I’ve had my vw rabbit for a year and am throwing around the idea of getting something new and I just want to put this all out here and see if I am making a mistake.
If I can sell it now, it’s going to cost me ~$2000 to pay off the loan, being conservative with sale price. I am thinking of replacing it with something more fun, used and for about the same amount as the car’s sale price.
I am paying 5.9% on this loan and my hope is that I can get a better rate on something else now that my credit is a lot better. How realistic is this?
And obviously my monthly payments should be less if I get a new 5 year loan.
Not really doing this to save money, I just get bored with cars fast and leasing is out of the question because I drive over 20k/year.
In a nutshell I want to sell my rabbit thats under warranty for something like a used MX-5, RX8, GTO, ect.
Just want to know if this sounds like a dumb decision. Flame away.
How much are your payments now? how much are you going to be financing… if its used… figure 5% is a decent rate for a used car right now… so you wont be saving much there…
also, i bet the rabbit has lower insurance than a 2 seater convertible…
in other words, unless your payments are going down significantly… im betting this move will cost you more
If you can justify the cost for fun factor… go ahead. Butttttt, if youre upside down on your current car, I’d focus on just paying it off and dealing with it… its newish and reliable… when you can afford to upgrade, thennn and only then do it.
Payments are $320/month right now. Though that statement is probably the reality I need to hear. I am probably financially better off just keeping it and waiting to upgrade.
what about car ins, gas, driveability in the winter? im saying the same shit Will has said. just make sure you dont go from being bored with this car to hating your next
Very. I just got a Subaru at 4.9 x 60 months and was offered 3.9 to buy a car with extra $$$ features that I didn’t want. Most people forget that you can negotiate the interest rate when buying a new car.
the logical decision would be to pay off this faster and then you have a winter/daily car, then get something fun for summer that can be a project and won’t matter if it breaks down.
You’ve told people on here to put their money into paying off debt, yet you are upside down on your loan. Now I really don’t care, I say buy something cheap and fun with cash and keep the rabbit, or fuck it, if you make so much money sell the rabbit and buy a GTO, MX5 or RX8. Or buy a e36 M3 or E46 330. I know nice GTO’s can be had for way under 16k, so you could definitely come out with a smaller payment. I just don’t get these threads. You are smart, why do you need other people to tell you what to do.
If you are going to change cars often, doing it with new ones is a great way to lose a lot of money.