Did you finance or pay cash?

[cclkramer]

Yep I'm with you, wrote a check for 61,466.05 and it felt great, no debt, I own it outright, and all mine. I also have a 2 door wildtrak coming (whenever) and will pay cash for it as well, but do need to sell my 4 door Badlands though, wife said I have to many Broncos as it is , (classic Broncos that is) you dint have to show proof o

Yep I'm with you, wrote a check for 61,466.05 and it felt great, no debt, I own it outright, and all mine. I also have a 2 door wildtrak coming (whenever) and will pay cash for it as well, but do need to sell my 4 door Badlands though, wife said I have to many Broncos as it is , (classic Broncos that is)

No proof of full coverage insurance required to the finance company either! I'm waiting for my 2 door Badlands and will sell my 4 door if I dont die first.

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[cclkramer]

If you want the title in hand, you pay off the loan with the cash you otherwise would have used to buy the car in full. In the meantime you collect interest on your cash. I've sold numerous cars (although pre-covid). I received the titles within 1 week.

You will get a penalty for liquidating the loan . Also pay a finance charge and another charge for this for that whatever else they can scam out of you.

 

[TyGuy40]

I was basically offered free money, so I financed about 60% of it.

 

[Yukon65006]

Was planning on throwing the dealer a bone and letting them finance then do a payoff or refi a few months later. Figured it would have been a good gesture since they are doing a 1k under invoice deal. BUT just learned they are running the $399 VIN etching scam so now deciding between purchase outright or partial finance.

Contrary to what some believe everyones situation is different and there is not a one size fits all finical solution. With going into retirement at 54 in a few months paying or financing makes zero difference in my 40 year projections. Have run multiple number scenarios through FireCalc and Flexible retirement Planner over the past year. Not sure which the wife is more tired of hearing about the Bronco or the retirement projections.

 

[TyGuy40]

I paid cash!!!!! Cold hard green cash!!!! Guess what???? Its my truck!!!! My credit score is top of top tier!! Why would anybody who has plenty of $$$$$$$$$$$ finance a vehicle???? Most so called high yeild savings only pay .50 %. I can sell my truck tomorrow for what ever I want! Why? Because I have the title! No penalties! No worries! No bullshit! I have another Bronco ordered and will pay $$$$$$$ for that too!!

I thought about that but with how free money is today, I can put 60% of the broncos value in investments, And come out ahead. Plus I have no intention of selling. Especially now because I really do love my Bronco. Win/Win

 

[sniffHound]

I will have the cash to pay cash but will try to get a stupid low rate and keep money in bank.

If there are people that paid cash I'm going to question their intelligence level with penfed giving 0.99% APR loans there are literally high yield savings accounts with higher than 0.99% return. Unless you're keeping your DTI low for other reasons, have terrible credit, or enjoy throwing money down the drain it makes zero sense.

Edit: Retirement is the worst excuse one could have for paying cash for the car lol. In retirement, any income no matter how small is even MORE important than those working.

I understand this is a generational thing. Many boomers grew up to 12% mortgages and 15% auto loans, but times have changed. Borrowing money is nearly free these days, and inflation is at record levels. You absolutely should have a significant rainy day fund, but keeping tens of thousands or hundreds of thousands of dollars in cash (instead of safe CD's, high yield savings accounts, or bonds) is the best way to get left behind in 2022.

 

[Bituman]

Evidence we’ve been spoiled with equity returns for the last decade+ haven’t we.

Shocking when talking time value of money and risk doesn’t get a seat at the table. Bear markets 2000-2002 and 2008-2009 May have something to say about that.

Personal finance is personal. Not sure why there’s so much animosity towards each individual’s decision. This isn’t Bronco vs Jeep Relax.

This pretty much sums up my feelings on the subject. 9 pages in and you are the first to mention risk and how we’ve gotten spoiled. Entire investment strategies are based on risk. An investment in a mutual fund sometimes takes longer than a 48 or 60 month car payment to recover even a modest rate of return resulting from a market downturn. I’m a strong believer in equities and the long term strength of the market. But I remember some dips which would have blown the “finance the car and put money in the market” short term strategy. But you are correct, personal finance is highly personal and everyone is different.

 

[AddDemiGod]

Wow, I didn't realize so many were paying off with cash, or even have the capability to pay with cash. I guess me being a millennial, having that much cash sitting around is just a fairytale. But anyways, I'm financing and just happy that I even have the ability to get my new bronco.

 

[Big Diamond]

I don't want a car payment much over $500 so I'll be putting a significant down payment and financing the rest over 60 months.

 

[Hot cheetos]

Financed, but put down a pretty hefty down payment. About half.

This is basically my plan once it gets here

 

[Yukon65006]

Wow, I didn't realize so many were paying off with cash, or even have the capability to pay with cash. I guess me being a millennial, having that much cash sitting around is just a fairytale. But anyways, I'm financing and just happy that I even have the ability to get my new bronco.

What may seem like a fairytale today can become reality in the future. Every forum is weighted to certain generations. It would appear this one is more Gen X and Boomer leaning if I was a gambling man.

 

[AddDemiGod]

What may seem like a fairytale today can become reality in the future. Every forum is weighted to certain generations. It would appear this one is more Gen X and Boomer leaning if I was a gambling man.

Haha yeah, I would say that this forum probably does lean that way. But I'm working hard for that future, I'm just happy that where I am in my life now, that future is within my reach.

 

[TyGuy40]

I don't want a car payment much over $500 so I'll be putting a significant down payment and financing the rest over 60 months.

that is exactly what I did. Plus my loan was basically free. there’s always a risk in the market if you’re going to do investments but ultimately for me I’d rather put that money to work either through real estate, stocks, crypto etc.

 

[BroncoJLandCJ]

Everyone's situation is different.

I've always been a proponent of finance when possible and invest the cash (if you have it) and make more money than you would have had before.

However, if you have, say, $3m in assets, dropping 60k in cash means you are forgoing a very small part of your investment returns, so not having the hassle of payments may be worth it.

 

[bishop0577]

I paid cash. No wife, no kids. Easy to save up the money that way. I did trade in my 2014 F150 STX, and my dealer honored my Xplan.

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