People telling me not to buy?
 

So, I've finally been able to scrape together 8,200 as down payment for an fr-s. I've visited 6 dealerships and found one that has a white frs being delivered to them by the first week of october. I am totally stoked. I've been following this car for months now and now I can finally be a proud owner of the car!

But people at my shop are telling me not to get a new vehicle when I can get a decent used car for half the price. Theyre telling me I'm being financially irresponsible and wasting away my money. They also say that anything over 3 years for a payment plan is a bad idea... HOW DO YOU PAY OFF A NEW CAR IN 3 YEARS?!

I mean, I think it's not so bad. Im 19 with no credit, but being in the military and being able to put down 8.2 gets me 6% interest on a 5 year plan. And Im planning to pay it off earlier if possible. I make enough money to pay extra on payments, and pay for my insurance and I have no other payments.

My reasoning for getting a new car is that, if I buy a junk car now and plan to buy a new car in the future, I might be out of a job and not be able to afford one or pay off the monthly payments. But if I get the new car now, Ill probably be able to pay off all of it by the time i get out and I can focus mostly on college...

I dont know anyone think its a bad idea?

If your military don't forget your $1,000 discount thru Scion.

As for buying the car, idk? Personally if you're in the military there are a lot of things to think about IMO, especially if you haven't been in to long. How often will you get to drive it? Where are you going next? Any long deployments coming up? Where do you plan to store it? and I bet insurance is going to be very high.

Sorry bro, they are right - it's a bad idea. Buy something reliable like a used Camry or Accord and save your money for college. You're going to have unexpected expenses and come to regret having all your money trapped in a new car.

People always believe in the "Buy used only" and that buying new is a waste of money. If you can handle a loan then go ahead and buy the car, you won't regret it.
Though i can see where your getting at it and in your situation i think i would wait, buy used and then buy the car i really want.

The people are right. It's pretty much that simple. Unless you are inept at basic repairs and maintenance, or you are really unlucky and buy a total piece of crap, a used car will always be cheaper. I can go get a pretty decent used car for 10K, pay cash and drive it for 3 or 4 years and buy another one with the money I saved by not having payments.

Also, a decent credit union should be able to do better than 6% on a new car.

yup getting the discount also. As for the military life, Im an airframes mechanic, which means I probably won't be getting deployed but Id honestly love to. That way when I come back Id have a shit ton of money to pay off my car. Im setting up direct deposit so that if I do end up getting deployed I dont have to worry about payments. Also my family live about an hour and a half away from my base so I can leave it with them.
+ usaa has good rates for insurance, and I can always put my name under my fathers insurance to save money also.
Ive figured everything out but not a single person in my shop thinks its a good idea... makes me have second thoughts.

MANNN I still want this car :( I dont have to worry about college cause of the gi bill... WHYYYYYY :(((

I dont get why my fathers pushing me to get a new car rather than an old one... the only person who wants me to get the fr-s.. well him and my friends lol

Internet opinions are worth what you paid for them.

Speak to your parents, family friends, trusted role models. Your "boys" at your shop don't know YOUR situation as well as you do, don't your KNOW intentions, or your plans.

These questions are better asked to someone who knows you better imho.

I would agree with you. I'm 18, I had a choice of what car to buy and i choose a new one instead of paying for an old car. Like lets say you had to buy a car that was 6k and 10 years old and you were trying to save some money until you graduate to buy a new, better car. Well might as well lease a brand new car, 0 down, 200/month for 3 years that won't cause you any problems that an old car would (hopefully). You can get even cheaper leases depending on what car you get.
My family had an old car 10 years old and the engine gave up when we needed it most. Constant problems with it too. We ended up selling it for 500 dollars scrap.

I think you made the right choice if you can pay it off.

i dont know ive tried looking around for insurance but usaa which is supposed to be a supporter of military wont even accept my application since i dont have credit history. again, im 19, joining the military was my first job ever LOL. isnt 6% the best i can get in my situation?

go for it, i was 18 when i bought my Evo 8, i paid monthly and kept it it for 2 years. Then i sold it and got this car :). Still pay monthly and im putting myself through college with no loans!

Toyota Financing isn't your only option. Local credit unions and banks are ALL providing loans at rates lower than this. Don't be fooled by the salesman/finance manager, shop around and go talk to people.

Sitting face to face with a case manager at a local bank branch or credit union gets you a lot farther, and likely a cheaper rate than 6% over 5 years.

Because they are right. To be honest, at your age I would have bought the FR-S. And it would have been great for the first few months. But now with the benefit of maturity, I know that if you're going to college and have little job security, then you are better off holding that money for unexpected expenses that will definitely crop up.

Welll it wasnt through toyota. But my dealer did set me up with the bank..... :paddle: I will try to visit navy fed and other local banks to see what they can offer me

Research, consult, listen, and then understand about this opportunity with an open mind (like you're already doing)... And then make your decision.

If you happen to make a mistake in your final decision... You learn, simple as that. :thumbsup:

(Always a comforting idea to take some more time and wait it out instead of making a pressured decision).

All the best to you!

But thats the thing, I know ill have money left over to save even after the payments. I dont have any expenses, wont for the next 4 years (living on base saves alot of money) and college tuition, books, housing will be paid for through the gi bill. obviously ill still have money saved up when i leave the military. and by the time i leave ill probably have paid off the car, or might have some months left. Plus im going to take a job while going to school.. cause money doesnt grow on trees.

Ive honestly thought this whole thing through. Just need someone to back me up on this so i dont feel like im making a bad choice.

Cars are awful investments. For people in the military it's even worse. You may be gone for 12-15 months at a time on deployment, and it's depreciating in value weather it's being driven or not.

I wouldn't buy a new car if I was in the military. I would buy a beater for when I'm state side, and put the money that would be going in to a loan in a high yield savings account separate from the normal savings and checking account. Then I'd be collecting interest not paying it.

A friend of mine did this, then after his final deployment he paid cash for new $30k+ truck.

If you need someone else's voice to justify your decision, then you're doing it wrong. If you feel comfortable with your decision and have done your homework, then go for what you feel is right. Just remember, every day is a present and you don't know what is going to happen. In other words, make sure you have a back up plan.

YOLO definitely happened 3 times for me with this car.

1. The car
2. Five Axis
3. Turbo

I guess youre right. Im going to have a talk with my father. If he thinks its financially sound Ill be goin with my decision and ill make sure to give him all the input you guys gave me. Thanks for all the help everybod.

You should wait IMO. I'm almost 27, and this was my first new car. Theres def better value in used cars, and tbh you're always better off waiting a year or 2 after a new model is released so they can work out the kinks (just take a look at the CEL issues, deck popping, etc). Not gonna say dont get it if you REALLY want it, but you'll get better value if you wait. Also 5 years at that interest rate is a lot of money to be giving away... I plan to pay my car off in 1-2 years at most, I hated the idea of financing, but i didn't want to be cash poor as i'm also saving for a wedding :D

Oh yah, im honestly leaning more towards a used car now. which is what i was previously trying to get but my father for some reason wants me to get a new car and talked me out of it which is why I got so stoked to get an fr-s.

i dont mind getting a used car, but getting the fr-s would be awesome problems and all. we will see.

good luck on the wedding!

To be honest, at 19 years old, I was you. When given the same choice, I bought the car and I loved it. But in hindsight, I realized how many years of my life it took away from me. I went deeper into debt than I should have. I took part-time jobs to pay for it, which distracted me from my studies. After graduation, I took whatever job I could instead of a better job because I was desparate for money. I ended up having to borrow money to pay for my wedding. I couldn't start my own business during the internet boom. Buying that car affected me in ways I never thought.

don't buy a used car unless you are definitely getting deployed in the next 6-12 months. Yes 1st year cars have hiccups, but not EVERY single one produced will have the same issues. I had a first year mazda 3 hatch and besides replacing a bad strut under WARRANTY, and the usual wear and tear, headlight bulbs, and oil changes, car still runs fine, never broken down, shifts smooth.
My point is new 1st model cars aren't as much a roll of the dice as a used car. And if something does hiccup, thats what the WARRANTY IS FOR!!

If you think the juice is worth the squeeze then go for it, but don't lie to yourself on why you are getting it. Think hard about your needs vs. wants. The car will be around for a while - used or new. I'd suggest to create a monthly budget to see how your finances play out. Include if you had to pay rent/utilities, gas, food, savings, retirement (TSP and/or IRA), medical expenses, etc. and prioritize what you can't live without.

What is your purpose for getting a new car? Do you need a new car while going to school? Are you willing to postpone getting a new car since this is the first generation and they will fix the 1st gen issues? What if you can't find a job after completing college? Are you planning on settling down anytime within the next 5-10 years (purchase a house)?

As much as I hate to say this, I'd hold off buying it if I were in your situation. My personal opinion its a good idea to keep 6-12 months of salary in some sort of liquid savings in case the sh*t hits the fan, but then again I have a mortgage. With this economy, there's a lot of uncertainties so I like playing it safe financially. I think 6% interest is robbery and in the meantime I'd build up credit, get a used car for commuting purposes, get a steady job out of college, then buy my toys.

oh hell, hit me up in 8 months and i'll sell you mine with the extended warranty!!! lol

Holy...nearly 30% down and 6% interest? A credit union can get you a much better rate with either no down payment requirements or a lower down (5-20%) depending on the credit union.

I'm 20 and got 1.74%, so just shop around. Only put the money down if you can't get a better rate in investments elsewhere, unless required by the loan.

i.e. if you can get the loan at 1.99% with no down, the APY is roughly 2%, so you could find a 5-year CD at 2.5% APY and make a better return instead of paying down the loan.

But that depends on if you're in a financial state to pay $8200 in either loan down payment or investments. You have to decide if you'd rather take an $8200 instant hit or pay a bit more in monthly payments.

Just by an FRS already. Your in the military, you should qualify for an account with PenFed. They are doing 1.49% loans. Your military status+down payment should be enough if your income is also good.

I spent 6 years in military, i didnt buy a new car until i was 28 which was the FR-S

Just buy a nice car for 6-7k enjoy that, study hard, make rank everytime get deployed,put 30k in the bank, then maybe treat yourself to a nice car after all of that, you will thank me in the long run :happy0180:

I just checked my federal credit union and they are offering 1.99% financing (likely 800+ credit) and 2.5% for tier 1 credit (I'm assuming in the 700's), both for 60 months. Definitely check out other places.

Dude just buy the car you like. Sounds like you have looked into the financial bs and have figured out you can afford the car I'm 23 and my frs will be my first car. New vs used is a never ending battle the reason I went with the frs over used is that all the other cars I wanted were out of warranty like the s2k, 350z, g35, blob eye sti or the Pontiac gto. Plus I just love everything about the frs, so who cares whAt others think. If you can afford the frs and you really like it then buy it simple as that you can always trade it in later on down the road. Plus I think in the long run this car will be a very collectable car.


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You have a lot to learn ........

No contracts yo. Earn enough money and buy it out! :thumbup:

i didnt read any ones else advice so take this for what its worth...you are in the military, if you are E-3 or below and living in the barracks wait and get something cheap and used until you hit E-4...if you are already E-4 (and not married or with kids or a house), finance outright and use the 8,000 you've saved to make the car yours...its cheaper to spend an extra 20-30 a month on car payment than it is to save that 20-30 a month to get parts you want NOW...i have had to sit down with way too many newly enlisted kids (not saying you are one) and go over financial plans with them because they overbought. just my .02cents

Edit: and i may or may not have been where you are 12 years ago so i do understand ;)

I find it amusing that most of the people on here that are telling you not to get it and that your boys in the shop are right... Don't even have one, or at least don't have it in their drives description. When I was your age I messed my credit up, I bought a car with the help of my father and it got repo.. I didn't have a steady job and I work Witt the military now.. So as long as you wanna stay in you have steady income... Now in my situation, as a contractor for the government, I am paying 6.9% which is pretty high... But it's taken 10 years to get my credit fixed and my last truck payment was 22.9 % so I'm stoked lol... I can afford the payments... Even on unemployment if the worst happened, but that's what it comes down to.

Can you afford the payments, even with something unexpected that might possibly happen.. If so and you really want the car and can see yourself making payments for 5 years... Then go for it.. Mine was 32 out the door and just under 41 when it's all said and done... Something I can accept.. Some people on here can't or won't.. But it's a personal decision that I made and when it comes down to it you have to make.. So e people are just haters.. I have a couple at my warehouse.. But all the haters seem to drive beaters.. And I did for a long time.. Now I'm proud to have my FRS and would change my decision for anything... Unless I got a lower rate lol

If you want an FRS you can't really buy a used one and used ones will be a bad deal for years to come. However NOT buying a real expensive car is smart long term. If you get something cheap still finance it so you can build your credit history. Get a gas rewards credit card to buy fuel with, this will help your credit too. i waited too long to get any credit as i was a "pay cash always" person.

I look at my MR2, its a 1987 with over 200k miles, who knows how many owners did what to it. i still love driving it. If the new ones hold up as good and you can pay it off in 5 years you will have had an awesome car for long time. What if you could get 20 years out of it? Life is short so if you can take good care of it it could be a great investment in transit+fun.

I am going to make some assumptions based on what you have written.

1. You're 19
2. You're in the military and hardly making any money
3. You MIGHT have $11,000 in the bank, since you putting down $8200.
4. When you buy the car it will cost you AT LEAST $28,000 with tax/license.
5. Insurance is easily going to cost $1500 per year.
6. Once you drive it off the lot, you will lose $3000 in tax/licensing.
7. AND the car will have depreciated by 10%, making it worth $22,500 INSTANTLY.
8. The MINUTE you drive off the lot, you have lost $5,500. IN JUST ONE MINUTE.
9. So you have lost 1/2 of your entire savings account if you had $11,000 to begin with. IN JUST ONE MINUTE.
10. Now you're in serious debt. You owe the bank $20,000 on an enlisted man's salary.
11. How much savings do you have in the bank for emergency.
12. How much savings for college?

If the above is true, it would be a serious financial mistake to buy this car. I am sorry, but anyone who is a lot older than you will agree with me. Sh*t happens in life, and you do not want to be without enough cash for when it does. Cash is security, and security is worth more than this car.

Buy the cheapest used decent car you can find, if you really need a car. If you can do without a car, you will still have ALL that savings in the bank and you will be better off for it.

This car is NOT an investment. It is an expense and a big one at that. It will lose value every day you own it. Every day, down in value, and running all kinds of expenses to operate and insure it. You are very young with very little money in the bank. Buying a car like this is for guys with good incomes and money in the bank. Buying this car is not for guys in your position, I am sorry to say.

Judging from his posts, he's not here to listen to other opinions. What he really wants is vindication for what he's already decided to do. 10-20 years from now, I hope he can look back at this thread and realize what a blunder he made. As they say, youth is wasted on the young.

Get what you want when you want it. Especially being in the military, you never know when its your time, or when tragedy will fall. Live within your means, but if your means allow you to have what you want, get it, God only knows how long you have to enjoy it.

You can spend your life wishing you had gotten it, or spend your life enjoying that you did get it.

I disagree with this ONLY because the demand of the car is high enough right now that he could get back most of what he paid if he decides to sell.

it's possibly the mistake he needs to make