My fiance's car totally went caput today and is unfixable per the mechanic (or it would have needed a $2300 replacement engine). The car is a 96 toyota tercel and hasn't always been in the best condition. He is in college full time and works a part time job at a theatre for near minimum wage. Should he take out some money ($2000, 3000?) from his extra school loans that he was offered and put it down on a car? Say he was to get a toyota yaris. Since he doesn't make very much money would they still loan that money to him and possibly make about $150 payments each month for 60 months with 5.9%?
Does that sound feasible to anyone. This wouldn't be so bad if his financial situation wasn't in such a bind but if anyone has been through the same situation please give me some ideas as to what you did.
2007-11-12 11:22:53 · 12 answers · asked by Manda 3 in Cars & Transportation ➔ Other - Cars & Transportation
It isn't really possible for him to wait and save up money. Believe it or not we do NOT have public transportation where we live (bummer, I KNOW) and he has no money saved up at all because he's not able to work a whole lot. I guess what I wish he could do is take out a huge school loan even though it's nearing the end of the semester (school loan money he had previously declined at the beginning of the semester) and put a huge down payment on a car like a Yaris OR put a huge down payment on a decent used car (like a $8,000 one). Help from parents is not possible because he comes from a poor background.
2007-11-12 11:45:49 · update #1
You aren't going to be able to buy a yaris for $150 a month with $3000 down. If the car is $13000 + taxes, titling, etc. you should be around $210 per month for 60 mos @ 5.9% (with excellent credit.)
The problem he may run into is that if he doesn't work full time or make enough money to get a loan he will need a cosignor (maybe his mom or dad?)
I think going on craigslist.org and buying a decent cheap car with $2000-3000 cash is his best bet. Just make sure that you have somebody knowledgeable about cars check the one you want to buy out first. Good luck.
PS: Push it, pull it sales are illegal gimmicks. A car dealership can show you that much for a non-running junk car, but they are going to inflate the sale price of whatever you are buying. ;)
2007-11-12 11:33:28 · answer #1 · answered by baddogz28 2 · 0⤊ 0⤋
Taking a loan out for a car when he can barely afford it would be a HUGE mistake. I've been in that situation and have known people in similar situations. Buying a new car or taking out a loan is only a good idea if you KNOW as a FACT that you can keep up with the payments. Otherwise it is disaster. What he ought to do is trade the car in to a junkyard, save up some money, and in the meantime take public transportation or hitch a ride with a friend until he can afford to get another used car, WITH CASH. If he can afford to take some of his school loans to move toward doing this, it would probably be ok, but he has to remember two things: one is that he does have to pay that money back someday, and two is that he has other costs besides transportation. Sit down and do a budget. If the budget shows he can afford to do this, great. If not, then he'd best get on the horn and find out which of his friends can drive him to work. It takes most people YEARS to fix their credit problems when they buy a car they can't afford. I know, because I used to be one of them!
2007-11-12 11:34:10 · answer #2 · answered by Mr. Taco 7 · 0⤊ 0⤋
I wouldn't buy a new car... While in school, money is tight. I would just look for a cheap old beater that will last your fiance till he graduates. Ask your extended family (immediate family, aunts, uncles, cousins, etc.) and friends that you trust if they have any cars in good working condition that they are looking to get rid of. Offer to take it off their hands for a fair price.
Once your fiance finishes school and gets a job, your income should stabilize and you will be able to finance a new car.
2007-11-12 11:43:11 · answer #3 · answered by joeschmoe 7 · 0⤊ 0⤋
lease a Yaris for 3 years and change it to what you really like after school and he does not have to pay back any extra money in school loans
2007-11-12 11:29:52 · answer #4 · answered by matt k 2 · 0⤊ 0⤋
His organisation did no longer do something unlawful, he's only likes the flexibility that he can throw around, i might have called the Breakdown provider out, united kingdom, AA, RAC or whoever i'm insured with, my substantial different ought to come out of artwork, he has an excellent boss yet he does no longer have the skill to restoration the motor vehicle.
2016-10-16 07:27:38 · answer #5 · answered by ? 4 · 0⤊ 0⤋
He should not do anything he can't afford to do. Can parents help? He should buy the most affordale car, but it must truly be affordable. Poor guy. I have 4 kids in college right now and this is my worst nightmare. God bless.
2007-11-12 11:30:01 · answer #6 · answered by coastie mom 3 · 0⤊ 0⤋
Well, he's go to get to school somehow, so my rationale would be to take the extra money from the school loan. Whatever he does, please tell him to make sure to get the oil changed every few thousand miles to protect the engine.
2007-11-12 11:30:22 · answer #7 · answered by Anonymous · 0⤊ 0⤋
Find a car dealer thats haveing a push,pull or drag sale,alot of dealers will give you any where from$1000 to $2500 for your junker,the down side is that you have to buy a new car or one that cost over $5000
2007-11-12 11:30:03 · answer #8 · answered by jasonbatla 4 · 0⤊ 1⤋
150 isnt that big of a payment even on minimum wage I say go for it
2007-11-12 11:26:22 · answer #9 · answered by peacesells21 3 · 0⤊ 0⤋
If he has unclaimed loans for school, yes...Tell him to take them...The tuition amount goes directly to the school, and then he will get whatever is left over...
2007-11-12 11:31:10 · answer #10 · answered by Terry C. 7 · 0⤊ 0⤋