The Off Topic Topic

[Tamas]

Alright, closer to a Camry then.

There are no Avensis in NA.

I love it but it kind of feels bad to shuffle the family around in a 18 years old vehicle,even though it has been very very reliable

[Grey Fox]

How can you not be bored of it?

Never had a car for more then 8 years.

[Tamas]

How can you not be bored of it?

Never had a car for more then 8 years.

I have had it for 8, actually. It's big it's reliable and its 2 litre originally 146 horse power petrol engine can be still quite fun.

With current used car prices and our savings decimated by house purchase closely followed by the birth of my heir, I could only make a substantial jump in quality if I bought a car on loan or lease. And with used cars I am not to keen to gamble on that.

But also this car is one serious issue away from being replaced because also I am not going to spend any serious money on it anymore.

[Grey Fox]

You mean, you would pay cash for a car?

[Josquius]

You mean, you would pay cash for a car?

Why wouldn't you?

[Tamas]

You mean, you would pay cash for a car?

Why not? Loans have interest ergo you are losing money compared to paying cash. Now, if the Avensis dies all of a sudden  tomorrow, we'll likely buy a decent 4-6 years old car on loan rather than a semi-decent 10 years old for cash.

But getting saddled with car finance is lame.

[Grey Fox]

Brits lies when they say they are poor.

[Tamas]

Brits lies when they say they are poor.

I can afford lower middle class amenities (such as a nursery for the kid while increasing savings) OR a younger than 10 years old car. Not both.

[Sheilbh]

I always thought you got car loans - but that might just be my family

[Grey Fox]

Brits lies when they say they are poor.

I can afford lower middle class amenities (such as a nursery for the kid while increasing savings) OR a younger than 10 years old car. Not both.

So can I, that's why my cars are on loans.

[Josquius]

When I bought my car the salesman was visibly annoyed I was going to just buy the car and had no interest in loans.
It's clear who is winning there.

[Tamas]

When I bought my car the salesman was visibly annoyed I was going to just buy the car and had no interest in loans.
It's clear who is winning there.

Yeah, it's crazy how common it is.

Again, we might end up with one, but buying anything on loan is to be avoided if possible. Why tie down yourself with several years of significant outgoings if you don't have to?

I remember an American Youtube guy who claimed he worked as a car salesmen and he said the real profit for dealerships is in the financing deals, margin on other stuff is minimal.

[grumbler]

Whether to pay cash for a vehicle depends on the other uses for the money.  If you are just taking money out of savings, or from an account that earns less in interest than the loan costs in interest, then pay cash.  Ig you are talking the money out of a 10%-interest-yielding money market account to avoid a 7%-interest load, say, then paying cash is not wise.  Some people might do it just to avoid being in debt, but it isn't wise.

[garbon]

I always thought you got car loans - but that might just be my family

Google suggests around 90% of new car purchases are financed in UK

[Tamas]

Whether to pay cash for a vehicle depends on the other uses for the money.  If you are just taking money out of savings, or from an account that earns less in interest than the loan costs in interest, then pay cash.  Ig you are talking the money out of a 10%-interest-yielding money market account to avoid a 7%-interest load, say, then paying cash is not wise.  Some people might do it just to avoid being in debt, but it isn't wise.

I suspect many people in the UK simply do not have the cash to cash-purchase the car they are driving.