Originally posted by Odysseus:
The only way you can justify making payments on a car in your situation is if you can get a super low interest rate. This is highly unlikely with a used car. You have to look at how much interest you would be paying when you really don't have to. It is like throwing money out the window if you have enough to pay cash in the first place.
My advice would be to buy the car with cash and make monthly investments of roughly the same amount you would have paid in monthy car payments. This pay yourself philosophy will net you more money in the long run.
Ed
I just want to claify something that you said. You are saying that I should pay for the car straight up with cash from my stocks(the only place where I could get the money) and then start putting money back into the stock month by month? Other than stock money, I wont have any other income besides a part time job during the school year. I will also need to pay for insurance and I dont think that I could handle both of these payments especially as a Design student and only working part time if at all. I will be working two jobs this summer to build up some money.
-If others out there have some more advice, please send it my way.
