Trucks all mine!!
After 5 yrs my Ram is all paid off. Only has 70k miles so I have alot of life left in it. Good feeling to have.
Forum Discussion
Bedlam wrote:
Turning over new vehicles every five years takes a big hit in depreciation. The longer you can keep the vehicle, the less loss you have per year of ownership. If you want a new vehicle all the time, you are better off leasing but will always have a payment with nothing to show for it.
Making payments to someone other than yourself only makes sense if you can get a return on your money better than the interest rate they are charging you. If you have a choice of 0% interest or $2000 rebate and have the money sitting in the bank, you will still be better off with the rebate.
Emergency funds should be a different account than long or mid term savings. If your lifestyle or income level cannot afford to put away money for a future vehicle now, what makes you think you can afford that same vehicle on payments? It takes self control to save - Some require the money to be out of sight to avoid temptation while others can co mingle financials in one account.
I bought new trucks in 1983, 1989 and 2005 with plans on buying a 2015. My 1989 was my last financed truck and was paid off in 1993. Since that time I have been "paying myself forward".
To each their own, glad it works for you. I find that, for me, I can finance a vehicle for less interest than I earn on my money sitting in a brokerage account, so I financed DW's car at o.9% and will sit on a nice return on my money