Why are people willing to pay insane amounts of money to finance a car?

[Slobodan]

Haha thanks. Yeah I am begining to take some interest in Eastern bkock Auto industry.

I am just being trollish with the "Commies will ban Kars" as dig to the extremeurbanists who hate cars. Lol.

There is a good documentary about the Yugoslavian car industry, specifically Zastava which made the Yugo and Stojadin.

 

[Romulas]

I bought my first ever new vehicle around 2 years ago. 10yr/100,000 warranty on it. Sure, I could have saved a few grand on a 3-5 year old used, but then you have any sort of issues and it's insanely expensive now b/c everything is electronic and very complicated. I paid for peace of mind.

Did you get a truck?

 

[Jack Reacheround]

The moment you drive a car it becomes used. Nobody says you need to drive a dirty, poorly maintained eye-stain. Just be smart about it. I'd rather drive a $40k used Mercedes that's a few years old in like new condition, than a $40k new Kia.

How much time are you willing to sink into finding it? Plus the gas and wear put kn your car driving around to different people’s houses to check out their cars. And are you a good enough mechanic to know if you’re being screwed or not? Or do you have to bring someone else to help with that?

Also, think of how many miles people out on a car each year. Let’s say it’s 10,000. So after 3 years, they have already put 30,000 miles on it. That’s almost a third of the engine’s lifespan.

You said it yourself: as soon as you drive a car out of the dealership, it depreciates in value. Did you ever think there may be a reason for that? Now, maybe those things I listed don’t account for 100% of the depreciation, but they do account for much of it.

 

[Brampton_Boy]

People buying cars they can't afford is a huge issue, particularly among younger demographics.

I live in a city with many international students who are living hand to mouth (in some instances, you will have as many as 10 people sharing one living space). Yet, the first thing these kids purchase is a flashy car, often at interests rates approaching 8%.

 

[SirRealKiller]

Personally I have never owned a car that I didn't pay for in full at the time of purchase. Making payments on a car that's losing value every minute is dumb.

I just don't get these people that work an office job and buy an $80k pickup on payments to have as a daily driver and so they can pull their fishing boat for the 5 months of good weather we get here in MN.

 

[UberHere]

Because outside of urban areas cars are necessary. A lot of people who can’t pay full price for a car at time of sale also have bad credit and therefore have no other options but to take shitty deals