Last post on Mar 21, 2009 at 6:50 PM
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#351 of 390 Re: 10 tips to cut car costs [joesmith2]
Mar 07, 2008 (5:03 pm)
Your advice was to commit fraud to save a few bucks. You deserved some flack. Now you reveal even more fraud to cover your original lie.
You don't like insurance companies. Fine.
I don't like lairs.
#353 of 390 Re: 10 tips to cut car costs [joesmith2]
Mar 08, 2008 (6:54 am)
In other words, you buy insurance, your car gets stolen, and they give you what they think your car is worth, even if it's less than the premium you paid.
Not sure what this is supposed to mean . That is exactly what an insurance company promises...that they will give you the actual cash value of your car if it is stolen. The price of this protection is the premium paid for "comprehensive". If you don't like the price, you don't have to buy that coverage and you take on the risk of loss yourself.
The reality is you are not stealing from the insurance company, you are stealing from all the honest policy holders. We have to pay higher premiums to cover the cost of fraud by others.
#354 of 390 Go ahead, kick me off your lame forum
Mar 08, 2008 (7:20 am)
I wonder how long this post is going to last? If I do want to post, it takes me a whole 5 miuntes to create a new id, along with new email address. And don't bother flagging my IP address, it changes everytime I log on.
I've been nice. But if you make car payments, you're a fool. And part of the reason the country is in a credit crisis.
#357 of 390 Re: Go ahead, kick me off your lame forum [joesmith2]
Mar 08, 2008 (1:42 pm)
Yeah, you're right. I'm a fool for paying 0.75% interest on my wife's car for the past 2.5 years while my money market has been giving me 4.5%. Thank you so much for showing me the light.
#358 of 390 Paying .75% interest???
Mar 09, 2008 (10:32 am)
First, I apologize for calling anyone a fool, that was harsh.
Loans come from banks. Banks pay interest on deposits, and make loans. Don't they have to charge more for loans than they pay depositers in order to make a profit? I don't know about anyone's situation, but I got on the Mercury web site and looked at their special offers. One offer was $5500 cash back, or .9% interest for 60 months with 10% down. I made a spreadsheet, and did some figuring. The payment on a 60 month loan for the financed amount (26095 for a Grand Marquis LS) works out to be $437.81. If instead you take the $5500 cash back, and apply it to the down payment, and finance the rest for 60 months at 10.57 %, your payments are the same, $437.81.
In the case of the Mercury Grand Marquis, your not getting .9% interest, you're getting 10.57% interest. If your investments are making less than 10.57% interest, you're better off paying cash. And don't forget you have to pay income tax on the interest you earn.
#359 of 390 Re: Paying .75% interest??? [joesmith2]
Mar 09, 2008 (2:06 pm)
I don't think anyone disagrees with you about paying cash for cars...if you can afford to. But there are times when taking the dealer financing is not a bad idea. Like 0% financing. My 2004 Quest is being financed at 2.9% for 60 months.
#360 of 390 Re: Paying .75% interest??? [dtownfb]
Mar 09, 2008 (3:41 pm)
I don't know about your Quest, but if it was a Mercury Grand Marquis, my point is you're not paying 2.9%, you're paying 10.5%. It looks like you're paying 2.9%, but you're actually paying the cash discount you passed up to get the 2.9%.
Your point about what if you can't afford to pay cash. I got on Nissans site, and it looks like a new Quest is 25,000-30,000. If you put down $3,000 on a $25,000 Quest, and your rate is 2.9%, your payments are about $410. You need comprehensive insurance on a new car, which is at least $50/mo, so thats $460. If you save $460 a month, in 2 years you've got $11,000. I got on autotrader.com, and there are plenty of Quests, from 1995 to about 1998, with 100,000 miles for $3,000. There are plenty of quests on autotrader that have 200,000 miles, so I'd guess a $3,000 Quest with 100,000 miles will probably be good for another 100,000.
Its hard to save money. I heard a guy say its harder to save money than it is to quit heroin. Some heroin users can quit, buy none of them can save money.
Good luck with your Quest!