|
The Cost of Buying a New Car |
|
|
"Take cars, as another example. Say you put $4,000 down to buy a new car worth $24,000. You finance $20.000. Say you are charged 10 percent interest for 48 months. Your monthly payments are $507.20. You have paid not $20,000, but over $24,000. Plus, you probably have zero in your bank account. So now you have a shiny new car with which to drive yourself to the job you'd like to leave but can't, because you have no money saved. Hmmmm. How about if you reversed this scenario and paid $4,000 for a good used car, then invested that same $500 a month for the same 48 months at the same 10 percent interest, compounding monthly? At the end of 48 months you would have a car plus $29,605.92 sitting in your bank account. Hello? Is anybody listening?" lol
Source: The Simple Living Guide, a book, by Janet Luhrs page 34.
By Carol from Wyoming, PA
|
|
|
|
|
|
|
 |
|
RE: The Cost of Buying a New Car
|
Post By Mary (Guest Post)
(03/31/2008)
|
|
10% interest, you have got to be kidding! Plus, many car offers are 0% now, we have NOT paid more than 5% in the last 15 years!
Report Spam or Abuse
RE: The Cost of Buying a New Car
|
Post By Mary Jane (Guest Post)
(03/22/2008)
|
|
Great idea, but where do you find 10 percent interest compounded monthly these days?? LOL
Report Spam or Abuse
RE: The Cost of Buying a New Car
"A good used car" ---does this really exist?
The older they are, the more expensive the repairs.
Report Spam or Abuse
RE: The Cost of Buying a New Car
That's Exactly what my husband and I are doing!!
Report Spam or Abuse
RE: The Cost of Buying a New Car
I totally agree with you!! JoJo
Report Spam or Abuse
RE: The Cost of Buying a New Car
You have also forgotten to include depreciation once the car is driven of the lot.
Report Spam or Abuse
|
|
|
|
| Login using the form on the top of the page to post feedback if you have registered with ThriftyFun. If you have not yet registered, click here. It's FREE!. If you are not registered you can post feedback as a guest below. Please don't use your email address for your name because spam robots can dredge it from our site. Please do not post your feedback more than ONCE. We need to approve all guest feedback and it may take from minutes to hours for that to happen. |
 |
|
|
|
|
|
|
