What kind of down payment....

[DGthe3]

Leasing works great in the short run, like renting an appartment. But in the long term, its not as nice. When you finance a car for 5 years it is worth about 1/3 of what it stickered at. So you can sell your just bought $30k for $10k. not a very good investment, but put that into the down payment on your next $30k car you save a lot of interest. So over 15 years of leasing (3yr) vs financing (5yr) you save thousands. Even more if you hold onto your car for 6 years, getting 1 year of opperating cost -no payments at all!

The cheapest solution though, buy used. A car that costs $1000 may require that much in maintenance each year (probably won't, more like half that but for arguments sake . . .), and die after a few. Then get another cheapy and repeat the process.

1000/yr * 15 years = $15 000 (this is the way my family has done it for years)
545/mo*12mo/yr*15yrs - $30k (resale) = $68 100
379/mo*12mo/yr*15yrs= $68 220

Sooooo, in the end it all depends on lifestyle. Want to have a new car every few years, lease. Want to have new cars and save money in the long run, finance and hold onto your car. Is saving the money the most important thing? get an old car that nobody wants and drive it till it dies, sell for scrap and find another one.

[Chevyrocker]

Originally Posted by Jose_The_Great_Cuervo

I heard there were extra fees if you were to finance an automobile once the lease is up. How expensive are these fees?

I'm in college and I don't know if I can afford the base V8 if I finance it.

They're the same fees that you pay when you buy a car, which you don't have to come out of pocket for. You can just roll them into your payment. If you're just getting out of college, try building some credit up now (unless your parents will co-sign for you). Get a credit card, buy like one thing a month, and then PAY IT OFF! Don't carry a balance over month to month. If you pay it off by the due date, you will never pay interest.

[guy]

Originally Posted by jsenn

They're the same fees that you pay when you buy a car, which you don't have to come out of pocket for. You can just roll them into your payment. If you're just getting out of college, try building some credit up now (unless your parents will co-sign for you). Get a credit card, buy like one thing a month, and then PAY IT OFF! Don't carry a balance over month to month. If you pay it off by the due date, you will never pay interest.

Good Advice Jsenn, while I was in college I had 2 credit cards that I was very responsible with and by 25 I was able to go out and buy a house right away just off of the credit I built up on the credit cards.

[5thGenAnyone?]

I have never bout a new car before so i really dont know how it works. Im expecting to have around 34K by the time the maro is ready for sale. I was just gonna buy it in cash right there but it got me thinking. Should I do that or should I put down like 25K or so and finance it with small payments just to get my credit up? Just wondering if anyone had any advice on what they would do. Thanx

[diddiyo]

btw,


interesting to watch, but don't take everything he says for granted...

[chadrcr]

Originally Posted by 5thGenAnyone?

I have never bout a new car before so i really dont know how it works. Im expecting to have around 34K by the time the maro is ready for sale. I was just gonna buy it in cash right there but it got me thinking. Should I do that or should I put down like 25K or so and finance it with small payments just to get my credit up? Just wondering if anyone had any advice on what they would do. Thanx

It is a good idea to considerbuilding your credit this way, plus you can get a really low interest rate for a ONE year plan... but pay it off early anyway, it will look good to have a high "limit" AND low balance.... read the small print, check for early payment penalties though.
And the dealers can make some $$$ buy selling you a loan, so you might be able to get the car for a little less. In 99 I bought I bought a used ZR2 at a nissan dealer, they wanted to charge me $2,000 more if I used my Navy Federal Credit Union instead of their bank....I used their bank for 1 month then refinanced at NFCU.

[5thGenAnyone?]

It is a good idea to considerbuilding your credit this way, plus you can get a really low interest rate for a ONE year plan... but pay it off early anyway, it will look good to have a high "limit" AND low balance.... read the small print, check for early payment penalties though.
And the dealers can make some $$$ buy selling you a loan, so you might be able to get the car for a little less. In 99 I bought I bought a used ZR2 at a nissan dealer, they wanted to charge me $2,000 more if I used my Navy Federal Credit Union instead of their bank....I used their bank for 1 month then refinanced at NFCU

Thanx chadrcr. I'll definitely consider doing the whole finance thing than. I also will make sure not to skip over ANY fine print in the contract. Do you think i would be able to get the car for much cheaper if i just went in and slapped down full cash payment even though it is a bran new and will be a hot selling car?

[Blizzard]

Originally Posted by WillMill

Apologize for more thread jacking, but I do agree the Navy should get higher bonuses than us AF since they do deploy a lot more, I know my father was gone about 3/4 of the year every time he went out, which was almost every year for the past few. And even though I'm in the AF I don't get to enjoy all the luxuries you ATC guys do....My job can only take me three places, and unfortunately they are both Army posts or the beautiful beachless sands of the desert. Our linguist bonus does cap out around 60k, but from my experience so far, its definitely not worth it (wish I picked a different AFSC now), even though that is potentially two decently equipped Camaros. Back to the main topic though, hopefully I will be able to put down at least 3-4k as soon as my Jeep is paid off and a little while after the new kid arrives. I'm sure I can squeeze two car seats in the back somehow. Or just let my wife follow me in the Jeep with the kids...

What about us Marines? When I re-up I'll be lucky to even get a pat on the back. If I want a bonus I should just go to Iraq for combat pay. I may have to so I can get a Camaro when the Gen V comes out.

Bonus...I wish

[boxmonkeyracing]

Originally Posted by Blizzard

What about us Marines? When I re-up I'll be lucky to even get a pat on the back. If I want a bonus I should just go to Iraq for combat pay. I may have to so I can get a Camaro when the Gen V comes out.

Bonus...I wish

I'm in the air force and I'm like you I didn't get a bonus when I re-upped. I have to deploy to get a camaro in the next 2 years.

Originally Posted by WillMill

Apologize for more thread jacking, but I do agree the Navy should get higher bonuses than us AF since they do deploy a lot more, I know my father was gone about 3/4 of the year every time he went out, which was almost every year for the past few. And even though I'm in the AF I don't get to enjoy all the luxuries you ATC guys do....My job can only take me three places, and unfortunately they are both Army posts or the beautiful beachless sands of the desert. Our linguist bonus does cap out around 60k, but from my experience so far, its definitely not worth it (wish I picked a different AFSC now), even though that is potentially two decently equipped Camaros. Back to the main topic though, hopefully I will be able to put down at least 3-4k as soon as my Jeep is paid off and a little while after the new kid arrives. I'm sure I can squeeze two car seats in the back somehow. Or just let my wife follow me in the Jeep with the kids...

I agree that the ones on the boats deserve a bigger bonus, but people like me that re-upped a year ago in a AFSC that is needed by the AF just about every base didn't receive a bonus, and deployments vary depending on base but at pope I've been stationed here for 2.5 years and I think I've seen this place for 1 year total since I got here. and that one year was me getting spun up on the air frame I'm working. so maybe as a whole for your career field yes you don't deserve 60k bonuses but there are other career fields in the AF that deserve more then nothing.

[blackgloves]

I got a big bonus for my MOS. And everyone thought I was stupid for taking the job. Well they can all kiss my ass and my car when I buy it with the bonus I got.

When I get to Afaganstan in 2010 Ill get yet another one thats Tax free. I cant get there soon enough to re-enlist

[chadrcr]

Originally Posted by 5thGenAnyone?

Thanx chadrcr. I'll definitely consider doing the whole finance thing than. I also will make sure not to skip over ANY fine print in the contract. Do you think i would be able to get the car for much cheaper if i just went in and slapped down full cash payment even though it is a bran new and will be a hot selling car?

A lot of people have believed that cash talks.....with private buyers/sellers it does more good. If you are going thru GM and GMAC it might be better than going thru a local dealer and whichever bank they are selling loans for.....
Others on here may have a different perspective, but I would say get the price as low as you can first... then discuss whether cash, GMAC, or 'their' bank would be the best way. If you can, try the discussion with more than one dealership, before getting too far into the paperwork. Now would be a good time to get to know a few sales(people), do not 'waste' their time (much anyway) try to get in, get the info and get out...
without buying a clunker...

[nUcLeArEnVoY]

By this time next year, I should be in the area of 18-20K to put down. I want to put down as much as possible and keep my payments under $350.00. The car will still be a pretty fresh face by the time I do get 20K, so I might even save for longer to avoid the initial dealer markups.

Overall, I don't want to finance anymore than another 13-15K tops. 10K or under would be even better. I hate the idea of debt, even though loans are an inevitable part of the working man's life anymore. (Lol.)

It all depends on what they price it at.

[eric n]

I will likely be trading a 2005 Mustang GT and another 10K cash.....

[fastball]

I estimate to have at least 20k to put down when the time comes.

My present employer is closing the facility I work at as of next Friday. I've been with the company for 13 years, and including my vacation and other additional sums of money I've earned with the company, I will get a severance lump sum check for about 4 months worth of pay.

Oh, and Monday Aug. 4th I start a new job, with an even better company (hint - it's actually a hospital, in Cleveland, and it's probably the most well known nationally and globaly, in Cleveland hint.... hint.... )