I am driving an old car...what should I upgrade to?

Seeking Advice Forum
21

jabali said:
@Thomas
You’re right. I think if I walked in with cash, I’d get a good discount.

Not anymore. Dealers make more from financing. You might want to trick them into thinking you’re financing, then pay it off right away.

22

@MAKENA
Just make sure there are no early payoff penalties.

23

jabali said:
@Thomas
You’re right. I think if I walked in with cash, I’d get a good discount.

Cash doesn’t mean much to dealerships anymore. They make extra money through financing, so they might not care if you’re paying cash.

24

jabali said:
@Thomas
You’re right. I think if I walked in with cash, I’d get a good discount.

Some dealers might give you a break, but they actually lose money on cash deals since they make money on financing. They can legally mark up your interest rate by up to 4%.

25

Not saying you shouldn’t buy a new car, but make sure to get an insurance quote first.

26

sorphia said:
Not saying you shouldn’t buy a new car, but make sure to get an insurance quote first.

Yeah, especially at your age, a sporty car will make your insurance skyrocket.

27

sorphia said:
Not saying you shouldn’t buy a new car, but make sure to get an insurance quote first.

Good idea, I’ll do that.

28

Coming from a Prius, almost anything will feel faster and handle better. If you don’t want to spend all your savings and you want something reliable, holds value, and isn’t too crazy on insurance, go for a Honda Civic Si or the new 200hp Civic Hybrid. You can drive it for a couple of years and sell it without losing much value.

29

@Connie
You’re right, and I’ll likely have another $50k saved up after a year, so I’ll have more options.

30

jabali said:
@Connie
You’re right, and I’ll likely have another $50k saved up after a year, so I’ll have more options.

Don’t blow all your savings and go into debt, bro. You’ve got enough to buy a nice, fast car in cash. Check out a used Civic Si or even a 2021 Type R.

31

@emma
Yeah, I’m not going to spend all my savings. I’m thinking after a year, I’ll have about $90k saved, so I’ll still have plenty left after getting a $35k car or so.

32

jabali said:
@emma
Yeah, I’m not going to spend all my savings. I’m thinking after a year, I’ll have about $90k saved, so I’ll still have plenty left after getting a $35k car or so.

You’re living with your parents, right? Why not save up more and get a Lexus RC? It’ll hold its value and could be a classic one day.