Car Buying Question!?

Serious Answers only!

What%26#039;s better pay a car CASH or FINANCE?

say the car is 15,000 (its no bmw), u are 21 years old, u still live with ur parents, u have no girlfriend, no bills, pay little amount of rent, etc. and u dont care about moving out or buying a house .

and u have 16,000 saved up.

Or buy a cheap old car u dont really like but ur parents say to buy because having a new car can make people be jealous at u and scratch ur car and etc. ( u know haters)

and having a old car u can get liability and pay less than u would full coverage.

what would u do?

oh and u already have some credit with clothes store.

Car Buying Question!?

LOL. lots of questions. let%26#039;s see...

cash or finance.

cash is easier and less complicated to negotiate when buying from a dealer or private party. however, if you buy the car from a dealer, many times you may be able to negotiate a cheaper up front selling price if you finance the car through one of the finance companies that the dealer does business with. this might allow you to get a cheaper deal up front and then just pay off the loan when you get your first bill in the mail. the best of both worlds.

some things to be aware of: some banks (depending on state law) include a prepayment penalty if you pay the loan off early. make sure you ask about any possible costs you%26#039;d incur in paying the loan off early. if the cost of the prepayment penalty (if there is one) is less than the extra discount you%26#039;re given in financing the car then you still come out better financing the car then if you paid cash.

even if you don%26#039;t have any bills right now and are not interested in moving out or anything at the moment very soon you will be. when the time comes, you%26#039;ll need credit. why not establish it now when you have cash in the bank to pay the payments? you can even take a loan out for less than the full price of the car using some of the money you have as down payment. you can pay the loan off in a year instead of waiting for the full loan term. you%26#039;ll establish some auto credit and start yourself on the way to being able to get some good credit. just be mindful of prepayment penalties (see above).

buying a cheap older car certainly has it%26#039;s merits over something newer. you described some of them. the only issue i see people having in buying an older car is that at some point the money you spend in repairs, the headaches you have in lost time, the down time while your car%26#039;s in the shop, and other things may all add up to the older car being a bad idea verses something a bit newer.

you mention insurance coverage. regarding full coverage or liability only: i don%26#039;t know what state you%26#039;re in, some states have laws that dictate full coverage requirements for cars over a certain value, above a certain model year, and other things like that. if you haven%26#039;t already you need to find out what your state%26#039;s requirements are. finally, with regard to insurance and auto loans, many banks will mandate full coverage with specific dollar levels of coverage and deductibles. this may factor into your overall cost when you consider paying cash or taking a loan out.

above all else, go slow, ask lots of questions, do lots of research.

have fun, good luck, enjoy your new ride.

Car Buying Question!?

if you can afford it buy a new car dude.why buy and old klunker your gonna have to fix up.

if you want to finance it put like 5.000 down and your payment will be like 100 bucks a month

Car Buying Question!?

Buy the cash car with cash. You are already building your credit, so you do not need another payment. If you saved that much at a young age, save all that interest. It would probably be too high for you anyways.

Car Buying Question!?

Get an older car... you can get some decent cars for about 5G... think grand am, you can get a decent mustang for 7, i personally like mazda 3%26#039;s and you can get an 06 for about 8G.

You shouldn%26#039;t be spending 15G on a car at 21 unless you have a full time job that pays really well.

Your car will depreciate a huge amount over the next few years you drive it, and since your career will probably kick off in about 4 years if you want to upgrade at that point your car is likely to be worth 5G.

Thats 10G down the toilet.

Buy a decent common car, (spend 5G-8G on it) take that 10G, match it with another 15G / 20G in a few years since a full time career style job will pay a lot more and roll around in a BMW, Mercedes, whatever your taste...that doesn%26#039;t depreciate like its no ones business.

*Do you really want to drop all of your hard earned savings on a car? ... it seems really cool at first but it wears off.

Count in your insurance, gas and unexpected repairs.... and you went from money in the bank to in debt. If you move out you will be living paycheck to paycheck paying for gas insurance rent phone utilities groceries.... having money in the bank is a good thing.

The decision you make now can make or break your finances for a long time.

Car Buying Question!?

get what you want, either way sounds like your in good shape

Car Buying Question!?

personally I would buy cash because overall you are saving money plus it is so much better than having to make constant payments. If you don%26#039;t care about moving out any time soon i would buy the car that is 15,000 cause you don%26#039;t want something that will be giving you any problems. Honestly I really don%26#039;t know any people who are going to scratch someones car just because it is new but if you want to compromise go with a decent car, nothing crappy but nothing brand new either

Car Buying Question!?

Well, we need more info. How long are you going to stay with your parents? How much can you save per week? You will need money to maintain the car no matter what you do so don%26#039;t blow all your cash. You will also need money for going out to dinner, etc.

Buy a NICE used car. You could get a sweet %26#039;03 Audi A4 for that kinda dough. Girls drool over BMW and Audi owners and might help offset the fact that you live with mom and dad.

Car Buying Question!?

Well the logical choice would be buy cheaper and have some money left...but the honest answer is be ballsy and get what you want ..I don%26#039;t care what anybody says...what you drive is who you are to chicks...parents...old people...only difference is the ones who admitt it or not...you only have one life dude...buy what makes you happy and don%26#039;t ever feel sorry for making the choice you wanted instead of being miserable the rest of your life for it...start settling now and it could damage you for life...take charge now and you will probably always be a take chargwe guy for life...a winner...attitude is evrything....

Car Buying Question!?

why not get what YOU want??

you know??

id pay cash right there and drive off in the car i want.

Car Buying Question!?

Im in the same boat with you, and same situation. I would buy something not to expensive but you really have been wanting. Dont buy some old piece of crap that could have been dogged. You live life once. Also have good insurance and let the haters scratch all they want. buy something old and the rest of your money may possibly go into repairing it. Plus if you wanted to get something rad like say a nissan 350z the car is 21,000 where I live, you can pay 16,000 on it, pay the rest off and have an awesome car at 21 you can be proud of.

Car Buying Question!?

play with the garages but go there in old clothes and say i would like to test drive that if they refuse which some do. when you have got a car go back to the garages and give it the big in