Decided to not buy a Prius right now -- Gulp!

[GreenMachine]

Thanks to those cooler heads who try to advise us not to get into debt with a new Prius, I have decided to take their advice and do just that after waiting since September for a car which is going to be here perhaps next week.

I have never bought a car before without taking out a loan , but this time that is what I intend to do. I think I was somewhat blinded by the Tax Credit and rushed myself into rationalizing that, although I don't really NEED a new car right now, it would be smart to take advantage of the credit. This would be a very good idea if I had enough disposable income to pay cash. It isn't all that smart to finance half the cost of a Package 7 or even 5 in order to get the credit. The amount of interest I would end up paying would be more than the tax credit anyway.

This has been very difficult decision for me. Being on Prius chat, learning a lot about the Prius and getting to know all of you has had the effect of making me feel very comfortable about jumping right into buying a Prius weather I have to borrow or not.

Perhaps I can save fast enough to have the money for a '07, perhaps not. My Subaru Outback has 128,000 miles on it. I am going to detail it, get the little things fixed I have been letting go and drive it carefully with hope that something major doesn't go wrong in the meantime. I will drive my wife's Honda Civic as much as possible to save gas.

Who knows what the next year or two will bring as far as the Prius or other hybrids?

I intend to contiune to participate in here -- it is a lot of fun and extremely educational. You are a great group.

[galaxee]

aww, that's a tough decision. but good for you, looking before you leap. paying cash is probably the best route as far as saving money. wish we could have done that, the financing thing has been a nightmare. while new cars are fun, they're also expensive and sometimes it's easy to get sucked into the 'fun' and regret the 'expensive' later on.

[XLR8]

GreenMachine,

Congrats!

I mean it. What self discipline. It is a tough decision to buy a new vehicle these days. They are way over priced IMHO.

The ONLY reason this is a go for me financially is because my company pays me for driving a "new" car. It covers payment, gas, insurance and then some. I know that I'm very fortunate for that too.

Otherwise, I'm happy driving a vehicle that's paid for....no matter what it looks like

Good luck to you in the future of getting what you want when the timing is right.

Your PC friend,

Aaron

[Jack 06]

I feel for you, as I can imagine how hard it must be---especially at this point---to back away. But you know what's best for you, and we all want that, too.

It's always fun when you're here posting. If I were in your shoes, I wouldn't want to be around much over the next couple of months to hear all the "I've got mine!" squeals. Then again, being able to say to yourself that you've done the right thing, it may not bother you. I personally hope to see you here as much as you might want to be.

And you can still drive the 3,000 miles for ribs and to get out of the cold! That offer stands.

[GreenMachine]

Thanks for the encouragement everyone -- very helpful to my spirits this new years day as I imagine everyone going to pick up their brand new Prii very soon.

Forget the ribs Jack, I might just come out there and ride around and around and around in your Prius with you. :P

I'm trying my best not to covet my neighbor's twenty-first century "ass" this morning.

[TonyPSchaefer]

Originally posted by GreenMachine@Dec 31 2005, 10:33 PM
It isn't all that smart to finance half the cost of a Package 7 or even 5 in order to get the credit.

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My fanancal guy is always warning me to avoid "spending a dollar to save a dime." Congrats on a practical application of straight thinking. There already have been a few people on PC who have had to sell or trade in their Prius due to financial reasons. In the end, it is just a car and there are many more important in life.

[maggieddd]

GreenMachine, I am not sure what your situation is, but if you really want a new car and can afford to pay 500-600 a month, why don't you do what I did. Buy it with a credit card. Get a card with 0%APR for a year and try to pay as much as you can monthly or at least the minumum. That way you will have no finance charges and in case you don't pay it off in a year you can always transfer the balance to another card that offers 0%APR until you pay it off. It would help if you could put some money down up front and you have to make sure you don't miss any payments. Worked like a charm for me.

[EricGo]

Good for you, GreenMachine.

Covet your neighbor, but in moderation

[EricGo]

Originally posted by maggieddd@Jan 1 2006, 10:52 AM
GreenMachine, I am not sure what your situation is, but if you really want a new car and can afford to pay 500-600 a month, why don't you do what I did.  Buy it with a credit card.  Get a card with 0%APR for a year and try to pay as much as you can monthly or at least the minumum.  That way you will have no finance charges and in case you don't pay it off in a year you can always transfer the balance to another card that offers 0%APR until you pay it off.  It would help if you could put some money down up front and you have to make sure you don't miss any payments.  Worked like a charm for me.

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There is no guarantee another 0% apr card will be around one year from now, let alone two, three, and four years down the road. Miss one payment, and it blows up. Miss a payment on another card, and it blows up. Forget to pay a bill completly unrelated to credit cards, and the deal blows up. Incur additional debt, and the deal might blow up. Welcome to the world of 'universal default'. If you do not have the reserves to fall back on, it is a high risk venture, and I would strongly advise against it.

btw, I take 0% apr pretty often, but I *always* have the money to pay back if the need arises. And it has happened.

[maggieddd]

Originally posted by EricGo@Jan 1 2006, 10:11 AM
There is no guarantee another 0% apr card will be around one year from now, let alone two, three, and four years down the road. Miss one payment, and it blows up. Miss a payment on another card, and it blows up. Forget to pay a bill completly unrelated to credit cards, and the deal blows up. Incur additional debt, and the deal might blow up. Welcome to the world of 'universal default'. If you do not have the reserves to fall back on, it is a high risk venture, and I would strongly advise against it.

btw, I take 0% apr pretty often, but I *always* have the money to pay back if the need arises. And it has happened.

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that's why I said that you can't miss a payment. I've never missed nor was late on any of my payments ever in my entire life so I am not concerned. In my case if I am not paid off in 1 year or there is no other card with 0%, the amount to pay off for me will be so minimal that if needed I will be able to borrow it from anyone. Like I said it works for me.