Quote:
Originally Posted by tbomachines
I financed a car initially because I was tired of fixing the old benz. The whole "driving an old benz that never breaks down" is unrealistic, I needed something reliable. My 300E has been good but that was tied up with the DMV for some time and still, its 24 years old now so stuff wears out and needs wrenching. If you do not have the time and space to do your own wrenching (like Philly), owning an old Merc is not the best choice. Also owning a turbocharged 300-400hp sports car with a dual clutch trans is fun to say the least!!
key points:
* know your credit
* know your spending limit, both monthly and overall
* if you were to lose your job, in your current situation, how long until you ran out of money? Add in that extra payment?
* Finance as little as you can with the above criteria
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*And contact your insurance agent
with the VIN of the proposed new car for an insurance quote before you buy. Not only do you have to maintain collision insurance on a financed vehicle, but some new vehicles are less insurance friendly than you might think, particularly if you live in a metro area and are under 30.
When I was 29, I had my eye on a late model Ford Mustang 5.0. I had a clean insurance record, but decided to price coverage before I bought the car. My insurance company said that they would cancel my policy if I bought the car, and after shopping around several companies, I found one that would provide me coverage through an assigned risk pool for just 4 times the cost of my then-current premium. No thanks - I bought a Buick Le Sabre instead.