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

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.

 

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

 

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, 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.

 

Good for you, GreenMachine.

Covet your neighbor, but in moderation

 

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.

 

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.

 

Hi~ Good 4U!!!! A smart financial decision with your education on this line will leave u stress free for the while needed. I realize I may be in the minority of financial wizardry. But, a long time ago my brother-in-law and sister (self made millionaires), shared that low interest rate school loans or alike CAN or may help u in the long run more than u think. The obvious is a home that can go up in value from the $$ u invested or career that inevitably will guarentee (to a degree) a better financial future. Ofcourse a car, although a necessity for most, can be a comforting tool if u need a stress-free drive to and from work regardless of miles! I, personally, am taking the plunge because I dislike the fuel cost and it's on-going mess with the world. This challenge is my contribution in trying to co-exist with my conscience and the political reality. If there was a hybrid to run on an american raised crop in the next year....I would probably jump on that too!!

All I know is that regret, like resentment, never hurts anyone but the person reflecting. The young woman who is buying my car said OMG! When she saw my 2002 Aztec and it's condition. I'll get $9500 instead of the dealer's $8500, and she saves from the $13,500 the dealer wants for the same car. So, she, myself and Toyota employees remain just a bit happier with the deals exchanged. I have friends who do less, enjoy less, complain more with their older car. I enjoy the new car smell, the warranty/guarentee and above all the technological safety features for 2006!!

HaPpY NeW YeAr to ALL!!!!!!!

Barry

 

maggieddd, I'm glad it works for you; it works for me, too.

But it can be a really bad idea, if you do not have a back up plan, are not extremely disciplined, and in general do not know the pitfalls and have taken the required steps to avoid them.

GreenMachine's credit card debt is a red flag against this idea, because it means he does not have reserves, and is at risk of universal default from 'excessive debt' in the eyes of the lenders. And in all likelihood, entering into a new car obligation would defer for years the chance to pay off the credit card debt at what -- 10 - 15% apr ?

The Prius will only improve; get rid of that credit card debt, greenMachine !

 

Ohh, I didn't realize GreenMachine has credit card debt. In this case I strongly advise against my strategy

 

I second the 'millionaire next door'. It does start repeating itself, but the core ideas are spot on.

I tried for years to get my wife to track her spending. Each month, we would sit down together and go over the credit card. In addition to the items bought that were already forgotten about by the time it came to pay them, there was always a couple hundred dollars that simply went unaccounted for.

Eventually, motivated by a fair bit of annoyance on my part, we have hit on a solution that we are both pretty satisfied with:

1. She has a budget, that I will not add to. If she spends less than the budget, the money is hers to do with as she sees fit, no questions asked.

2. To stay within the budget, she uses a PDA to track her spending. No desktop software worked; the PDA is perfect. Often when she has a couple of minutes on her hands waiting for something, she pulls out the PDA, and enters her receipts. She actually likes knowing exactly where she stands, and it has been months that she has not been exactly spot on. She also likes me not looking over her shoulder anymore. I like it even better.

Every two weeks to correspond with the paycheck, she pays off her credit card, and begins anew. No Cash, No Buy.

 

I commend you for being able to sit back and think this through amid all of the excitement. That's an excellent way to start out the year!

You may already be using Quicken, MS Money, or the like. I've had Quicken for years and use it faithfully. Most of the stores right now will give you Quicken 2006 for free if you purchase any tax software.

Happy New Year!

 

GreenMachine - I hope we will continue to see your posts in this forum and congratulations - it sound like the right decision from here. Stay warm!

 

Bravo! good decision. I will never finance another vehicle as long as I live. Not having car paymennts is a really big plus.