Reply to How much are you paying for your car?

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[quote=Anonymous][quote=Anonymous][quote=Anonymous]
The need to sell the car because of the need to sell, not the need for the money. The title without a bank name on it helps with the sales price and speed. Clean title can easily offset 1% interest.
I am giving a reason why would people pay cash instead of 0% loan. It's for simplicity and less obligations. It's the same with how much money people keep in their "emergency fund". Some keep couple of months, some keep couple of years. Whatever makes people sleep better.
I remember getting my first 0% loan. I lasted two months and paid it off. It was bothering me. [/quote]

This is BS. A car without a lien on the title doesn't necessarily sell faster. If you need to sell your car, you can go to any dealer and sell it in 5 min.
You fear of borrowing even at 0% is an indication that you are not an investor. You are a saver. Savers can build a comfortable nest egg but they will not get rich.
The rich get rich by investing and they do it by borrowing other people's money.
[/quote]
You are commingling taking a risk with money and keeping in the bank at 1%. I am not a risk taker and I don't want more complexity for 1% in the bank. Whatever I earn at 1% in a bank I will loose on trade in value plus more. Private party sale value is higher. Yes, I am a saver, I don't care about becoming rich. Having no car payments brings me more pleasure than stock that triple in value. It's called personal preference aka utility function and it does not have to be rational. With your logic, no better car should ever be bought unless you become rich. Stick with the cheapest car you can and invest on margin.[/quote]

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