@privacyadvocate69 wrote:It means once can save money by not buying expensive vehicles, and that was not among the options you listed above.
Additionally, from your description above, it sounds like you bought a crappy car.
Here again, you make assumptions. The previous car I purchased took me five months to find and after looking at over 100 similar vehicles, I was thrilled to pay the ten grand. That said, I prefer to keep my vehicles as close to show room condition as possible, so things like suspension refreshes, clutch replacements, timing belt/water pump/oil seal replacments are just a fact of life with a used car. You think you saved money by buying your four year old car; I submit you're fooling yourself.
@privacyadvocate69 wrote:
@Horseshoez wrote:
@privacyadvocate69 wrote:It means once can save money by not buying expensive vehicles, and that was not among the options you listed above.
Additionally, from your description above, it sounds like you bought a crappy car.
Here again, you make assumptions. The previous car I purchased took me five months to find and after looking at over 100 similar vehicles, I was thrilled to pay the ten grand. That said, I prefer to keep my vehicles as close to show room condition as possible, so things like suspension refreshes, clutch replacements, timing belt/water pump/oil seal replacments are just a fact of life with a used car. You think you saved money by buying your four year old car; I submit you're fooling yourself.
You can save money by being less picky about what car you buy too.
Here again you preach. I like driving and I want specific vehicles to drive in; I'm not going to tell you to buy a crappy four year old Kia to save money; that's your business. Me? I have very specific desires for the vehicles, so excuse the hell out of me if I have a cool S2000 as my daily and a rare Tacoma with a manual transmission for other stuff.
@privacyadvocate69 wrote:
I drive a beat up, rusted out 16 year old Jeep.
Given your penchant for saving money, I have a hard time believing you drive that Jeep.
As for my options, no, buying a cheaper car was never, EVER considered as an option; the only option not listed was to have kept my old car, it would have been by far the cheapest option. That said, I'm not a monk and don't practice unnecessary self-restraint, I wanted a new car, it isn't a reach to pay for it, so I bought it.
Long story short, none of this has anything to do with the bogus advice DR preaches when it comes to paying for a car.
Yup, I drive the Jeep (;
Good chance it will be the last car I own too, since I'm virtually certain to be dead in a few years.
People "don't consider" a lot of options they have. Many times they don't even realize they're options.
As for paying cash for a car...or anything else really, there are reasons for doing something that are not strictly financial. For example, you wanted a certain car, so you bought it - even if it wasn't, from a purely financially optimal perspective, the most optimal choice you could have made.
There are reasons to pay cash or not pay cash for a car that may be perfectly valid, even if they are not financially optimal. Someone might want to pay cash for a car because:
1). they simply don't want car payments.
2). they don't like the feeling of owing someone something, psychologically speaking.
3). they want to live a "debt free lifestyle". Pay cash or do without, period. Maybe they're militant about it too.
4). they may worry about being able to make payments in the future, for whatever reason.
Even if it can be proven that taking out a loan and investing the cash is financially optimal, that may not matter to someone. They simply don't care - it isn't their highest priority.
This comes up with tax refunds. Some people like a big tax refund, even though it is very sub-optimal from an objective financial perspective. "Take the money every month and invest it" people say. Sure, in theory, that's the smart move. But the REALITY is that is simply isn't what most people would actually do. It would just get pissed away.
For many people, the REALITY is that getting that big refund IS the financially optimal move, FOR THEM. An extra $400/month could be "***** it away" money, but a lump some of nearly $5K is "I need to be smart with this" money.
@Fester82 wrote:How much of a emergency fund should I have before I throw everything at the credit cards? Thanks in advance.
For me I did what Dave Ramsey advises. He says to get a small emergency fund of $1000 saved first and then throw everything you can at paying off Credit Card debt and existing auto and school loans. Once you're done doing that then save an emergency fund of 3 to 6 months of expenses. I felt like it wasnt doing me much good to save a lot of cash up when I was paying so much more in interest each month. Unlike Dave though my view on credit cards is different. I love credit cards so I still use them but now I just pay in full.
@MS103127 wrote:
Especially the part where he just casually tells people to work 10 jobs at the same time, then he yells at his callers for rightfully pointing out that doing so won’t make them benefits eligible because of the minimal hours worked.
This thread is a year old...
