APR Rates?

[nitronate33]

^^ These two gentlemen understand money. THAT is the difference. Lead a horse to water....

except that investments are a gamble. your loan rate is guaranteed and you are guaranteed to be in debt on that loan till you pay it off. making enough on an investment to offset the loan is not. the more you add to your debt, the less likely you are to offset that, especially on a huge chunk of change on a house loan where you are paying a ridiculous amount of interest up front. paying down your mortgage quickly is almost guaranteed to pay off better in the end than most "investments" in this economy.

put hey, everyone looks at money differently. the people who tend to be the most successful with it don't spend it on dumb sh** and horrible investments like RAPTORS .

 

[dmercer3]

except that investments are a gamble. your loan rate is guaranteed and you are guaranteed to be in debt on that loan till you pay it off. making enough on an investment to offset the loan is not. the more you add to your debt, the less likely you are to offset that, especially on a huge chunk of change on a house loan where you are paying a ridiculous amount of interest up front. paying down your mortgage quickly is almost guaranteed to pay off better in the end than most "investments" in this economy.

put hey, everyone looks at money differently. the people who tend to be the most successful with it don't spend it on dumb sh** and horrible investments like RAPTORS .

or they reward themselves with dumb sh** that makes them happy... like raptors.

 

[The Macf]

Or a hellcat.

 

[Mr Roarke]

Im successful and i'm buying a raptor. Of course i'm paying cash too.

 

[dmercer3]

Im successful and i'm buying a raptor. Of course i'm paying cash too.

define successful... I make more than I deserve for the work I am asked to do, poor by by wallstreet standards, and probably considered super batsh!t crazy rich by bernie sanders standards...

but im buying a raptor so nany nany boo boo...

and i could pay cash but id rather leave that 70k in my mutual fund thats averaged 9.5% growth over the last decade.

 

[Mr Roarke]

define successful... I make more than I deserve for the work I am asked to do, poor by by wallstreet standards, and probably considered super batsh!t crazy rich by bernie sanders standards...

but im buying a raptor so nany nany boo boo...

and i could pay cash but id rather leave that 70k in my mutual fund thats averaged 9.5% growth over the last decade.

Meaning, i didn't go to college, started my own business 16 years ago, worked my ass off day after day and started making great money after 6 years of scraping. Now a millionaire and have no bills at all. Credit score needs improving, its only high 70's because i payed everything off early. I may get a 25k loan just to improve the credit a little.

I certainly understand wanting to keep your money in a mutual fund though.

 

[RaptorBlueScrew]

Meaning, i didn't go to college, started my own business 16 years ago, worked my ass off day after day and started making great money after 6 years of scraping. Now a millionaire and have no bills at all. Credit score needs improving, its only high 70's because i payed everything off early. I may get a 25k loan just to improve the credit a little.

I certainly understand wanting to keep your money in a mutual fund though.

One of the main reasons I am taking a longer loan. Even though i expect to pay it off sooner then the 72 months, I need the credit score boost. Mine has been flat lined around 735 for over a year now.

 

[gravedgr]

Lets just take it even further. If the vehicle isnt a necessity and is solely used for pleasure and youre financing it you cant afford it; 100% cash or youre making a financial mistake.

This is wrong on so many levels. Good financial decisions include smart uses of debt and debt products. Cash only lifestyles are the epitomy of poor financial decision making.

---------- Post added at 08:49 AM ---------- Previous post was at 08:42 AM ----------

Every situation is different. I financed my wife's car for 72 months because the interest rate was the same for 48 or 72. I made payments for 48 and actually paid it off less than 4yrs, so I paid absolutely no different so what's the issue here. Rate was 2.49%

Same thing on my Raptor. I wanted a 48 month loan but a 60 had the same rate. I opted for the 60 but make payments as the 48. With the interest rate at 1.64% it didn't matter and it comes out exactly the same.

On my house, I did go with a 15yr mortgage because there was over a percentage rate change and couldn't pass it up at 2.5%. I still pay extra and it will be paid off in 12 years.

Every situation and circumstances is different.

Actually, it doesn't come out the same. 48 vs. 60 vs. 72 vs. 84 month loans for the same amount of money and at the same rate have differing amounts of interest charged per payment. If you get a a 60 loan and make 48 equal payments, you will have paid more interest than if you'd gotten the 48 loan.

Why? Just because you're making the 48 payment doesn't mean the 48 principal gets taken out. The 60 interest gets taken out first, then your principal, and then the interest amount for the next payment gets recalculated (assuming your loan adjusts monthly - some do not).

Is there a big difference? No. But to say there is no difference is factually inaccurate.

 

[2014RubyRed]

This is wrong on so many levels. Good financial decisions include smart uses of debt and debt products. Cash only lifestyles are the epitomy of poor financial decision making.

Man, there must be a whole bunch of stupid, filthy rich people in this world. I mean how stupid do you have to be to be able to afford to buy whatever you want with cash? SMH We've got friends that are zero debt. But they are pretty dumb folks. Doctors and such. Those fools have no idea I guess. 2 kids going to college - paid. Hmm......

 

[gravedgr]

define successful... I make more than I deserve for the work I am asked to do, poor by by wallstreet standards, and probably considered super batsh!t crazy rich by bernie sanders standards...

but im buying a raptor so nany nany boo boo...

and i could pay cash but id rather leave that 70k in my mutual fund thats averaged 9.5% growth over the last decade.

Share a link?

---------- Post added at 09:00 AM ---------- Previous post was at 08:53 AM ----------

Man, there must be a whole bunch of stupid, filthy rich people in this world. I mean how stupid do you have to be to be able to afford to buy whatever you want with cash? SMH We've got friends that are zero debt. But they are pretty dumb folks. Doctors and such. Those fools have no idea I guess. 2 kids going to college - paid. Hmm......

Evidently at least one, if reading comprehension is the measuring stick. I said "cash only lifestyle". I didn't say anything about using cash for luxuries or whatever you want. But if you have zero debt and/or do not use debt products, you are not making the most of your money.

That, by definition, is not making the most of your money. You can try to rationalize it all you want or drag whatever SJW labels out you want, but neither change facts.

If you or anyone are risk averse and that drives you to avoid any variation of debt, that's your choice. But don't fool yourself into thinking it is the best use of your money. You are talking feelings, I'm talking math.



BTW, there is not a single filthy rich person in the world who is 100% debt free. There are some moderately wealthy people who are debt free, who could be wealthier through the use of debt.