Hahaha, money is so cheap that with good credit it would cost the borrower $35.00 a month in interest over five years for a 21k loan so I don't think interest is that big a deal. It would be almost foolish not to lock into a cheap loan and free up your money for other investments.

A more interesting comparison would be to compare a well depreciated honda civic to a new cooper. What would the cost be and how does that compare to what's important to a person.

 

I have talked my banker into letting me pay interest only on my loan. I figure that I can pitch about $2k to the loan in the first twelve months and then trade for a new '06 without paying a dime.

Living for today can sometimes be wreckless, but life is short. I had a my best friend die a couple of years ago in a motorcycle wreck that proved to me I need to live a little and stop being so conservative.

 

I just refi'ed my MC from the lease I was in to a conventional loan, since I decided I want to drive this car for a very long time...

When the finance company pulled a report on FMV for my car for my area, it was worth $2K MORE than I paid for it... go figure! They were MORE than happy to give me a good rate...

 

Good for you! People become rich by being creative..and being a little lucky too.

 

So our friend Boge hasn't posted in 24 hours...I wonder about his final decision.

 

me me me I want to chime in here!!

My gf decided to her purchase her mini the moment she knew they would be coming out. This was in early early 2002, so she got on the waiting list... her time came around... and they wanted 1k down to hold the spot since the dealership had such a large list.. she too thought about just buying a cheapy car, but with reliability and other things decided not to.

She was 20 years old when she picked up her baby, and started making that hefty 450 dollar payment (she got the aero kit and other goodies).

Just to be clear we are by no means rich people. I mean hell we have lived in an apartment for the last 3 years. But, everytime she drives her mini, all the money issues, family issues, job issues whatever just float away... and it's just her and her car.

Something else to add, she was so engrossed with the Mini and culture that comes with it, that I got sick of the MINI. I hated it couldn't stand to look at one or hear the word Mini. However, when it finally came out, and I drove it home(she couldn't drive stick yet) I was convinced that my gf had made the best decision of her life.

-end of rant

 

Boge:

Ultimately you've got to go with your gut. And the truth is, whatever you decide, it's only a car.

But I hope you'll consider strenghtening that gut before you have to make another big decision.... start taking little chances and work your way up. Teach your gut that most of these things are not life or death decisions. Nothing to lose sleep over.

I hope you'll be in a position to buy a new car comfortably one of these years. Meanwhile, enjoy the car you end up with this time!:smile:

MINIMS

PS I was forced to buy a new car when I totalled my previous car (a 17-year-old was brand new when I bought it...) I took at least 4 weeks, and spent many hours with magazines, on-line sources, etc. before I test-drove a MINI. So I'm not the best at practicing the above . But when my gut said "Yahoo!" after the second MINI test drive, I listened....

 

You're the best judge of your financial situation. No one else can tell you what's best for you. And also remember that in addition to the $400/month you have insurance and gas and maintenance costs. It adds up. But if you're paying $400/month, it sounds like you're being charged fairly high interest rates on your loan.

 

Free maintenance is included for 3 years/36,000 miles whichever comes first.

 

I wonder how much $ he was willing to put down? MINI Financial is competitive when it comes to finance rates.

 

$400 a month doesn't mean high interest rates...it more then likely means a low downpayment..say 20% on a nearly loaded S.

 

You will have to pay insurance on any car. Of course, if you buy an older car then only one way insurance might be needed. But the full coverage requirement for a mini will most likely be offset by higher maintenance costs of an older car.

Given the current rate of depreciation on the Mini I wouldn't even include that as a discussion point.

 

Hmmmm . . . Let's see:

New Mini: style, optimism, confidence, great fun, wine, women & song

Old Civic: a few shekels in the bank and a lifetime of despair

Once you break it down, it isn't such a difficult decision.

Sack up Boge,
Miguel