When it became apparent that a new car purchase was imminent, my wife and I initiated a bunch of transfers from savings to checking in anticipation of, well, emptying the coffers to make a down payment.
It’s crazy how we can come up with money fast when we need it — I mean, we practically live paycheck-to-paycheck it seems and each subsequent daycare payment drops us even lower but, when push comes to shove, we were able to scramble together nearly $7k in cash in the span of 36 hours.
Weird how that happens.
Anyway, upon inspection of the Land Rover, we were given the dire news that we were already completely aware of — it’s a 4500 pound paperweight with an original sticker price of $50k.
Not what I’d hoped for but what are you going to do, right? It was just a month ago that we finally trimmed our automotive fleet down to 3 vehicles — I wasn’t about to jump back up to four.
Fifteen hundred bucks to take it off of our hands was a deal I was willing to make.
Following that, they asked if we were going to write a check as an additional down payment — as if they didn’t think we’d intended to.
Now, we’ve been in this situation before. The most recent occurance that I can remember was our big interior renovation project. We’d saved up a bunch of money and paid it *all* out at the onset only to find ourselves cash strapped for what seemed like forever.
Sure, it gave us a huge jump on paying for the whole thing but…well, it wasn’t a great idea.
It sucked actually.
Being a lot wiser now, I realized that writing a $7000 check right then and there would only alter my monthly payment by maybe $100.
A hundred bucks is nothing compared to $7k in the bank.
In my eyes, anyway.
My wife and I looked at each other, shrugged, and decided, “Yeah, okay, we’ll toss another $1000 in towards the down payment.”
So I wrote a check for $1000. No rhyme or reason to that sum.
But that’s it — a $1500 trade-in and a $1000 check for the car and the rest went right back into savings.
So, along with a $444/month payment, we still have money to fall back on *and* a new car.
Yeah, while that payment kinda sucks, it’s still a much more comfortable setting than a new car, a $344/month payment, and an empty piggy bank…for months.
Always a better move to use other people’s money — especially when they’re practically giving it away for free…
If only construction loans could be had as easily as auto loans…