J Lucas

I was taught to have the lease amount of debt associated to your name as possible. Some people were taught and fully practice the opposite. I just get surprised to see people with these high car notes in this economy. But in defense,with all my posting to this topic, it has kept bucks classified at the top of the forum and has way more hits(400) than it would had I not.

Mr. Xristo

ouch!!

Mr. Xristo

I agree somehwhat, depending on what kind of debt you are speaking about.

Credit Card debt is an obvious one.

If I am going to keep the car and not purchase or own another one for many years, then I would pay cash/finance. however, if I planned on dumping it and purchasing/leasing a new one every 3 - 4 years, I would not place any money down on it.

Home loans are the same way. If I purchase a property with the intent of flipping it in a year or two for a profit, I opt for an interest only loan and place as little down as possible.

Paying cash is nice, however using loans to your advantage is also smart.

potatobbq

imo, $25k on a maxima isn't impossible, but at the same time, you'd pretty much have to have bought every possible upgrade there is and custom interior to reach that... either that or pay retail prices for everything (which most people really don't). i easily spent $12k on my rx-7, but past that, i'd be hard pressed to find anything else to spend another $13k w/o pretty much buying nearly every upgrade possible.... not that this has anything to do w/ this thread...

very nice clk, btw...

J Lucas

Maybe if he had the stillen supercharger @ 5grand he could maybe have a shot at saying 15000 but 25,000 in mods on a 97 MAXIMA....COME ON!!! i think he used the same calculator Bush used when calculating the effects of the tax cuts on the budget. AND Just like Bush, tifosiv's credibility is now in jeopardy.

tifosiv122

Really? Your the one that said I shouldn't be here...

Then you said I only spent $2,500...now your saying $10k...
And my credibility is in jeopardy?

I have better things to do with my life then calculate every single mod I put, but I promise you it was right around there.

And even if it was $10k and I made a mistake or overshot {for arguements sake}...I still had over $120k in cars at the same time...

$41,000 SLK - Purchased in '98
$48,000 S-Type - Purchased in '00
$31,000 Coupe - Purchased in '02

All paid in cash...and this still isn't a car I should be looking at?

My credibility? Here's one for you...go back to your financing and come back when you have real money to spend...cash, like the 'grown boys' you talk so much about...your obviously not one of them...

Erik

J Lucas

ok "Big Spender"
Ill go back and you go back to your c230 sports coupe!!
Let me ask you, when you go for a mortgage and the bank asks you why you have no credit history for large purchases what is your explanation going to be Mr Cash? The reason for purchasing things on credit isnt because you have to but because you should to establish you can borrow and pay things back in a timely fashion.

Mr. Xristo

IMHO, despite having the cash, I would still finance and do something (i.e., invenst) with the excess liquidity cash instead of dumping it all on a series of depreciating assets.

All the below loans are 3 year/36 month loans and assume no money down and no trade in.

------------

$41,000 SLK:

$41,000 @ 36 months @ 2.9% = $1,190 / Month
Total interest paid at end of load: $1,858
Started: January 1998

$48,000 S-Type:

$48,000 @ 36 months @ 2.9% = $1,394 / Month
Total interest paid at end of loan: $2,176
Started: January 2000

$31,000 Coupe:

$31,000 @ 36 months @ 2.9% = $900 / Month
Total interest paid at end of loan: $1,405
Started: January 2002


Total cumulative interest paid at the expirations of all three loans is $5,439.

------------

Assuming you had the cash to pay for all of these: $120,000, you would subtract the monthly payment total (the loans would eventually overlap) from the total cash you have left.

This amount would then be invested, etc., etc...

Obviously, if you did not invest and at least make back your interest each month for the payment(s) your cash total would be in the red.

Paying cash sounds nice, but is not good business, especially when you can make money off of it.

Below spreadsheets assume monthly 2% return with dividend paid monthly.

Sample - HTML Format

Sample - Excel Format

Xeon

wow....talk about finance!

respdoc

You two need to and make up and let this guy get back to selling his car..

CarlssonCRS

well i wouldnt mind taking over the lease.... but it is used already so i wouldnt pay 850 a month for it cuz i could get it new for that price. are you willing to offer incentive to take over the lease?

also if someone were to take over the lease. you do know that MBCC will not fully transfer the lease to the other persons name. i tried doing this with my car. your name will still be on the lease.

Buck

No i did not know that. I DO know that getting out from under the lease at this point is probably out of the question, but it never hurts to try.