Comments on: How to Pay Cash for Your Next Car

By: Kalyn Brooke

Kalyn Brooke — Mon, 18 Apr 2016 14:47:35 +0000

In reply to Lindsey. That is awesome, Lindsey! Our car is nearing 80,000 miles and even though we plan on reaching 200,000 miles with it, we have started out plans for saving for it's replacement.

By: Lindsey

Lindsey — Fri, 15 Apr 2016 15:55:41 +0000

My BF and I just bought our first car together in March and we were able to put down almost the entire price of the car down for our downpayment! I think our downpayment was like $11,000. We ended up getting a 2013 civic will really low mileage and only walking away with less than $2,000 owed on a loan! I can’t wait to save up for the next car so we can just buy it outright.

By: Kalyn Brooke

Kalyn Brooke — Mon, 22 Feb 2016 22:29:36 +0000

In reply to Tamara. That's amazing, Tamara! I don't think you could find a car that runs for $2000 in the US... one that runs at least!

By: Tamara

Tamara — Thu, 18 Feb 2016 23:22:24 +0000

In reply to Kalyn Brooke. You can get brand new cars for a lot cheaper in Australia, there's a couple of brands where you can get a small hatchback for under $10000. $48000 would be for a large car from a good brand or a mid size car from a prestige brand. My current car is a 2002 ford falcon (Aussie Mustang) with low mileage. I paid $2000 for it secondhand. It may be old with chipped paint, but the air con works, it's reliable and I own it outright.

By: Kalyn Brooke

Kalyn Brooke — Tue, 11 Nov 2014 16:36:07 +0000

In reply to Cassie. So glad you enjoyed this post, Cassie! It's amazing what you can afford when you save up for it!

By: Cassie

Cassie — Fri, 07 Nov 2014 15:14:43 +0000

Love your post! I was debt free and had to get a car. I ended up getting one that was pretty new with a not so pretty monthly payment. It is now paid off but next time around we will not be getting as new of a car or paying monthly payments!

Setting aside a little money now each month will for sure save a lot of hassle later!

By: mary blackmer walmer

mary blackmer walmer — Fri, 29 Aug 2014 11:42:15 +0000

great post, I am currently working on paying off an expensive car loan early-I am hoping to get 60 months down to 48(or less). I like the idea of setting up an online savings account afterwards.

By: Ej

Ej — Sun, 22 Jun 2014 01:27:24 +0000

Great advice. Keep making the car payment, credit card payment, mortgage whatever after it has been paid off. I first did this 3 new cars, 1 used car and a camper ago. I had been making double payments on a 5 year car loan so we could pay it off early and as we were not struggling to make ends meet it was a no brainer to set that money aside. I really just wanted to save enough to have a really good down payment on a Ford F250 4 wheel drive and still be able to swing buying a camper to go with it. Well we procrastinated a year or so in our Ford shopping, so I was able to save enough to pay cash for the truck! That was such an awesome feeling because it was a lot of $$$. Then we couldn’t find a slide in camper in Louisiana and we didn’t make it out west for 9 months, so I was able to save almost enough to pay cash for the camper. I ended up “borrowing” the balance from our regular savings account. Then I kept making “car payments” to repay the savings account. When that was done we didn’t really have our sights set on wanting something so I just added the “car payment” to the regular savings account deposit for a few years. When it started looking like we were going to need to replace the old little pickup, I just set up a “pickup fund” and made my “car payments” to that. Paid cash for a used truck, and with what was left over I just changed the name to “beach bum bank” and made payments to that until it hit $10,000. It’s our own personal “bank” sitting in our savings account that I can borrow from guilt free for unexpected or just fun stuff. But if I do borrow from it, I have to repay it before going out and buying something that is not a necessity. By this time paying cash for a new car was just a given, so I just kept making the “car payment” to the “new car fund” and paid cash for my car 2 years ago, and will be paying cash for the hubby’s new car this month. And next month, I’ll make the “car payment” to the “??? fund”.

Oh and obviously if you have credit card debit, pay that off first, then for goodness sake, if you can’t pay them off in full each month, you need to get serious and set a credit card limit that you can pay off each month. If it’s $100 or $500 or $1000, whenever you’ve charged as much as you can pay off in a month the card(s) are not used until the balance(s) are zero. If you can’t self monitor the balances, pay them off and stash the ones with the best rates/limits in a safe place out of sight out of mind. If that is more than 4 cards, I would cancel the rest. There are arguments pro and con to that and it’s effects on your FICA score which I am not well versed on. But whatever, if you have no control, get the credit cards out of your wallet and get a prepaid card. When it hits zero you are done for the month. With a good budget it should hit zero within 5 days of the first of the month. Then you only have to “suffer” five days, before you can go get another prepaid card. If you can’t make it all month with one card, divide the dollar amount into 4 cards. i.e. $500 into 4 $125 cards, so you are on a weekly budget of $125. And if you’ve just got to have that Louis Vuitton bag, just stash away one or two of those $125 cards a month and sometime next year you will have your bag free and clear. Let’s face it, if you have to pay credit card interest rates on it you do not need the bag.

As I have never had student loans, I’m not sure what the rates are, but as I prefer the debit free life I would concentrate on paying them off as soon as possible. Maybe do half of the “car payment” towards the student loans if you think you can wait a little longer for a new car.

By: Kalyn Brooke

Kalyn Brooke — Wed, 04 Jun 2014 22:15:38 +0000

In reply to Karen. I loved this story! Thanks so much for sharing how God provided for you. And good for that dealership to honor the other price!

By: Karen

Karen — Wed, 04 Jun 2014 14:07:01 +0000

In reply to Kalyn Brooke. We have not had a car payment in almost two years. Our first vehicle hubby and I bought together was from an auto auction. We paid $1100 for a minivan. It immediately needed a transmission, but that was it.It got us through 5 years! Two years ago, we used our tax return to buy a second vehicle. We new the van was nearing the end and that we would need another vehicle large enough to fit our family. We found one on the back lot of a dealership. They quoted us the wrong price and then honored it. We got a fully loaded limited edition vehicle for thousands less than we should have. If you trust in God, He will lead you to right vehicle.