I got my car (2020 Ford Fusion Hybrid SE) new 3 years ago at $25k for a 6 year loan @ 0% interest for entirety of loan, $350 a month payment. I’m about halfway paid off and have about $12.5k left on it. What should I do? I just get sick of paying $350 a month.

  • @[email protected]
    12•1 year ago

    If it’s always $350 a month, just let the debt ride.

    Over 6 years, $350 in year 1 is worth more than $350 in year 6 thanks to inflation (350$ in 2017 would be able to buy you $435 worth of goods or services today). If you have $12.5k sitting around - Invest that into something stable, collect the interest and just keep paying off the loan slowly because that’s the cheapest way to do it (unless we end up with negative inflation in the next 3 years - which seems unlikely, but who knows??)

    Cars tend to be financial liabilities, depreciation on a new car is just tremendous - next time just get a beater with working AC for as little as possible, do your maintenance and run it into the ground.

    • @[email protected]
      3•1 year ago

      just get a beater with working AC for as little as possible, do your maintenance and run it into the ground.

      Doing this right now, getting/learning manual makes it fun. Plus, at least for me, the used standards come cheaper.