The car bobble is going to pop soon
with loans and leases, people are buying cars they cant afford. And with cars being less reliable and more expensive and complex to fix, this is going to do nothing but spell disaster. I know those rappers and youtube """"""celebrities""""" are not buying those Lamborghini's and Ferrari's, just basic maintenance, gas and insurance would make them broke quicker than a Chrysler 200.
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As long they can afford the monthly payments nobody cares.
I think you’ll start to see late model cars getting scrapped way before they are good and dead tho. (i.e the cost of repair outstrips the resale value)
>cars they can't afford
But with a loan, I can afford the car.
What's your point, poorfag?
>duh buh, muh loans r bad
There is nothing more insufferable in this world than some stuck up faggot who thinks he's better than everyone else because he listened to Dave Ramsay or some other hack "financial writer".
Are you saying loans aren’t bad?
Option A.
You buy a 30,000 car outright, and own it in full.
Option B.
You pay 37,000 for a 30,000 car over 4 years.
That doesn’t factor in risk, liquitidy, insurance requirements, etc.
I like many people owe money on a car, but that doesn’t make it good, and it sure doesn’t make you not a “poorfag”.
No one if paying 9 percent interest.
>Oh no a bank made 3,000 off of me over 4 years at 4% interest.
>ill show them ill empty my bank account
Quit pretending that its bad for finacially stable people to take out a car loan.
Plus no one is paying anywhere near 4% on new cars its more like 1-2% which makes you sound even more lime an idiot. Unless youre a scumbag with 0 credit then fuck off and stick to craigist.
Bad as in ruin your life?
Probably not.
Bad as in not ideal?
Yeah.
If you could afford to buy the car in cash you would spend less, have more liquidity to unass if things got rough, carry less risk, reduce insurance burden, have more cash flow, so on and so on.
Getting a loan isn’t the end of the world but I don’t see why you proudly defend being in debt you stupid goy.
Forgot to mention, why are you limiting the discussion to new cars?
That’s a whole different can of worms with depreciation etc but 9% isn’t crazy for a used car with a 700-750 credit score.
>unironically defending going out of your way to be in debt instead of just saving up and buying it wish cash
Even that 3000 dollars is 3000 dollars you could have either spent on other things, or else put into a stable investment to make more money from and retire on.
There's literally no reason aside from instant satisfaction and gratification to be taking out loans on anything other than a house. Debt culture is stupid and nothing more than a waste of money on the part of the consumer, and to act as though it's necessary to live like that is outright idiotic.
Its 3,000 over 5 years..
Im not sure why the debate over who spends money where and on what is anyones concern.
Can we say this to the guy who collects anime pillows
Or the guy who spends his money ondrugs and bar trips
Or to that guy who spends 1000 a month on eating garbage
But harp on the guy who pays 100dollars extra a month over 5 years for a car.
>pay 0-3% interest on car loan
>earn 5-10% on the difference in the market in the same time
car loans >5 years are really bad news, as is rolling previous loan debt into a new loan, though
The difference is that unless they used a credit card for that shit, in which case they're just as bad as Mr Loans over there, they bought it with their own money.
Spending other people's money on shit is dumb and a great way to continue being poor.
>using credit cards means you can't afford things
lol you're delusional
What's it like being 12?
>less reliable
Blatantly false you fucking retard.
You're fucking retarded like holy fuck, how do you even come up with this shit.
>modern cars less reliable
who the fuck started this maymay anyway
maintenance shops who want you to change your oil every 3000 miles despite new cars recommending 10k intervals these days
>and most of Veeky Forums falls for it
Loans let me get shit I want now instead of later. I don't have forever, I want to enjoy the good shit now instead of when I'm 48 and my dick doesn't work without a pill. As long as you're not paying stupidly high interest or loaning a piece of shit that will leave you upside-down then I see no problem with it. Sticking to a 36 or 48 month term and putting down a big payment upfront helps a lot.
>you would spend less if you could buy cars in cash
>what is inflation
>what is the lost earning potential of 0-30k you have to save before blowing it all at once on a car purchase in the future
someone's never taken a banking course
What'll really help bring used prices down is when electric charging stations are more widespread and we see more electric adoption by city dwellers. Suddenly upkeep and running costs of gas cars won't make sense anymore for those who view them as a appliances and even the fancy stuff will drop due to a drop in demand. Look forward to sub-100k post-2010 gas lambos in the next thirty years or so.
All life is not ideal, you just make the best with what you have as long as you have money left over, cover your monthly debts save money, etc, etc, enjoy life buy a car on a loan, a house. If we go by your definition walking and riding the bus is definitely cheaper and better for your wallet no matter how you put it, but you still buy a car don't you?
>Buying new
>Leasing new
ISHYGDDT
>letting someone else fart in your drivers seat thousands of times before you buy it
I bought my 2017 Mustang GT for $37k, with a $12k loan at 1.9% over 4 years. I’m literally paying like $500 over 4 years in interest. That isn’t shit.
Bubbles pop when people default. Almost no one is defaulting on auto loans. Wanna see a bubble that’s gonna pop? Student loans you fucking retard.
fairly doubtful, student loan debt is only forgiven in very rare circumstances. You can declare banktrupcy and get out of your mortgage/car payments (of course you lose those assets at the same time), but you've got your student loan debt for life
>I’m literally paying like $500 over 4 years in interest.
Good goy! Be sure to open the borders for Israel.
I wonder who puts on those banking courses...?
kiked or not, that's how it works in fiat-based economies with banks holding everyone's wealth
Let me teach you a course on how to make me money.....
>not taking the loan and investing to flex your capital
lmao what a pleb
That’s the point. People can’t pay off student loans like they couldn’t mortgages in 2008...
but there is no way to forgive the debt so ~eventually~ it should get paid off
If you're willing to live like an Ethiopian and hate yourself every single day until you can save enough to buy something outright, that's respectable, but that's also time you wont get back. An extra few thousand in interest sucks but the work hours it'll take to make up for it is probably less suffering time than saving for a lump sum.
jesus, america fucking sucks
if this was a problem loan companies would stop giving loans for art degrees
just like they stopped giving subprime loans for housing before anything bad happened, right?
:^)
>not simply replacing the driver's seat with a brand new, fluffy purple/white zebra-striped chair.
>buying cars they cant afford
2017 camry msrp: ~23k
40 hours a week x 12.50/hr = 2k a month x 12 months = 24k a year
Thats almost an entire years pay at 12.50 just for the newest car. Youd
probably need to be making at least 16/hr to afford food and insurance. People are leasing these while making far less than this. Paying a stealership for the right to use a car is stupid, when you could pay less and own it.
>needs a loan for a car and cant afford to buy it outright
>calls others poorfags
>car bubble pops
>love my shitbox too much to replace
Isn't the projection of humanity onto an object a symptom of autism?
they are not repairable or serviceable so have only two states
>100% Woking
>scraped
en.wikipedia.org
apparently people were more autistic in the past
but dialectical materialism has taken over
Right lads looking at a 6k Volvo , never had a financed car before as I have always bought cheap and outright. What method of finance would suit £6k?
Retarded boomers who don't know how to plug a $15 scanner into a port
What retard pays interest that high? I'm paying like $600 for finance a $30k car. $10k down and invested the other $20k
Electric cars make sense in a city if you ignore where people would plug them into charge
Loan sharks at 20%APR
This.
t. Never worked on modern car
American """education"""