Car repairs or car payments...

[The Ü™]

If you have been following my ambition to buy a new car and making new excuses not to, you'll put together that I'm torn between the notion of repairing all that goes wrong with my existing car and being in car payment hell for the next five years or so.

I've never financed a car before, and while my credit is decent enough to qualify for a good APR rate, I just have to think to myself, is this going to be a bigger headache than taking it to the shop for even the bigger repairs such as a blown head gasket or even an engine overhaul?

What is your experience? Am I overthinking?

 

[cafe]

I hate debt, so I prefer to fix my vehicles. But I am not really into how my car looks (etc) as long as it gets from point A to point B dependably and with adequate climate control.

 

[Ponyboy]

I haven't been following your ambitions but the last part of the first sentence paints the picture rather well. I don't know what kind of repairs you have had to make so far so I guess I would ask...are repairs constantly being needed or is it just some occasional things? Does your current car drive ok or repeatedly breaking down?
A couple of things to think about:
1. New cars are covered by warranty (I'm going on the assumption that you own your current car outright) which could save a lot of hassle/headache/money although it would be new so not much "should" be needed.
VS.
2. I don't know what its like where you live but where I'm from if you own the car outright than you only are required to have liability insurance but if you owe ANY payments you have to have full coverage. The difference in cost is actually enough to make some repairs rather worthwhile.
Good Luck with whichever you choose!

 

[DiscoBiscuit]

If it was me, I would fix the old car.

You get the experience and knowledge of working on a car, and the satisfaction of driving something YOU are keeping running.

 

[The Ü™]

I haven't been following your ambitions but the last part of the first sentence paints the picture rather well. I don't know what kind of repairs you have had to make so far so I guess I would ask...are repairs constantly being needed or is it just some occasional things? Does your current car drive ok or repeatedly breaking down?
A couple of things to think about:
1. New cars are covered by warranty (I'm going on the assumption that you own your current car outright) which could save a lot of hassle/headache/money although it would be new so not much "should" be needed.
VS.
2. I don't know what its like where you live but where I'm from if you own the car outright than you only are required to have liability insurance but if you owe ANY payments you have to have full coverage. The difference in cost is actually enough to make some repairs rather worthwhile.
Good Luck with whichever you choose!

Yeah, I always forget about the insurance.

Well, my car is heading for 200k miles pretty soon. And in that time, some of the more expensive replacements have been the clutch and steering rack along with the power steering pump. And there's more, but I don't feel like listing all of them.

I seem to average anywhere between $300 to $500 each month in repairs...sometimes a bit more. Though I've charged much of that to credit cards, which i've paid off on time. I wonder if it's possible to put car payments on a credit card as well?

And sometimes I just think about how I could've put that money into a fresh new machine.

That and I just want a new car. Sometimes making car payments sounds like less of a pain in the ass than taking it into the shop.

 

[Ponyboy]

I seem to average anywhere between $300 to $500 each month in repairs...sometimes a bit more.

WTF???? Dude, you are either being seriously ripped off or you definitely need a new car!!

Edit: Of course they'll take payments by credit card. If you give them money in any form they will gladly take it!

 

[cafe]

That does seem like a lot. We put a few (or maybe several, I can't remember) hundred in my 2000 Focus in the spring but it's been fine since then. If it was costing us that much, we'd junk it and buy another used car.

 

[The Ü™]

That does seem like a lot. We put a few (or maybe several, I can't remember) hundred in my 2000 Focus in the spring but it's been fine since then. If it was costing us that much, we'd junk it and buy another used car.

LOL, I have an '02 Focus.

And [MENTION=8697]Ponyboy[/MENTION], I'm not talking about basic maintenance (if I'm not being lazy, I do oil changes myself), it just has a lot of things going wrong with it, although I never was the kind of person to be really by-the-book on proper maintenance.

And I was looking at a '13 Focus or even a Fiesta, since the latter has a lot of cool tech features uncommon for the class.

Also looked at a Chevy Cruze and Chevy Sonic (but only in blue)...and of course, a Dodge Dart, though that's a brand new model and might have more than a few annoying reliability issues.

Hondas and Toyotas are extremely boring to me, and Nissans imported to the US aren't all that impressive either. Though a Mazda3 seems enticing.

Of course, I'd get a higher performance vehicle if the insurance rates weren't so high.

Another problem is dealing with car salesmen. I hear you could knock down the sticker price by a couple grand, but I don't really have experience dealing with them or negotiating with them.

 

[cafe]

LOL, I have an '02 Focus.

I love mine except for it not doing well on icy roads and the really crappy cup holders. But I really don't drive a lot and half the time, I drive the family mini-van.

 

[Lateralus]

Buy a used Honda or Toyota. You say they're boring, but if money is what you really care about, that's something you can overlook.

Don't buy a new car unless you can pay cash. Otherwise you're just giving money away to finance companies each month.

If you're set on buying a new vehicle, demand to pay invoice price (you can find it on the internet). You might even be able to get some of the "holdback" if you know what you're doing. If they refuse, walk away. They'll likely give in on the spot or call you the next day. Also, go in to look on something like a rainy Tuesday, where the salesmen and dealers are more desperate for sales. Don't go on a busy, sunny Saturday.

 

[Magic Poriferan]

Buy a used Honda or Toyota. You say they're boring, but if money is what you really care about, that's something you can overlook.

Don't buy a new car unless you can pay cash. Otherwise you're just giving money away to finance companies each month.

That being said, if you buy the new car in cash it could seriously tip the authorities off to whatever criminal operation you're running.

 

[five sounds]

I have been leasing cars the past few years to get around this. I hated having to worry about unforeseen problems and payments for my used cars. As for buying a new car, I feel like as soon as I get it paid off, it'll be just like those used cars where things start popping up. With a lease, I know my car is new and is less at risk for all those trips to the shop (even if something does go wrong, I can call my dealer, and they would help me out). I have a pretty low monthly payment on the Mazda 3 I drive, and I always know how much and when I'll need to pay it.

 

[Octarine]

Why do you need a car at all?

 

[The Ü™]

Well, the debate is over, as you can plainly tell by my avatar. The reason I didn't lease is because I drive too much each year, and the reason I need a car is because I'm American.

 

[Tiltyred]

What kind of car is that?

 

[five sounds]

Congrats! Looks like a nice ride.

 

[kyuuei]

Having done both -- buying cars outright and financing one.. I definitely have to say: Buy them outright.

There is no guarantee nothing will go wrong with a car you just bought--in fact, a new car requires a bit of maintenance on top of that payment bill. If I were you, I'd save the money for the new car to the side and buy it in cash. They'll typically give you a better rate, and there's no dealing with interest and financing. While financing a car can help a person with bad credit, it does nothing good for someone with good credit standings already, and usually it is a pain.

I had an issue while I was deployed where my bank blocked a payment I made on my car.. and the bank, nor the bank financing my car, bothered to notice and tell me. I ended up getting it fixed, but it took nearly a year and completely destroyed my credit in the process because they kept insisting I did not pay them the final payment, and I kept sending them all the evidence that I had. It turned out to be a payment BEFORE the final one. They just sent me my title and everything anyways. They simply didn't notice that my bank had blocked it for a few days before allowing it to go through, so it said unpaid in their system. And since it was only one month before the last payment, and I paid twice in the last month, the clerks thought I paid it all off.

Oil changes, tire maintenance, and a lot of other things still go into new cars, and while I definitely won't buy a complete clunker of a car anymore in my life, I would definitely consider investing in a transition car that requires a little less maintenance than your current one, and save up your money for a new one. If something goes wrong one month, you aren't out any money--its just savings money. If something goes wrong with a new car, you're out the monthly payments AND whatever you need insurance wise/repair costs. It just isn't as stable.

Of course, spending $500/mth for repairs is definitely calling for a change either way.. I think you could probably owner finance a transitional car for that cost over a few months.

 

[ygolo]

Yeah, I always forget about the insurance.

Well, my car is heading for 200k miles pretty soon. And in that time, some of the more expensive replacements have been the clutch and steering rack along with the power steering pump. And there's more, but I don't feel like listing all of them.

I seem to average anywhere between $300 to $500 each month in repairs...sometimes a bit more. Though I've charged much of that to credit cards, which i've paid off on time. I wonder if it's possible to put car payments on a credit card as well?

And sometimes I just think about how I could've put that money into a fresh new machine.

That and I just want a new car. Sometimes making car payments sounds like less of a pain in the ass than taking it into the shop.

Can you get a payment scheme (+maintenance+insurance) on a newer car that meets your needs that'll cost you less per month than you pay on maintenance (+insurance)? (like others have said, $300 to $500 a month does seem ridiculously expensive) If you can, then money-wise, it seems better to sell, donate, or trade-in the old car and getting a new one.

 

[ygolo]

Well, the debate is over, as you can plainly tell by my avatar. The reason I didn't lease is because I drive too much each year, and the reason I need a car is because I'm American.

Oh. nvmd.

Congratulations on your new car!

 

[The Ü™]

Oh. nvmd.

Congratulations on your new car!

The yellow car in the background was the trade-in.