hey guys i need some financial advice.
im currently trying to buy a used sports car and am asking a credit union for a loan of 7k, which covers the dealership cost. but as a car on a loan, i am required to have full coverage. my quote for that was 350 a month, and the 7k loan on a 6 year payment plan was around 100 a month give or take. i can afford it, but by the end of 6 years the total amount that car would have cost me is around 30k with full coverage insurance. is there a way around this or anything?
the reason my ins is so high is because im only 19, been driving for 4 years with a clean record but i dont think that matters
>>17252968
This is coming from a modified car type of guy, but would you be interested in buying something and working on it?
It is a fun hobby and very rewarding.
Just personally never understood buy a car like that just to drive.
Buy the car outright
Get a three year loan and pay $200 a month on the car. Once that's paid off, go to minimum coverage.
Don't buy a sports car. You're 19. Furthermore, don't buy a sports car because you can barely afford it.
To go further into it. How stable is your income? Will you be able to make payments on the car till it's paid off? Is there a chance you could get laid off from your job? Can you afford any unexpected maintenance? You are buying a sports car, so are you a responsible driver, is there a chance you could get a speeding ticket or some other traffic ticket?
I just bought a new Challenger R/T but then again I'm 29 and I put $12,000 down on it. My monthly payment is $386/month for 72 months but I pay $586/month. I'll cut off about half the interest and cut it down to about 40 months instead of 72. This is how you buy a car.
>>17252993
I don't know why I said 72 months, I meant 60 months.
>>17252993
Bad idea to buy a new car especially at 19
>>17252976
This. Shitboxes are the shit. I got two miatas for under a grand each and they're fun as shit to drive. With your 7 grand budget you could get a decent car off craigslist for cheap and spend the rest on mods. Check the sticky on /o/. 350z's are great cars btw fun but if you're on a budget go for something else.
>>17253010
>>17252968
Also buying used from a stealership is shit unless you know someone that works there
>>17252980
This is the only good advice in this thread. The only way you would get out of full coverage insurance is if you somehow put up some other major collateral in case the car was wrecked that the bank could take from you. Even then, it would be a struggle.
Did no one ever teach you that just because you can afford the monthly payment, doesn't necessarily mean you can afford it? You need to look at the bigger picture. The only way I would consider even slightly agreeing with you buying a $7,000 car is if you can buy it outright, and even then, I would want to know if upkeep, repairs, and insurance would still make it worth it. If you can't save up to buy something, then you shouldn't necessarily be able to "afford" it. If it makes you feel better, I passed up a nice used car when I was 19. It sucked, but I'm really, really fucking glad I did. Also if you have to stretch a tiny loan of $7,000 out over 60 months, then you're fucking stupid. That's ridiculous.
>>17253082
>>17253082
This!
Your insurance is high because you're young and because this is a "sports car". Simply put, you can't afford this and you'll screw yourself if you buy this financed for 60 months.
If you absolutely need a car, for work or whatever, buy the cheapest thing you can get outright, or with minimal financing.
Basic personal economics: there's good debt (like student loans or mortgage) and there's bad debt (like for a car, which will eventually be dust).
Borrow no more than absolutely necessary if you're buying a depreciating asset.
>>17253370
I already have a car, i just wanted a faster one.
>>17252976
I have a 98 gti i dont really know any mods or customization to it and havent looked much into it but i did fix it from when i bought it because it wasnt running properly
>>17252993
My pay is 15 an hour as a technician at a dealership so maintence on thw 350 would just be in parts and not labor, thatd be pretty cheap.
>>17253010
Yeah decided to go for something else until i turn 21 so my insurance wont be stupid high.
>>17252968
There is no way around it. As long as you owe the bank for your loan you will be forced to have full coverage. It's not so bad, you get over it after a while. You'll prob spend about $175ish a month which still isn't shit, in the next two years hopefully you make more money so the payment won't be any issue.
Also, what a bad choice in a car. Lol, a Z.
>>17253967
>I already have a car, i just wanted a faster one.
Why?
>>17252993
The only "right" way to buy a car or anything for that matter is cold hard cash. The only acceptable time to use a loan is to make more money from it, not use it so you can spend more money. Use your thirst as inspiration to find ways of making more
>>17253974
The faster the car the funner it is to drive
If you go into debt for a car, you're an idiot.
I've been driving my same 1990 Chevy S10 for the past 5 years, I didn't pay more than a grand on it, and it's had about as much service in those 5 years as maybe two of your monthly payments and that includes oil changes.
It drives on the highway, has air conditioning, the stereo works, and everything operates exactly how it should. You're trying to go in debt for several years for the same thing.
>>17253967
98 gti is perfect sleeper status.
Does it have a turbo? if not put one on. You could probably do it for under 7,000 if you know what to look for.
If it does slap a bigger turbo on there.
>>17254976
Yeah, but are you breaking necks?
>>17252968
if you want a modified car dont buy a 350 zed. its like asking a fat kid to win the school marathon. it aint gonna happen. you have to spend a small fortune (or engine swap) to make it perform like a "sports" car.
this may sound like a meme but the best car is actually a miata/mx-5 if you want a sports car. their only down fall is they are vastly underpowered
Don't be a moron and buy something you do not necessarily need. Find an affordable vehicle that helps you get paid.
Your figures are not expecting accidents that you may not cause yourself or damage that could just happen to your vehicle.
I had a tree fall on my car and was in a five car pile up on my way to work. Only paid my insurance deductible on the tree incident but my car was totaled after the accident. I was given 11k for the value of my car and figured I might as well start building more credit with a car payment. What I bought was a nearly new 2016 sedan for 18k. Making 65k without my bonuses I should have this paid off occasional toss around within the next two years.
Point I'm making is get yourself something affordable now and when you have the money in the next 5-8 years you can start using a car payment as helpful credit building material.
>>17252968
Why not buy a tank?
>Because they costs millions
You are a consumer right? You have credit cards?
>Buy how I'm going to pay the bank, they will come after me.
Don't be silly, you have a tank Anon.
