1ºWHAT WERE WE DRIVING TWO YEARS AGO—-all these people cars broke down within the past two years. Why not use your 401, regardless of the PENALTY , and pay off all your CREDIT CARDS . How much have you lost on your 401K, and still stand a CHANCE of losing. You do not need to buy CLOTHES at the present time. What you need is FOOD , and a ROOF over your head. Transportation is a must. You need to get to WORK. Your FATHERS drove what they had, and on SATURDAYS they work on their CARS . It carried them another week, and we made it. Visit your LOCAL MECHANIC. We were told by the OLD ….do not hang your HAT higher than where you can reach it. Do not COMPARE your LIFE with anyone. You do not know how they ACQUIRED what they have. It is not all that GLITTERS is GOLD. You saw in the NEWS , where the PREVIOUS PRESIDENT employee, had his GRANDCHILDREN going to PRIVATE SCHOOL . His NEIGHBORS, not knowing how he ACQUIRED his WEALTH, might be trying to be like him and send their Grandchildren to PRIVATE SCHOOL also ….but he has no INTEGRITY. You cannot live as the JONES. You have have no idea how they acquire what they have. GOD has pull the VAIL…life is not what it seems. Now you know he might not have been that ASTUTE man we were led to BELIEVE…..he is a …….
2ºShannon Lusinski You’re making exactly the opposite point you’re trying to make.
First, car loans are given based on proven ability to pay it back and value of car being bought. Student loans are given based on an inherent inability to pay with nothing of tangible value attached to it. The value is only hypothetical.
Second, if your circumstances change and you can no longer afford the car, or you realize the car purchase was a mistake, you can sell it or give it back to the bank with a hit to your credit. Any remaining debt could conceivably be discharged through bankruptcy. With student loans you can’t sell anything, give anything back, or discharge through bankruptcy if your circumstances are such to make repayment impractical.
Third, car loans are about 3 percent interest. Federal student loans are at least twice that and compounds regularly, so you pay not just high interest on the loan but also interest on the interest to where someone can conceivably make regular payments on a $40,000 loan for 10 years and it still grows to $80,000 during that time instead of shrinking despite paying back the original principal.
So no, there’s no additional relief needed for someone who buys a car they can’t afford. That’s already available in several different forms. What we need is some real reforms to the student loan system.
3ºJason Lopez generally I'd agree with you, and I tend to have little patience for people who take on too much debt for a bigger house than they need or a fancier car than they need. But think about this:
The US is the only country in the developed world were young people or their family have to go into debt to have an education. In every other peer nation education is free. I witnessed this first-hand when I studied in Denmark for a semester when I was in college.
Now consider the exorbitant cost of higher education in the US - I'm not talking about ivy league schools like Harvard, I'm talking about average colleges, universities and even trade schools. The cost of education is higher today then it has ever been in history, and has climbed far faster than inflation. Even State schools, due to declining government funding, are too expensive for middle class students without grants or loans, and lower income students even with grants and loans. And with the low salaries offered by many entry-level jobs, coupled with sky-high rents, these loans quickly become unmanageable.
I think we also have to see education - and this program - as an investment in our country's future, because the jobs of tomorrow (and for the most part today) are knowledge jobs that require an education. Without an educated workforce America won't be able to compete with the rest of the world and we will lose (far more than what we pay in taxes).
4ºWhy can't people be contented with what they have.
Trying to leave a luxury life when your standard of income is not up to that, having their selves engaged in loaning money because they source is out there available.
Instead of using the money to make up something and catch up to the standard of life they wish to be in.
Imaging borrowing money to buy an expensive car,still pay's task,maintenance still on dept paying back the money as well.
People are just putting their selves into high jump.
Making their life's more difficult because the want to show up that they own an expensive car..
Crazy
5ºShelby Riggs well, the article is titled with the word 'expensive',. So I can see why you would associate the purchases with "fancy" cars. The meat of the article, however, refers to the cost for mostly modest vehicles and the overall average cost of vehicles, which captures cheap and expensive alike.
People aren't necessarily buying more luxurious and excessive vehicles. They are buying what they were buying before. The root problem is the cost of everyday vehicles has skyrocketed.
Demand is higher than supply, but not because more people are being cars than have purchased them in past years per se. It's the supply side of the economical equation that is at issue. Demand, staying constant when supply drops, will lead to higher price points in the same way that increased demand with supply staying constant does.
6ºBut Bill needs his $80k “Yee yee” edition 4x4 F550, Ram 7500, Silverado HD dually, with the aftermarket lift kit from eBay, that he financed at $950/month for 84 months. And Karen needs to be complacent, when she angrily whips her $90k GMC Yukon Denali with the “salt life” window sticker; around the ice cream shop parking lot, looking for a space to park, so she can go demand the manager give her a refund. All because her golden retriever didn’t receive a pup cone . It’s just not “American” to be driving a cash car you can afford I tell you!!!
7ºBuying a new car is a waste of money I am looking forward to paying mine off. My dad has more money than i do. He drives a 1999 car. I have a nicer car than him. You would think someone like my dad who was a white collar worker and has a Bachelors degree in Accounting and a Masters in Taxation and is a retired Executive Vice President of a Labor Union would be driving a nice car like a Cadillac or a BMW and he belongs to a country club where people drive nice cars he is different from the people in the neighborhood we live in he doesn't care
8ºYou can thank this corrupted treasonous Republican administration for that factor. That were forced to pay more so that their steel shares profit more. Not long before the pandemic perhaps you remember the Republicans tax scam scheme. Getting paid from corporations and investors to free up their money with a guarantee that if you pay us well, we guarantee you will get your money back and you'll be making high dollar profit from then on. And you won't be paying taxes either and then the Republicans made sure those stocks profit with their get-rich schemes like they did when they enforced tariffs. Enforcing tariffs is deliberately forcing America to pay higher prices, so that their stocks profit off of us even more. So whether it's the wall or that new car or used car, food products for gasoline their price gouging us. When they promoted the wall they made more expensive by the enforcement of the tariffs, do you recall how they shut down America for 2 months. That was yet another get rich scheme because when you shut down the economy, it causes deflation and deflation drives the prices up even more it's not bad enough oh it gets worse ladies and gentlemen, as we know they deliberately stalled and they knew if they would deliberately stall and promote the viruses spread soon enough America would have to be shut down again. And what we witnessed was the act of the enforcement of their strategy shortage of demand. For the first time in history cargo ships was stalling in our USC's driving them prices up more and more. They knew they promoted that fires to spread America would have to be shut down people afraid to go to the store using that credit card even more racking up big time profit for their big bang boys contributors. People buying things just because they're bored racking up profit. And look how they planted a conflict of interest inside of the postal service who deliberately dismantled the sorting machines taken away overtime and fired management. This wasn't only a deliberate act to divert mail and ballots but they knew when you got your credit card statement it would be late which gives the bank industry the right not only to raise rates but charge you late fees. So America we have been literally screwed by the corrupted con man organization. Can't call and Republicans no longer they destroy the Republican party so let's just say con man treasonous corrupted organization