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Old 03-21-2012, 09:38 PM   #15
tranzformer
Delights in pure handling
 
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Join Date: Apr 2011
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Quote:
Originally Posted by Zgrinch View Post
I know I might be going against the grain on the financial logic, but I do not like having payments, or the feeling that i am in debt to someone.
I tend to keep my cars a very long time and utimately pass them down the family tree as long as they are still in good condition. My plan is to purchase outright.
I keep my car for a long time as well. Current car is +10 years. But I will take advantage of interest rates and free cash. I'd rather have the banks get hit with the inflation. Plus makes me more liquid.

Take the $25-30k you would pay for the car. Get a 1.99% loan for 4 years. You already have the money to pay the loan off outright. Then pay the monthly loan while you invest or leave the money in a CD/high yield savings account. Gives you money to use incase a family member gets sick, house needs a new roof, water heater breaks...etc. Why leave $25-30K tied up in a car that is depreciating? Not to mention inflation.
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