Payments or Cash?

[1BADZL1]

x2! yea, no more than is owed on them I think I am going to pay them now.
I have 1200 cash now I was just going to hold on to, but I think since I know what we know now, those are little ones I can fix NOW since I have the cash. I do not own any other credit cards praise GOD and I don't have any other debt. Just those you see! I will NOT apply for anything other than try to get this ZL1 during ordering time, and then NOTHING else after that...LOL...
Yall cross a finger for me!

[truth411]

Originally Posted by NoeJeko

But you have to look at the opportunity cost of that cash. In GoldenBear's example, if you have 2.99% APR on your car loan and you have another investment vehicle that pays 5% APR, it totally makes sense to finance and invest the money in the 5% investment vehicle as you net 2.01% return.

Now, if the vehicle interest rate were 6% and the best investment you can get is 5%, it makes more sense to buy it outright because the cost of debt now exceeds the opportunity cost of your other investments.

tl;dr: may buy, may finance -- depends on what my other investments are doing when GM starts taking orders

Meh.... Cash is still better, seriously if Americans in general actually saved up money for an item and then purchase it, we wouldn't be in such bad shape. It seems like the entire economy is designed on people spending money they don't have, sooner or later its going to blow up in your face. Oops it already did.

[MrDew]

Is there a free way to obtain your credit score? I know of www.annualcreditreport.com but they only give you your report rather than your score...

[mbaird02]

sexual favors LOL

[NoeJeko]

Originally Posted by truth411

Meh.... Cash is still better, seriously if Americans in general actually saved up money for an item and then purchase it, we wouldn't be in such bad shape. It seems like the entire economy is designed on people spending money they don't have, sooner or later its going to blow up in your face. Oops it already did.

Respectfully disagree, but I completely understand your argument and I agree with some of it. The economy did go to hell largely because of speculation and poor risk management (more-so the latter).

The important thing is that one makes sure he or she can afford the car in the first place. From my example, my assumption is that a person could either A) afford the car outright or B) afford the payments. If A and B are true, then paying outright becomes an opportunity cost/future value of money decision. If B not A, then finance. If neither A nor B, save up =] If A not B, may wanna re-balance the checkbook just to be sure....

The single best position to be in is to be able to pay outright, I will completely agree with you on that. If you can afford it; however, I'll argue that actually doing it may not always be the wisest choice. Its highly circumstantial.

Originally Posted by MrDew

Is there a free way to obtain your credit score? I know of www.annualcreditreport.com but they only give you your report rather than your score...

Yes there is. Apply for credit and get rejected =] The lender (at least in Cali) MUST provide you with your credit score and any information used against you on the denial.

A less depressing way... Iono..

[1BADZL1]

Originally Posted by MrDew

Is there a free way to obtain your credit score? I know of www.annualcreditreport.com but they only give you your report rather than your score...

did this one today for free and as you can see I got my score:
http://www.freecreditscore.com/dni/d...598_Creative19

Make sure you cancel within 9 days of enrollment if you want it to be free though!

[1BADZL1]

WTF?????????????????

FICO: "We regret that we cannot provide you with your FICO® score report as your report at Equifax does not meet the minimum scoring criteria. If you were using a credit card, it was not charged."

Gezus....this aint gonna be easy I knew it....
Im not even median at 723....
That means my interest IF I get approved will be high...
freakin grrrrrrrrrrrrrrrrr!

[1BADZL1]

Important: How to improve FICO. I am glad I found this btw...

http://www.myfico.com/CreditEducatio...YourScore.aspx

[1BADZL1]

DTI ratio...
0/26..... hum..... I know its a short time but I better start showing I can repay a loan back a little better...to make things a tad easier...
Question...does a late payment on a utility bill such as a light bill factor in on the FICO, or just actual credit card debt?

[OldJedi]

Originally Posted by Danko

OldJedi needs a shrink! Good news not being sick, but not using his vacation time IS sick!!!

Being a workaholic and in decent health I did not call in sick and only took the required two weeks per year and banked the other 3 weeks per year. Leaving maxed out with 2500 hours of S&V at current rate of pay = Free ZL1 !!! Happy Camper

[whistle pig]

No offence to anyone, but weather you finance or outright buy is a personal descision....I could outright buy but will probably finance for my own reasons. If bad credit or a few intrest points is cause for concern why are you even cosidering this car?

[Modern07]

Anyone wanting to see where there Credit currently rates should register with www.creditkarma.com

It's 100% free and you can get an updated credit score every day!

It's sponsored by TransUnion and I've been using it for a month now and it's fantastic

[1BADZL1]

Just my opinion, but to me I don't think the important thing really here is the car or a car for that matter. Its speculative. I see the important thing here is education, and learning about what all is involved in credit, and making these types of personal decisions whether it is to pay cash, pay half cash/half credit.
If anything that I have learned in these few days since the OP posted, I have learned the important thing is to remember that the thing here is to show or proove to a lender that you have the ability to pay back the loan, or that you can be trusted to do so in a timely manner ie make payments on TIME.
Income in itself prooves nothing. If a bum asks to borrow $25 and shows he can pay it back, and does so it shows he can manage his money. If a millionaire borrows $25 and NEVER pays it back to you, which one or you likely to lend to in the future? The bum of course! Now the millionaire has the ABILITY to pay but does not due to whatever reason, extended out his credit, maxed out all his credit cards ya dda yadda.... so he chooses NOT to pay it back regardless of his net income. id loan to the bum everytime.

[1BADZL1]

Originally Posted by Modern07

Anyone wanting to see where there Credit currently rates should register with www.creditkarma.com

It's 100% free and you can get an updated credit score every day!

It's sponsored by TransUnion and I've been using it for a month now and it's fantastic

Im gonna look into this too.