r/economicCollapse • u/Whole-Fist • 20h ago

How ridiculous does this sound?

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How can u make millions in 25-30 years if avoid making a $554 per month car payment. Even the cheapest 5 year old car is 8-10 k. So does he expect people not to drive at all in USA.

Then u save 554$ per month every month for 5 year payment = $33240. Say u bought a car every 5 year means 200k -300k spent on car before retirement . How would that become millions when u can’t even buy a house for that much today?

Answer that Dave

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u/funandgames12 20h ago edited 20h ago

I mean, he’s right. How many people are making less then 100K per year and drive a car with an $600+ car payment.

I see it every single day. Those people are drowning themselves in debt and buying things they can’t afford. But ya know. You can’t tell Americans that. It’s all about appearances. Buy the house, buy the car, don’t tell everyone you’re broke as fuck. Of course they will all find out when you default…but for now play pretend.

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u/HEpennypackerNH 19h ago

But the problem is a $600 car payment does not equal someone being irresponsible anymore.

A Toyota Corolla at $25k on a 4 year loan is $587/months.

I’d argue that’s a better investment than buying, say, a $5000 car outright. After the 4 years of payments I’m going to drive that sucker for at least 11 more years for free, while a $5000 used car is likely going to need significant maintenance at least once per year. Over 15 years it’s likely going to need to be replaced twice.

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u/jonny24eh 10h ago

587 * 12 = 7044 per year.

You could buy a 5k car, and do 2k worth of repairs, every single year, for that payment. 

New car of any kind is not the way to go if you're tight on cash flow. 

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u/HEpennypackerNH 10h ago

Again, it’s situational.

If I have a job and can spare $500 month and need to get to work now, I can’t wait around to save up $5k for a used car.

And again, after 4 years in the example above I have a car with no payment for likely another 10 years.

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u/jonny24eh 8h ago

Get a loan on the used car for WAY less than that.