: Wed Oct 23, 2013 10:28 pm

Re: Car loans are stupid

Post by kevm14 »

Dave Ramsey on selling the old beater.

https://www.youtube.com/watch?v=ho5XhqgoMEs

So we agree, more or less. Hassle factor as a function of income/net worth is why you move up. Very hard to make financial justification in most cases. I've said this for years and years.
drive the car until you gotta replace the transmission.
But what if you are driving a Chrysler product?
bill25
Posts: 2583
Joined: Thu Oct 31, 2013 2:20 pm

Re: Car loans are stupid

Post by bill25 »

But what if you are driving a Chrysler product?
You have already made an irreversible mistake... Luckily if you listen to this advice, you only have to live with that mistake for about 35,000 miles. LOLOL.
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