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Ford should offer 0% Financing for 60 months

Skeletor

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nope, but thinking about finances the old way is. I have a guy I work with that gives me grief about paying for everything with a CC while he uses cash. Not only am I paying ZERO in interest but the CC company has paid me THOUSANDS in the last several years just to use their card. Not only that but there is the positive of not having to handle filthy ass cash that's been under sweaty titties and everywhere else.

Like I said earlier if you can get a good rate then use the banks money and invest your own. It's like the moron that could have gotten an F-150 at 0% but brags about "paying cash". GG genius, you cost yourself money.
Just so I know to...uh.... not go to those places. Where do you get sweaty titty cash..
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BuckyBronco

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You are missing a key piece of this puzzle. Depreciation. Your investment must out pace the depreciation of the financed asset. Take advantage of the cheap loan rates but you must consider the depreciation for the equation to work.
What? No. Your investment just has to outpace the interest rate on the loan.

If you buy the Bronco with cash you have the Bronco and no cash, but also no interest expense. If you buy the Bronco with a loan you have the interest expense, but also the cash that you can invest. If your return on that cash outpaces the interest expense then that is the better option financially.
 

Sj2021wildtrak

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nope, but thinking about finances the old way is. I have a guy I work with that gives me grief about paying for everything with a CC while he uses cash. Not only am I paying ZERO in interest but the CC company has paid me THOUSANDS in the last several years just to use their card. Not only that but there is the positive of not having to handle filthy ass cash that's been under sweaty titties and everywhere else.

Like I said earlier if you can get a good rate then use the banks money and invest your own. It's like the moron that could have gotten an F-150 at 0% but brags about "paying cash". GG genius, you cost yourself money.
Borrowing money against a depreciating asset is not good financial advice sorry.
 

MJJ

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nope, but thinking about finances the old way is. I have a guy I work with that gives me grief about paying for everything with a CC while he uses cash. Not only am I paying ZERO in interest but the CC company has paid me THOUSANDS in the last several years just to use their card. Not only that but there is the positive of not having to handle filthy ass cash that's been under sweaty titties and everywhere else.

Like I said earlier if you can get a good rate then use the banks money and invest your own. It's like the moron that could have gotten an F-150 at 0% but brags about "paying cash". GG genius, you cost yourself money.
Ford Bronco Ford should offer 0% Financing for 60 months 1622846425347
 

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Sj2021wildtrak

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What? No. Your investment just has to outpace the interest rate on the loan.

If you buy the Bronco with cash you have the Bronco and no cash, but also no interest expense. If you buy the Bronco with a loan you have the interest expense, but also the cash that you can invest. If your return on that cash outpaces the interest expense then that is the better option financially.
But what if I can pay cash and have plenty of cash to continue to invest not to mention the other investments in my portfolio?
 

ColoradoGuy

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I prefer to pay all or most up front on my vehicles. Generally speaking it's bad debt and honestly, I just hate car payments.

However, if I'm able to get a low interest rate like 1.9%,, I'd be all over that. I would just put the money in it's own investment account and pick a diverse portfolio. Chances are the investment gains will outperform the interest I pay by a lot.
 

Sj2021wildtrak

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> What is opportunity cost?
I get that, and you are correct for most but in my case sound business and financial decisions that I made in my 20s "the Boomer way," $63k won't be noticed or missed.

And I just wanna spend my money damn it!
 

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Compta38

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Borrowing money against a depreciating asset is not good financial advice sorry.
at 0-1.9% apr what are you borrowing? Is it smarter to take money you could be investing and instead pay cash for a vehicle? You end up with more money financing the car with the banks money and letting your money earn you more money.
 

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nope, but thinking about finances the old way is. I have a guy I work with that gives me grief about paying for everything with a CC while he uses cash. Not only am I paying ZERO in interest but the CC company has paid me THOUSANDS in the last several years just to use their card. Not only that but there is the positive of not having to handle filthy ass cash that's been under sweaty titties and everywhere else.

Like I said earlier if you can get a good rate then use the banks money and invest your own. It's like the moron that could have gotten an F-150 at 0% but brags about "paying cash". GG genius, you cost yourself money.
I have over 200K flyer miles and a free flight voucher from Chase that i got for just paying all my bills on there. I got $800 from Discover for paying for my wedding that i used to buy a brand new tube amp and I got $350 in cash back just a few weeks ago for using a new credit card to pay for my countertops.

Guess how much interest I paid? 0 dollars. Not taking advantage of CC’s responsibly is idiotic.
 
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Sj2021wildtrak

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at 0-1.9% apr what are you borrowing? Is it smarter to take money you could be investing and instead pay cash for a vehicle? You end up with more money financing the car with the banks money and letting your money earn you more money.
First off you are talking about a very small percentage of people that actually have and are willing to risk that much money. Most will finance and if they have the equivalent in value In cash it will likely stay in a bank account and not invested. Second doesn't matter what you say financing at 2% on a depreciating asset is the opposite of wealth generation. And third if one can pay 50k+ cash they probably have plenty of money and appreciating assets, if not they are just stupid.
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