The real reason you're broke


Blacknbengal

Blacknbengal

Well-Known Member
The real reason you're broke

For a huge number of troubled debtors, it all began with a car. Too much car, financed too long, traded too soon.


If you're constantly broke and can't figure out why, the answer may be sitting in your driveway.

Americans are spending more on their vehicles than ever before -- more than $8,000 a year on average -- and it's driving some to the breaking point.

Credit counselor Bill Thompson of Jacksonville, Fla., estimates that one out of every four clients his agency sees has overspent -- sometimes dramatically -- on a car.

"They may be spending 15% to 20% of their (take-home) pay on just the car payment," said Thompson, who supervises credit counseling for the nonprofit Family Foundations, "and that doesn't include insurance, gas, maintenance and all the other costs of owning a vehicle."

Rest of Story
 
I too have been a victim of the auto scam. For years I would buy, trade, and roll my auto payments. You will always be skating uphill doing that.

Very good article..
 

I just paid off a car this past March. Now both are paid off.

That is why dealers want you to get in 5 and 6 year loans so that you will tire of the car before it is paid off and come back to trade and roll into something new.
 
Last year I was sitting around trying to figure out why I had less money in my pocket, even though I was making more. If I could go w/o a car right now I would. With payments, gas, maintenance, and insurance, I would have a nice chunk sitting in my bank account. Seeing that I have to have one, I plan on riding it until all the wheels fall off.
 
We paid off a 2000 Expedition in Feb of 2005.
We will pay off the 2003 Avalanche this December.

Neither will get REPLACED until 2013 (10 years after the purchase of the Avalanche).

Next purchase, I will NOT trade in a vehicle and I'm really considering buying a USED vehicle that can be paid off in 36 months or less.

Since 1992, I've owned
1986 Chrysler Laser
1988 Buick Regal
1992 Honda Prelude
1996 Honda Civic
1996 Lexus GS300
1998 Honda Passport
2000 Ford Expedition
2003 Chevy Avalanche
2005 Jetta

I have probably spent over $200,000 on just car notes the past 15 years. STUPID!!! I KNOW!

It will NEVER happen again.
 
Da_Sperm said:
We paid off a 2000 Expedition in Feb of 2005.
We will pay off the 2003 Avalanche this December.

Neither will get REPLACED until 2013 (10 years after the purchase of the Avalanche).

Next purchase, I will NOT trade in a vehicle and I'm really considering buying a USED vehicle that can be paid off in 36 months or less.

Since 1992, I've owned
1986 Chrysler Laser
1988 Buick Regal
1992 Honda Prelude
1996 Honda Civic
1996 Lexus GS300
1998 Honda Passport
2000 Ford Expedition
2003 Chevy Avalanche
2005 Jetta

I have probably spent over $200,000 on just car notes the past 15 years. STUPID!!! I KNOW!

It will NEVER happen again.
Click to expand...
Why did you feel the need to switch cars so often?? Since 1992, I have owned a 1986 Maxima and the 2 cars we own now ('00 Maxima & a '99 Accord). My wife had a lease before we got married.
 
It's true. I just paid off my 2002 Altima in 4/06. I'm planning on doin what Shamocha is doin....."Drivin it till the wheels just fall off!" I'm tempted ever now and then to run and just get a new cause just because I can....but that's just not smart on my part. So, I'm stickin to the plan.
 
UAPB '97 said:
Why did you feel the need to switch cars so often?? Since 1992, I have owned a 1986 Maxima and the 2 cars we own now ('00 Maxima & a '99 Accord). My wife had a lease before we got married.
Click to expand...

Mainly because I was STUPID.

I drove the 86 Laser till the will feel off.
I could have driven the Regal longer, but that Red Prelude had my name all on it.
I drove the Prelude until I was married and had twins. I couldn't fit the twins, wife, and 5 year old girl in the Prelude. So I bought the Honda Passport and traded the Prelude.
That left me driving the BATCH 1996 Honda Civic and the wife in the Passport. I simply couldn't take riding in a Green 2DR Civic anymore, so I traded it for the 1996 Lexus.
My wife got on my nerves about the 2 year old boy kicking the back of the drivers seat in the Passport, so I traded it and got the 2000 Expedition.
After a while the Avalanche started calling me, so I traded the Lexus.
My wife wrecked the Expedition and vowed not to ever get in it again, so I bought her the Jetta and got the Expedition fixed.

Now, I drive the Expedition M-F and the Avalanche on the weekends.
The wife drives the Jetta daily, she will get another car in 2015 and I'll get one in 2013.

One car every 10 years from now one.
 
Da_Sperm said:
Mainly because I was STUPID.

I drove the 86 Laser till the will feel off.
I could have driven the Regal longer, but that Red Prelude had my name all on it.
I drove the Prelude until I was married and had twins. I couldn't fit the twins, wife, and 5 year old girl in the Prelude. So I bought the Honda Passport and traded the Prelude.
That left me driving the BATCH 1996 Honda Civic and the wife in the Passport. I simply couldn't take riding in a Green 2DR Civic anymore, so I traded it for the 1996 Lexus.
My wife got on my nerves about the 2 year old boy kicking the back of the drivers seat in the Passport, so I traded it and got the 2000 Expedition.
After a while the Avalanche started calling me, so I traded the Lexus.
My wife wrecked the Expedition and vowed not to ever get in it again, so I bought her the Jetta and got the Expedition fixed.

Now, I drive the Expedition M-F and the Avalanche on the weekends.
The wife drives the Jetta daily, she will get another car in 2015 and I'll get one in 2013.

One car every 10 years from now one.
Click to expand...
I see... I am glad our circumstances haven't changed so much where we NEED a different car. I have gotten married and had 2 kids since purchasing the '99 Accord (paid the dealer cash but mom loaned me half and I paid her back in 2 years). Only purchased the '00 Maxima because my wife had a lease run out on her Mazda Protoge. I want to get her somethin' new (and keep the 2 older cars for myself).
 
My current car is paid off, but I've been eyeballing the new Mercedes C-Class.

To be honest, I just want one. It would be a signal to me psychologically that I'm wealthy enough to afford one. I would see it as a reward for working hard and being discipline with my money.

But, my issue is that I travel so much, that my car is at the airport parking lot 4 days out of the week.

If I could find another asset to pay the note on it I would. I haven't figured out how to pay cash for it, since I have other priorities.

But, if I didn't have car envy, I wouldn't buy another new car.
 
My company actually requires that your car is no more than 4 years old if you work for them (new home sales). Don't agree but I want to work there so I'm complying. I normally do 3yr leases anyways.

ThrowForSix, go on and get that new C-Class Benz if you want it. Test drive lexus too.
 
*sigh*...

I love a new vehicle, so I will probably never be car-note free. LOL I used to change cars every 2-3 years when I was single, but since I've been married, that has slowed down a bit. We have a 2004 Tahoe and a 2004 Galant, but I'm already eyeing sumthin' else...:xeye:
 

I test drove a Tahoe and a Denali...its been calling my name for a while. I did not even try to buy it. I will sitt in this Honda for a while. I do not want another note.

People are broke simply because they spend more than they make sometimes....
 
Dang and here I thought it was due to the fact that I purchase all this stuff from NFL Shop.

What was I thinking.

I must have been out of my mind for buying my car and keep it well after the fact of paying it out. I must be nuts to keep the thing until I put 250K miles on the Explorer.
 
You must log in or register to reply here.
Back
Top