To keep new or go used.

[John Picard]

Wait a second, why in the hell would you buy a new Honda Accord... without a real job!??! And your fallback plan is now to buy a $14k used car?

The younger ones sometimes do things without thinking it through. I'm a more concerned about how he thought that he would immediately earn $45k per year right out of college, especially in this economy.
Wait'll he gets out on his own paying rent and all the other associated expenses that come with it.

I think a little realism is called for. If you don't make any money, and are in debt... you can't afford a nice car. Sorry. Get a crappy car. Not a $14k Acura. More like... a $5k Toyota.

Good advice, and learn how to turn a wrench too, that'll save repair costs.

Careful, Kirby. You'll be called a know-it-all old fart here for dissing the younger generation

www.daveramsey.com Live below your means.

 

[Scout101]

Could be partially the way you do it, or how yours is an all-or-nothing approach. Not really anything to do with age (other than some trying to call the other group dumb while saying you know better), as I'm 29 and gave him the same advice...

 

[tharpdevenport]

It's not just the gas to & from work, it's also the doubled, if not tripled amount of oil changes you'll need in a year to keep the engine good, and of course emergency repair money like a new tire or two should you blow one. Subtract those costs, and you'd likelt be better off working for $9.00 at a local place.

 

[John Picard]

It's not just the gas to & from work, it's also the doubled, if not tripled amount of oil changes you'll need in a year to keep the engine good, and of course emergency repair money like a new tire or two should you blow one. Subtract those costs, and you'd likelt be better off working for $9.00 at a local place.

Why triple the oil changes? Don't tell me you fall for the 3,000 miles per oil change myth that the auto parts stores keep perpetuating.

 

[tharpdevenport]

One of my good friends is an ex certified GM mechanic -- it's no myth -- he's done more than enough oil changes to know what's good for your vehicle.

 

[John Picard]

One of my good friends is an ex certified GM mechanic -- it's no myth -- he's done more than enough oil changes to know what's good for your vehicle.

Key word : Ex-Certified. And yes, it's a myth, and if you don't believe me, open an owner's manual on most any car built after 2000, where the manufacturers recommend oil changes at 7,500 depending on conditions. There is also no such thing as break-in oil for new engines. Did you know that? I switched to synthetic for my Cavalier and stretched my oil change interval to 6,000 due to living on a dirt road and my 35-mile one-way daily commute. 144K miles and the car ran like a Swiss watch. I can provide a link where a group of college students drove across country and analyzed the oil at regular intervals and only changed the filter and topped the oil off as needed. Their conclusion was that even dino oil could last upward of 20,000 miles with filter changes.

Royal Purple is the oil for Porsche and Corvette, off the line, with a change interval of 15K miles.

I'll say it again -- MYTH.

 

[tharpdevenport]

No, "Retired" 20+ year certified mechanic. I'll take his word, thanks.

 

[Yoda]

Regardless... the costs of driving are more than just gas and the monthly payment. I get reimbursed sometimes for mileage, which ends up being a tax deduction for my employer. And that's like $0.50 a mile. If you use that as a rough estimate of the cost of driving, you're spending $25 day, which takes you over 1/4th of your wages just to get to and from work. That's without taking in taxes and the like... which I suppose end up being fairly light at $12/hr, but still!

And you're planning to get hitched to the girlfriend? I don't know man, many a marriage went down in flames right after takeoff, so to speak, due to finances.

Well, at least you aren't:
[yt]http://www.youtube.com/watch?v=FDVLmRICH2w[/yt]

 

[Scout101]

Random tangent aside, the point tharp was making is true regardless. Double the amount of miles driven, double the oil changes (interval is a dumb strawman to bring into it). Change every 3k, 5k, 7.5k, whatever, if you drive twice as far, you'll have to change twice as often...

 

[nevermore]

Wait a second, why in the hell would you buy a new Honda Accord... without a real job!??! And your fallback plan is now to buy a $14k used car?

I think a little realism is called for. If you don't make any money, and are in debt... you can't afford a nice car. Sorry. Get a crappy car. Not a $14k Acura. More like... a $5k Toyota.

I can't even vote on your two options, your 'situation' has left me so dumbfounded

Agreed. No one who lives at home with mom and dad should be making $400/month car payments. Or even $200/month car payments.

Okay, for one thing, I never said this $14k car was the one I'm going to run out and get tomorrow...it's an idea, nothing more.

It's a terrible idea. You still have your vehicular priorities all out of whack. You could get a brand-spanking-new Yaris or something for less than that 6-year-old luxury car.

For another, the Honda was a replacement for a truck I had purchased when I was making a hell of a lot more money. I stopped making that money when my employer went bankrupt.

And you were also living at home, going to school and working retail. Why would any of those things call for you to drive a new car at all?

Yeah, buying that truck was a shortsighted decision, and I could have replaced it with something used and dirt cheap, but I wanted something reliable.

I've been driving the used 1995 Mazda Protege I bought in 1999 for under $5000 (cash!) since...well...1999. I have not taken care of it, and it has suspension issues (because of the stellar quality of Baltimore's roads), but the engine has never had a single issue, with the exception of a leaky radiator. It currently has 140,000 miles on it. I've spent less than $1000 on repairs over the past 10 years.

On the other hand, my friend bought a 2003 Jetta Diesel brand new and has spent about $6000 on repairs in the 2 years since the warranty expired.

New does not equal reliable.

Also keep in mind that it isn't like keeping my car means I go broke and end up sleeping in the streets. It just makes saving for the future a little more difficult.

No, it just means that at 30 you'll probably still be living with your parents.

Uh...no. You simply cannot get around around here on a bike alone. My job is about 25 miles away, and if I were to get a design job in Oakland or San Francisco...we're talking 45-50 miles. So...just...no.

Why would you not move somewhere closer to places of employment? That should have been your first move upon getting that first high-paying job that allowed you to buy your monster truck, not taking on a car payment.

 

[Guartho]

you can't afford a nice car. Sorry. Get a crappy car. Not a $14k Acura. More like... a $5k Toyota.

Hey Yoda!, my nice car IS a $5k Toyota!

But yes, the point is valid. There are plenty of reliable, efficient cars on the road in the $3-5k range. Sell that Honda now. It's not going to go up in value. If you're upside down, you're upside down. You'll still be better off in a nicely-cheap car making affordable payments for a short time on the car you no longer own.

 

[propita]

How do you congratulate him on being responsible in a thread where he's trying to figure out how to get around an irresponsible decision, and proposing compounding it with another one? Is just WANTING to do better all that counts, not actually making the smart decision at the end?

No, I was congratulating him for at least thinking about all of this. Most people would do what they "want."

Now, yes, he screwed up by getting more car than he actually needed without having income, but at least he's trying to find a way out. That's decent and responsible in this day and age. To many posters here, that would be nothing special--many here do tend to think first before making decisions. But many in the real world don't. And he's young--it's not as typical in his generation (no offense meant), they weren't raised to actually think about consequences staring them in the face but just bitch about the mess they got themselves in. He at least is trying to find a way out--but obviously needs advice. Late, but at least he's asking.

 

[Tiberius Jim]

Uh...no. You simply cannot get around around here on a bike alone. My job is about 25 miles away, and if I were to get a design job in Oakland or San Francisco...we're talking 45-50 miles. So...just...no.

Here's more of the problem, which I missed earlier. Isn't there a FedEx/Kinkos any closer to your house? Driving 25 miles each way, every day, for $12/hour is dumb. Wasting lots of time, gas money, and wear and tear on the car.

Wouldn't life be grand if we could just pick and choose the location of our jobs?

I actually applied at a store closer to home, but they didn't have any spots available, so the store I'm with now took me on. I actually work two days a week at the store about 5 minutes away from me, so that helps a lot with gas and mileage. I still would need a car though to get to my mains tore, job interviews, client meetings, etc.

Wait a second, why in the hell would you buy a new Honda Accord... without a real job!??! And your fallback plan is now to buy a $14k used car?

The younger ones sometimes do things without thinking it through. I'm a more concerned about how he thought that he would immediately earn $45k per year right out of college, especially in this economy.
Wait'll he gets out on his own paying rent and all the other associated expenses that come with it.

Again, I have no *plan* to buy any car of any price...that was just my first find in my search. Read, people. Read.

And to answer the question as to why I expected to be making $45k...is because that's the average starting income for people with my degree, and was what I was told to ask for as salary by every career development adviser in my school.

How do you congratulate him on being responsible in a thread where he's trying to figure out how to get around an irresponsible decision, and proposing compounding it with another one? Is just WANTING to do better all that counts, not actually making the smart decision at the end?

No, I was congratulating him for at least thinking about all of this. Most people would do what they "want."

Now, yes, he screwed up by getting more car than he actually needed without having income, but at least he's trying to find a way out. That's decent and responsible in this day and age. To many posters here, that would be nothing special--many here do tend to think first before making decisions. But many in the real world don't. And he's young--it's not as typical in his generation (no offense meant), they weren't raised to actually think about consequences staring them in the face but just bitch about the mess they got themselves in. He at least is trying to find a way out--but obviously needs advice. Late, but at least he's asking.

I appreciate that, propita. I think its pretty clear here that I know I made some bad decisions in the past, and am simply trying to make the right ones now. At least I've been able to sift out the advice from what is otherwise a thread of unnecessary reminders that I was an idiot.

Here's what I plan to do: Keep my Honda, as it isn't going to get me a cent in trade-in, and they would at best have to absorb some of the cost of it and tack it onto a new car. I have the benefit of it being new, has a warranty and the free stuff I was able to get the dealer to throw in. Its a reliable car, I know what its been through down to every mile. I'm going to ramp up my job search within the field as well as start an aggressive marketing campaign for my freelance services. If I could pull even a couple of clients a month or more my worries would be for naught and I could actually put some of that money away.

My loans do have an option that will lower the payments now but consistently ramp them back up as time goes by...that may be an option I go with. Right now I'll just take the loans coming due as more motivation to get that well paying job in my field because once I have that, I'll be just fine.

 

[Lindley]

I'm a more concerned about how he thought that he would immediately earn $45k per year right out of college, especially in this economy.

Depends what his field is. (What is it, anyway?)

My first job out of college was 66k/year, but that was back in 2006----I know prospects aren't quite as good now.

 

[Tiberius Jim]

I have a BS in Graphic Design.

 

[Yoda]

you can't afford a nice car. Sorry. Get a crappy car. Not a $14k Acura. More like... a $5k Toyota.

Hey Yoda!, my nice car IS a $5k Toyota!

Wait, didn't we both cover the fact that we drive 1998 Rav4s?

Is yours green like mine? I swear, 3/4 older model Ravs I see on the street are green. I guess it is decently nice considering the market value... but it's not exactly pure luxury. *sigh*, California is a land of people who will buy cars that are waaaay out of their price range. You'll see BMWs, Audis, and the like parked in front of ghetto-ass apartments. It's silly.

But come on, Flux is what, 5 years or so younger than me? Amongst 'my generation' I've had plenty of friends act responsibly with money, meanwhile seeing a few do stupid things... In high school they brought in a guy to lecture our senior civics class for an hour about money, borrowing, etc... The main thrust was to convince us to save our money at his bank , but he made reasonable points about being sane with your money, not exhausting your credit just because you can, etc... It all seems like pretty common sense stuff.

 

[Colonel Green]

Is this one of those threads where Flux solicits advice he doesn't actually want or even intend to consider? I love those!

You are poor and underemployed. Be sensible and buy a $3000 beater.

 

[Tiberius Jim]

Is this one of those threads where Flux solicits advice he doesn't actually want or even intend to consider? I love those!

You are poor and underemployed. Be sensible and buy a $3000 beater.

I'm pretty sure I've made it clear that I am considering the advice given here, and that advice seems to be that getting rid of my car for something used now would make much economical sense. Getting something used instead of my truck a few years ago...yeah that would have been a better choice. But I'm where I am now and it seems like the consensus is to make the best of what I have now.

Is that enough considering for you?

 

[Paulcpick]

Get an older truck
I know the fuel milage is rough, but the money you dont have to pay for insurance, and the note too boot overshadow any fuel consumption cost and maintenance repair on one.
if it were me I would go right to an older chevrolet/GMC pickup, if your concerned about Fuel Milage, try to find a 94-98 half ton pickup or Tahoe/Yukon 2 door with a 6.5 Turbo Diesel, they get about 21-24MPG and you can usually find them in good shape with low-moderate milage for $4000-$8000
or a single cab short box or stepside with a 4.3 V6 and a 5 speed, they get about 19 if driven right and Parts for older Chevy pickups are Dirt Cheap.

here is a very good thread from another forum that may help you in your search
http://67-72chevytrucks.com/vboard/showthread.php?t=398529

I understand the fuel milage woes pretty well myself, I have an 88 C3500(1 ton) Dually with a 454CI(7.4L) motor, the truck gets about 7 MPG around town and 10 on the road if I keep it under 65. but when I think about getting something newer, I just go look @ my Odometer and see the 76,700 orig miles the truck currently has and then I realize that my truck still should still have a solid 150K to go before any major work done to it. I put about $200 a month in fuel in it, pay $150 every 6 months for insurance and it costs me about 20-30$ to change the oil/filters on it. if something goes out on it, I can usually repair it myself or someone I know can for cheap.

people tend to get caught up in the "green" thing without realizing that Green and More efficient doesnt really mean "Cost Effective" or "cheap"

 

[Scout101]

Is this one of those threads where Flux solicits advice he doesn't actually want or even intend to consider? I love those!

You are poor and underemployed. Be sensible and buy a $3000 beater.

I'm pretty sure I've made it clear that I am considering the advice given here, and that advice seems to be that getting rid of my car for something used now would make much economical sense. Getting something used instead of my truck a few years ago...yeah that would have been a better choice. But I'm where I am now and it seems like the consensus is to make the best of what I have now.

Is that enough considering for you?

You seem to be hearing what you want to hear, which is the thrust of what the good Colonel said. The advice you're quoting said that getting rid of the car to buy an EXPENSIVE used car would be dumb. Of those two options, keeping the current car is better, most likely. You ignored the part at the end, which has been repeated by several people, that your best option is likely to get rid of the current car and get a CHEAP used car (less than $5k). You'd pay off the current car, very quickly pay this one off, and not owe any payments to anyone. And as you live at home and make little/no money, that's the car you can afford. Not as cool to be seen in, but you've already seen what happens when you make that decision (twice in a row).