Gary96

The only way I was getting my 96 was to finance it. You are right, my 96 needed a few routine mantenance things like tires, a serp belt, etc. I've spent about $2000 cash on these things.

JimiHendrix

If you look around enough, you could probably buy a 96 for 4,000 to 6000 in halfway decent shape. This is the economy to land a great deal on a used vette. I paid 7k for mine and it was in great shape. All I had to do was put tires on it. Of course, I went and put a hot cam, exhaust, 1.6 rockers, and a ton of other goodies. Now I am about to put 4-5k in it on a stroker engine.

lt4obsesses

I financed mine too, like you, I didn't want to wait until I was too old to get in and out of it. But it was the absolute worst financial decision I ever made.

Frizlefrak

Or lose your job despite how safe you thought it was, can't find a new one that pays the same, and are now stuck with a payment you can't afford on an old car you can't unload. Very good advice LT4obsesses, I applaud you.

And, if you were dumb enough to use a HELOC, you could find yourself living in the street, as they foreclose on your house when you can no longer send in the payments on the HELOC and can't unload the old car. We know you don't have any savings or you wouldn't have borrowed a measley $12 grand for an old car. All of which means, you are a complete slave to your job. In fact, you could just think of it as life support. It's demise means yours.

I want all of you who are contemplating borrowing a large amount of money right now to take a good hard look at what happened in 1929....and contrast it with what is happening today. See any similarities? I see the lights burning bright, but is anybody home?

The financial viability of the ENTIRE PLANET rests in the hands of congress approving the bailout of the domestic carmakers. If Ford, GM, and Chrysler fold, the effects will exponentiate throughout the global markets. You think we have problems now?? Take a couple million American jobs out of the equation (carmakers, suppliers, finance, dealerships....not to mention my own livelihood) and see how much money America feels like spending. And how long do Toychota and Hawwnnda stay viable if Joe Sixpack America is no longer buying. Don't kid yourself, they're toast. 'Cause if America Inc. goes belly up, so does the rest of the globe. We drive the global economy.

Guys, I'm an optimist by nature. Really. You wouldn't know it by reading the above, but I am. I am, however, also a realist and a pragmatist, and I don't like what I see right now one bit. I just survived the second round of job cuts at my company...I've been with them 11 years now, and what's happening right now was unthinkable 2 years ago. Laughable even. Nobody is finding any humor in it at the moment. Folks who had decades with the company and were considered untouchable a year ago are gone as of this friday. It was a sobering wake up call.

Look...do what LT4 said and put the money in savings, wait a year, and pay cash. If I'm wrong about what's coming, you can then buy your car for cash and you can all have a good laugh at my expense. Hell, I'll laugh at myself for being so paranoid and we'll all have a good chuckle and I'll eat a platter full of crow. But if I'm right...and I think I am....you not only won't be saddled with payments, but will have some spare cash to tide you over until things shake out. You're welcome.

God help us all in the coming days.

rezenclowd3

I was thinking about financing as well. I'm young @ 25, and the excitement of purchasing MY first car, as well as it being an iconic American sports car was almost too much. My current car may go belly up any day, but the replacement doesn't need to be a 15K sports car. Just something to get be to and from work. 1-2 years of savings and I might have the cash to purchase a C4 or even a C5. 1-2 years of payments is too much financial stress. I've been doing ALOT of thinking since I test drove my dream car only 3 months ago, and buying a car is VERY rarely a wise financial investment. Because of advice like the above, I will be saving to buy a house first, establish my business, THEN buy a nifty sports car.

Someday...someday....I see a '96 LT4 Torche Red Vette in my future. ;-)

Frizlefrak

I wish I'd had your wisdom at your age.

I didn't start buckling down until I was in my early 30's. We were broke when we got married, and I kept us that way for the first few years until I wised up and stopped trying to impress everyone. For the last 20 years, we've lived modestly, saved and invested prudently, and still managed to take vacations, drive an old C4, and have some fun.

On Monday when the boss called me in to break the news of the newest round of layoffs, I was curious of course, but not worried. Either outcome was OK. We have no debt other than the mortgage, and plenty of cash locked away, and my wife's job alone will make the mortgage on our sensible house. We didn't go out and buy a McMansion when it was popular to do so, though we could have. It just didn't seem like the smart thing to do. In retrospect, it was the best decision we've ever made. And if push came to shove, we could cash out a couple of CD's and pay off the house.

I sleep well at night. But when I see people contemplating taking out a big loan on and old car (and considering a HELOC to boot) I just cringe. I don't like what I see coming down the pike. Not one bit.

pologreen1

smart move at least your money is yours now! Funny how somethying they have taught us is usually taboo drawing from 401, actually was a smart move on your part other than the fact that they are not 1 c5 or c6!

grinditout

DEALERS / SALESPEOPLE / SALESMANAGERS.

New car dealers can not make any points or gross on you, so they tell you that.

Finance companies dictate the terms of the spread and what the maximum the dealer can charge you for the car, is.

Something that is older and milley will have terms to slim to gross or get points, so they tell you that if you want it, it has to be a cash deal, but they have a real nice one, that they can get financed for you, If you will take it home right then.

Reasoning that if you can stroke a check, then you will be getting a steal of a deal in your mind, and that they already have it sold, to a wholesaler for about $500 less than they are asking.

And if you bite the hook, they will make at a bare bones deal, $1000 all the way up to $4000, depending on your negotiating skills and what the lenders will let them do to you.

And believe it or not this works 99.9% of the time, just like that.

People at $10K just can't stroke the check, and usually have terrible credit.

That is were it comes from.

Oops, did I let the secret out?



PS: a 4 Bagger for all involved (except you) = a great day

GRNVNM93

I financed part of my cherry LT4 collector edition just 5 months ago. Would have held out for a nice cheap C6 if I'd had known the economy would be tanking. I don't believe in financing much...I had cash but wasn't willing to part with that much at once. We save $2800+ a month, so I felt justified in financing. Now how much longer we'll both be employed is unknown!!

89er

Only a fool would finance a toy in our current environment.

Take the money you would use for payments and payoff your debts or save it for emergency money.

JimiHendrix

Well, I learned the hard way myself. Can't live life to impress others. . . leads to quiet misery.

I can afford to buy a new mercedes, or a McMansion, but I refuse to because I like freedom and lack of stress. I bought a Mercedes truck and was immediately laid off. Payment was 800/month plus 400/month insurance (in NYC at the time). Plus it only drank premium gas and you had to park it in a garage everywhere you went. I washed it constantly. Thsu it was costing me nearly 2k a month all said and done.

I sold that bastard after two years of lean pockets...

THe C4 is the best. . . most stressfree vehicle I've ever had in my life. I can fix anything on it, it doesn't rust, it looks good, it's powerful, its American, and it's a vette, and most of all. . . . no damn payments.

Frizlefrak

Our exact situation. I'd much rather have a large cash buffer in case of bad times. I know people who have very nice stuff....who are up to their eyeballs in debt, and are quite literally two paychecks from living in the street. Slaves to their job and their "possessions". No thanks.


Man, I heard that one loud and clear. It's just so damn sharp, and with minor care, they will run forever. Pop "Axis, Bold as Love" into the CD player and go cruising. Ask the Axis...he knows everything.

pkazsr

Good for you, I waited 6 years to find the Vette I wanted and could pay for in cash. All 3 of my cars I bought with cash and will never consider financing again. By the way this is my 4th Vette and the first 2 were financed. So it took me quite a few years to learn that with the payments I couldn't afford to keep and maintain them.

psychodiagnostik

These cars aren't that expensive, why not just "virtually" finance it, put the virtual payment away for a couple of years and then buy the car with the money. Can't you wait just a couple of years? If not, then I guess the only option is to take out a loan, it just seems that unnecessary debt is generally a bad idea, especially in our current economic climate.

There are LOTS of mid-1990s cars I lust after on ebay and craigslist, but I wouldn't go into debt for a "second" car like this. I might blow a nice bonus on one but I wouldn't go into debt for something like a "fun" car or boat or jet-ski or whatever.

I’m Z one

This man is Spot On with everything he says. The worst is yet to come even if the B3 get the money requested. Hang tight 2009 will be a tough year. Too many unkwowns at this point IMHO...