Financed or paid up front?
#101
Grand HDF Member
Honey, can I spend 198 dollars? X 36 was easier for me than Honey, can I spend 7500? The math was less painful than the word NO
#102
I always finance 100% if I can because I don't want to tie my money up in what is essentially a toy. I figure if things get really bad, I can discontinue payments and let them repossess my bike. I had to pay 10% down on my X Bones purchased in 2008. It's no longer under water!
I ended up using the rest of the cash I had to make a down payment on my summer home. Not a good investment!
I like both the bike and the home however.
I ended up using the rest of the cash I had to make a down payment on my summer home. Not a good investment!
I like both the bike and the home however.
#105
I have never purchased a new bike or car, always pay cash for used vehicles.
At my age, I'm done with debt. If I can't pay cash, I don't buy it, BUT,
Now, I'm looking at a Triglide, and it's going to be tough to come up with $32K in cash!
So, I might just buy the one new bike in my life, while I can still enjoy it.
I own my house, and have all used vehicles, no other payments, just taxes and ins.
So, maybe for once in my life, I will take a loan for that new triglide, so I can get my hands on it before I get any older, and any more decrepit.
If getting a loan will let me get this bike to enjoy now, then so be it.
It would take some time to save up 32K, and I would probably never get there in time!!
At my age, I'm done with debt. If I can't pay cash, I don't buy it, BUT,
Now, I'm looking at a Triglide, and it's going to be tough to come up with $32K in cash!
So, I might just buy the one new bike in my life, while I can still enjoy it.
I own my house, and have all used vehicles, no other payments, just taxes and ins.
So, maybe for once in my life, I will take a loan for that new triglide, so I can get my hands on it before I get any older, and any more decrepit.
If getting a loan will let me get this bike to enjoy now, then so be it.
It would take some time to save up 32K, and I would probably never get there in time!!
Last edited by Ragtop; 01-06-2012 at 07:24 PM.
#106
Seasoned HDF Member
Buy what you can afford with cash. Do not finance hobbies unless you have no responsibilities other then yourself.
#108
I assume that you know that 401K loans have to be paid in 5 years (?) if not paid it is deemed a distribution which depending on your age can have a 10% penalty. Just a thought from a tax guy.
#110
Stellar HDF Member
I think if someone owes $100,000 on a $250,000 house they have net worth of $150,000.
From Wikipedia,
"In personal finance, net worth (or wealth) refers to an individual's net economic position; similarly, it uses the value of all assets (long term assets) minus the value of all liabilities."
It is not "If you owe more than you can pay off by just stroking out a check at any moment, you have a negative net worth" It is if you owe more than you can liquidate it for you have negative net worth...
Last edited by PFWiz; 01-06-2012 at 07:43 PM.