I just need something cheap and mechanically sound.
Driving and cars aren't something I really enjoy unless it's a Jeep. Once I live close to work and everything else is nice and neat, I'll pick up a used one. At these gas prices the cost of driving one would be too high.
Starting Score: 675
I have noticed what you are referring to as well. Spending big money on a car when they have other financial problems. I am okay with somebody buying a luxury car if they clearly have the means, but usually there are better deals out there. I know somebody who had the cash to buy anything on the market, and instead leased a modest A6. It is rarely logical to go out and spend a large amount of money on a car that will quickly lose its value.
Instead of my subaru I almost bought a g37x for $7k off MSRP. That to me would have been a luxury car, but I didn't need it.
My requirements for a vehicle:
AWD
Always has good equity
Will never leave me stranded
I also see the trend of kids fresh out of school buying cars out of their reach. For one, they'll probably be amazed at just how far their paycheck goes...not much. And two, don't they know how much that wasted money will be in 40 years?
I have much better things to do with my money than spend it on a depreciating piece of metal. Maybe when I have all my money together I'll buy my dream car...a BMW
Starting Score: 515
I can understand how rediculous it is earning $20,000 a year with a $50,000 vehicle with a $300 monthly payment where 50+% of it goes to interest, but you'd have to realize 9 of 10 people will always look at the amount of the monthly payment instead of the interest rate.
Whatever floats their boat though. I wouldn't tell another man how to spend his $$$. It just separates the financially responsible from the irresponsible.
Also to a lot of people, their vehicles are a lot more than just transportation.
@GMCSierraDenali wrote:I can understand how rediculous it is earning $20,000 a year with a $50,000 vehicle with a $300 monthly payment where 50+% of it goes to interest, but you'd have to realize 9 of 10 people will always look at the amount of the monthly payment instead of the interest rate.
Whatever floats their boat though. I wouldn't tell another man how to spend his $$$. It just separates the financially responsible from the irresponsible.
Also to a lot of people, their vehicles are a lot more than just transportation.
i can honestly say when i got my car, i really did look at the payment(insurance as well). since my car was on is last limb, i basically told the guy im already sold on the car, i did the research, lets make a deal.
BUT with the advice on HERE, and my credit being in decent shape, i quallified for the 0% 2 years or .9 3-5 years
going from 80 a month, for your (car insurance+no payment) to almost 500 a month is a scary thought and something you cant consider lightly.
Oh I agree, my very first car payment I looked at the car payment amount first & totally ignored the interest rate. I feel like that's totally normal if you're not conscious about your credit status. It's a good thing I don't think like that anymore. Lol.
My criteria is safety and seats. Having had two back surgeries, I need really, really good lumbar support and multifunction control seats....which may not push into "luxury" but not usually the least expensive model....and I love my heated seats. Driving an 8 year old Jetta purchased new, 162000 miles and I still love. Was almost double the cheapest version...but my back thanks me every day. I think there used to be more of a correlation between expensive and safety...don't think thats still the case.
I'm driving a '96 Saturn wagon, LOL!