Anyone here not making payments on their new Harley?
#131
12-06-2013, 10:40 PM
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Well, I do hope you get your Sportster to add to your stable. It's a good thing you paying cash for it because 4 bikes financed will be a lot of payments.
#132
12-06-2013, 10:46 PM
First- Why the hell does anyone care how someone here acquired their ride?
Second- I make more money by financing my ride based on the interest I pay. Why would you not use a financial institutions money to get what you want? How do you think people with money keep their money. They don't fork over a load of cash to buy anything. I Put my cash into investments that pays me more than the measly interest rate I pay on my bike. Therefore I am making more money by financing at a low rate.
At a rate of 1.9% on the bike and a return on my cash investments on average of 10-15% I am making 8.1 to 13.1 more points on my money by keeping my cash.
If you want to pay cash, pay cash. For me I will use the banks money and make more on mine. But don't think that because someone finances it means we can't pay cash!
For the record in a previous position managed large yacht dealerships and handled finance for them. You would be surprised at how many financed multi-million dollar yachts that could have paid cash. Why did they finance their toy? They made more money keeping their cash for other investments!
Second- I make more money by financing my ride based on the interest I pay. Why would you not use a financial institutions money to get what you want? How do you think people with money keep their money. They don't fork over a load of cash to buy anything. I Put my cash into investments that pays me more than the measly interest rate I pay on my bike. Therefore I am making more money by financing at a low rate.
At a rate of 1.9% on the bike and a return on my cash investments on average of 10-15% I am making 8.1 to 13.1 more points on my money by keeping my cash.
If you want to pay cash, pay cash. For me I will use the banks money and make more on mine. But don't think that because someone finances it means we can't pay cash!
For the record in a previous position managed large yacht dealerships and handled finance for them. You would be surprised at how many financed multi-million dollar yachts that could have paid cash. Why did they finance their toy? They made more money keeping their cash for other investments!
Please don't tell me that you think borrowing from your 401k to pay for a bike is a good idea either?
I make my living off of my investments and make more than prevailing lending rates. I also don't buy new things regardless of my ability to pay or finance.
Today's economy is in trouble in large part because of debt.
#133
12-06-2013, 10:46 PM
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Second- I make more money by financing my ride based on the interest I pay. Why would you not use a financial institutions money to get what you want? How do you think people with money keep their money. They don't fork over a load of cash to buy anything. I Put my cash into investments that pays me more than the measly interest rate I pay on my bike. Therefore I am making more money by financing at a low rate.
At a rate of 1.9% on the bike and a return on my cash investments on average of 10-15% I am making 8.1 to 13.1 more points on my money by keeping my cash.
If you want to pay cash, pay cash. For me I will use the banks money and make more on mine. But don't think that because someone finances it means we can't pay cash!
Not quite. Your loan is all after tax dollars and your investment is all pretax. And where in the last 3 or 4 years have you got 10 to 15% on your investments no way? If its a hobby and you have cash then pay cash. If you decide to borrow for your bike thats just fine but don't sell yourself the imaginary investment story. When you could make an easy 10 to 15 % on the market loans rates were around 10%. It's all about the spread I guess.
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At a rate of 1.9% on the bike and a return on my cash investments on average of 10-15% I am making 8.1 to 13.1 more points on my money by keeping my cash.
If you want to pay cash, pay cash. For me I will use the banks money and make more on mine. But don't think that because someone finances it means we can't pay cash!
Not quite. Your loan is all after tax dollars and your investment is all pretax. And where in the last 3 or 4 years have you got 10 to 15% on your investments no way? If its a hobby and you have cash then pay cash. If you decide to borrow for your bike thats just fine but don't sell yourself the imaginary investment story. When you could make an easy 10 to 15 % on the market loans rates were around 10%. It's all about the spread I guess.
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#134
12-06-2013, 10:49 PM
I don't have 4 bikes now. I meant this will be my 4th Sporty. I only have the one and will add a 2nd. Sorry for the confusion.
#135
12-06-2013, 10:52 PM
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baka1969This shows people only read what they want to read. I already dealt with this. I said that very few people make more on their investments than what they pay in interest.
Probably true but not everyone that finances are in the same boat.
Please don't tell me that you think borrowing from your 401k to pay for a bike is a good idea either?
Where did you get that from my response?
Today's economy is in trouble in large part because of debt.-
It is also in part trying to recover from what government allowed the banking institution to get away with. Not saying that the people that over extended are any better but the banks as well as the politicians & governments involvement knew exactly what would happen allowing people to borrow 120% of value!
Probably true but not everyone that finances are in the same boat.
Please don't tell me that you think borrowing from your 401k to pay for a bike is a good idea either?
Where did you get that from my response?
Today's economy is in trouble in large part because of debt.-
It is also in part trying to recover from what government allowed the banking institution to get away with. Not saying that the people that over extended are any better but the banks as well as the politicians & governments involvement knew exactly what would happen allowing people to borrow 120% of value!
Last edited by Bagger71; 12-06-2013 at 10:58 PM.
#136
12-06-2013, 10:52 PM
Road Warrior
Hmmm loans are what usually over 5 years not one year. How many investors have been able to match the S&P. Were you saying the same story in 2008 and 2009, no I bet you were not. Borrowing money to buy something that depreciates is never a great idea but many do it to get what they want and I have no problem with that. To say it's a GOOD IDEA to borrow money for an item that depreciates using after tax dollars and explain it off by saying you will earn more over the loan period on the market is more than speculative especially looking at the market over the last decade. Borrow to buy things that increase in value yep that works!
#137
12-06-2013, 10:55 PM
Road Warrior
It is also in part trying to recover from what government allowed the banking institution to get away with. Not saying that the people that over extended are any better but the banks as well as the politicians involved knew exactly what would happen allowing people to borrow 120% of value!
#138
12-06-2013, 10:59 PM
It is also in part trying to recover from what government allowed the banking institution to get away with. Not saying that the people that over extended are any better but the banks as well as the politicians involved knew exactly what would happen allowing people to borrow 120% of value!
Someone in this thread mentioned borrowing from a 401k to pay for a motorcycle.
#139
12-06-2013, 10:59 PM
Road Warrior
I finance ****. If I couldn't afford the payments, I wouldn't have financed the thing in the first place. I make my damned payments and have never defaulted on a God damned thing so screw you to anyone that makes an assumption that all people who finance are doing it for a "free ride" and will just default later.
Why did I finance? Because I can afford the payments like I already said. Sure, I could take that same amount of money and put it aside and just buy a bike cash, but that would take a long damned time and I am not prepared to wait 5+ years until I have enough extra money just laying around to buy my bike outright. If you can do that, good on you, I can't and screw you for judging me about it.
Let's go with some math. $350 put aside per month X 12 months = $4200. A new Street Bob has a sticker of $13,400, give or take, plus tax, tags, title, dealer fees, etc. Let's pretend you're Mr. Awesome and can get them to wave most of that stuff and just say the bike is going to cost you an even $14,000 out the door. That's 3.3 years of putting away $350/mo, every month. Sure, you can get it cheaper if you buy used, but what if you want new?
Wanting new isn't always about "being too good" for a used bike. Sometimes it's nice to be the first person to own something, put all the miles on yourself, not worry about how bad the bike was dogged by the previous owner, etc. I like new, I like being the one to break it in and see it turn over 1,000, 5,000, 10,000, etc.
I dunno, this just seems like another thread full of "high and mighty horse ****". I couldn't care less what you do, but I finance things I want because I do want them now. I could die tomorrow and I'm not going to go out regretting that I missed out on some **** I really wanted because I was waiting 2,3,4,5+ years to get it as I saved money on the side.
I pay over on my payments and I will have it paid off before the loan is actually due. I get no penalties for this at all and it doesn't hurt me in the slightest. I will pay the bike off, its title will be mine, and I have no intention of ever selling it. But at least I get to enjoy it while I'm paying for it instead of lusting over it for the next however the hell many years.
Why did I finance? Because I can afford the payments like I already said. Sure, I could take that same amount of money and put it aside and just buy a bike cash, but that would take a long damned time and I am not prepared to wait 5+ years until I have enough extra money just laying around to buy my bike outright. If you can do that, good on you, I can't and screw you for judging me about it.
Let's go with some math. $350 put aside per month X 12 months = $4200. A new Street Bob has a sticker of $13,400, give or take, plus tax, tags, title, dealer fees, etc. Let's pretend you're Mr. Awesome and can get them to wave most of that stuff and just say the bike is going to cost you an even $14,000 out the door. That's 3.3 years of putting away $350/mo, every month. Sure, you can get it cheaper if you buy used, but what if you want new?
Wanting new isn't always about "being too good" for a used bike. Sometimes it's nice to be the first person to own something, put all the miles on yourself, not worry about how bad the bike was dogged by the previous owner, etc. I like new, I like being the one to break it in and see it turn over 1,000, 5,000, 10,000, etc.
I dunno, this just seems like another thread full of "high and mighty horse ****". I couldn't care less what you do, but I finance things I want because I do want them now. I could die tomorrow and I'm not going to go out regretting that I missed out on some **** I really wanted because I was waiting 2,3,4,5+ years to get it as I saved money on the side.
I pay over on my payments and I will have it paid off before the loan is actually due. I get no penalties for this at all and it doesn't hurt me in the slightest. I will pay the bike off, its title will be mine, and I have no intention of ever selling it. But at least I get to enjoy it while I'm paying for it instead of lusting over it for the next however the hell many years.
#140
12-06-2013, 11:02 PM
Road Warrior
You are joking of course. That strategy has sure put a lot of people broke... I assume you have some market knowledge and are just being funny?
