fbpx

The Next Recession Will Be The Last!

Gold • Silver • Personal Survival Skills • Safe Haven Assets
Deep State Updates, Politics, & U.S. Dollar Exclusive Data

Trillion-Dollar Auto Loan Bubble Also Ready to Burst: “End Result Is Going To Be Catastrophic”

Michael Snyder
September 7th, 2016
Economic Collapse Blog
Comments (105) Read by 9,011 people

THC-free CBD Formula - Zero High Brand

stock-market-bubble

This article was written by Michael Snyder and originally published at his Economic Collapse blog.

Editor’s Comment: The coming economic crisis isn’t going to be based on any one factor, but on the fact that many people are simply being overwhelmed. Up to their neck in bad decisions, bad loans and obligations that have, for one reason or another, become overwhelming and untenable. The bad debt piles up, and overloads the system. There’s only so much more that it can take.

Car loans have reached the one trillion mark, so have student loans; the housing bubble is also ready to burst again. Is there any way out of this mess?

The One Trillion Dollar Consumer Auto Loan Bubble Is Beginning To Burst

by Michael Snyder

Do you remember the subprime mortgage meltdown from the last financial crisis?  Well, this time around we are facing a subprime auto loan meltdown.  In recent years, auto lenders have become more and more aggressive, and they have been increasingly willing to lend money to people that should not be borrowing money to buy a new vehicle under any circumstances.  Just like with subprime mortgages, this strategy seemed to pay off at first, but now economic reality is beginning to be felt in a major way.  Delinquency rates are up by double digit percentages, and major auto lenders are bracing for hundreds of millions of dollars of losses.  We are a nation that is absolutely drowning in debt, and we are most definitely going to reap what we have sown.

The size of this market is larger than you may imagine.  Earlier this year, the auto loan bubble surpassed the one trillion dollar mark for the first time ever

Americans are borrowing more than ever for new and used vehicles, and 30- and 60-day delinquency rates rose in the second quarter, according to the automotive arm of one of the nation’s largest credit bureaus.

The total balance of all outstanding auto loans reached $1.027 trillion between April 1 and June 30, the second consecutive quarter that it surpassed the $1-trillion mark, reports Experian Automotive.

The average size of an auto loan is also at a record high.  At $29,880, it is now just a shade under $30,000.

In order to try to help people afford the payments, auto lenders are now stretching loans out for six or even seven years.  At this point it is almost like getting a mortgage.

But even with those stretched out loans, the average monthly auto loan payment is now up to a record 499 dollars.

That is the average loan size.  To me, this is absolutely infuriating, because only a very small percentage of wealthy Americans are able to afford a $499 monthly payment on a single vehicle.

Many middle class American families are only bringing in three or four thousand dollars a month (before taxes).  How in the world do they think that they can afford a five hundred dollar monthly auto loan payment on just one vehicle?

Just like with subprime mortgages, people are being taken advantage of severely, and the end result is going to be catastrophic for the U.S. financial system.

Already, auto loan delinquencies are rising to very frightening levels.  In July, 60 day subprime loan delinquencies were up 13 percent on a month-over-month basis and were up 17 percent compared to the same month last year.

Prime delinquencies were up 12 percent on a month-over-month basis and were up 21 percent compared to the same month last year.

We have a huge crisis on our hands, and major auto lenders are setting aside massive amounts of cash in order to try to cover these losses.  The following comes from USA Today

In a quarterly filing with the Securities and Exchange Commission, Ford reported in the first half of this year it allowed $449 million for credit losses, a 34% increase from the first half of 2015.

General Motors reported in a similar filing that it set aside $864 million for credit losses in that same period of 2016, up 14% from a year earlier.

Meanwhile, other big corporations are also alarmed about the economic health of average U.S. consumers.  Just check out what Dollar General CEO Todd Vasos had to say about this just the other day

I know that when we look at globally the overall U.S. population, it seems like things are getting better. But when you really start breaking it down and you look at that core consumer that we serve on the lower economic scale that’s out there, that demographic, things have not gotten any better for her, and arguably, they’re worse. And they’re worse, because rents are accelerating, healthcare is accelerating on her at a very, very rapid clip.

The stock market may seem to be saying that everything is fine (for the moment), but the hard economic numbers are telling a completely different story.  What we are experiencing right now looks so similar to 2008, and this includes big institutions just dropping dead seemingly out of the blue.  On Tuesday, we learned that ITT Technical Institute is immediately shutting down and permanently closing all locations.  This is from a Los Angeles Times report

The company that operates the for-profit chain, one of the country’s largest, announced that it was permanently closing all its campuses nationwide. It blamed the shutdown on the recent move by the U.S. Education Department to ban ITT from enrolling new students who use federal financial aid.

“Two quarters ago there were rumors about the school having problems, but they told us that anyone who was already a student would be allowed to finish,” said Wiggins, who works as the assistant manager for a family-run auto parts business and went to ITT to open new opportunities.

“Am I angry?” he said. “I’m like angry times 10 million.”

As a result of this shutdown, 35,000 students are suddenly left out in the cold and approximately 8,000 employees have lost their jobs.

This is what happens during a major economic downturn.  Large institutions that may have been struggling under the surface for quite a while suddenly give up and drop a bomb on those that were depending on them.  In the months ahead, there will be a lot more examples of this.

Already, some of the biggest corporate names in America have been laying off thousands of workers in 2016.  Mass layoffs are usually an early warning sign that big trouble is ahead, so keep a close eye on those companies.

The pace of the economic decline has been a bit slower than many (including myself) originally anticipated, but without a doubt it has continued.

And it is undeniable that the stage is set for a crisis that will absolutely dwarf 2008.  Our national debt has nearly doubled since the beginning of the last crisis, corporate debt has doubled, student loan debt has crossed the trillion dollar mark, auto loan debt has crossed the trillion dollar mark, and total household debt has crossed the 12 trillion dollar mark.

We are living in the greatest debt bubble in world history, and there are signs that this giant bubble is now starting to burst.  And when it does, the pain is going to be greater than most people would dare to imagine.

This article was written by Michael Snyder and originally published at his Economic Collapse blog.


GetPreparedNow-MichaelSnyderBarbaraFixMichael T. Snyder is a graduate of the University of Florida law school and he worked as an attorney in the heart of Washington D.C. for a number of years.

Today, Michael is best known for his work as the publisher of The Economic Collapse Blog and The American Dream

If you want to know what is coming and what you can do to prepare, read his latest book Get Prepared Now!: Why A Great Crisis Is Coming.

Click here to subscribe: Join over one million monthly readers and receive breaking news, strategies, ideas and commentary.
CBD Oils, Isolates, Supplements And Information
Please Spread The Word And Share This Post

Author: Michael Snyder
Views: Read by 9,011 people
Date: September 7th, 2016
Website: http://theeconomiccollapseblog.com/archives/the-one-trillion-dollar-consumer-auto-loan-bubble-is-beginning-to-burst

Copyright Information: This content has been contributed to SHTFplan by a third-party or has been republished with permission from the author. Please contact the author directly for republishing information.

105 Comments...

Vote: Click here to vote for SHTF Plan as a Top Prepper Web Site
  1. Braveheart1776 says:

    I always knew I was right to avoid loans of any type. Every one of Braveheart’s set of wheels have come from PRIVATE OWNERS FORF CASH ONLY. Car salesmen remind me of the snake oil salesmen of the Old West. They’ll get you into a car allright; you’ll get a loan with a 25% interest rate unless you’ve got the right kind of credit history. My old Honda came from a private owner back in March for only $1800 cash and the only insurance I have on it is liability. I’ve spent almost another 2 grand getting some things repaired on it. No notes and never have to worry about the repo man. Go on Craigslist and you’ll find whatever you’re looking for.

    • Prepared Pastor says:

      I hadn’t had a car or mortgage payment since 1995, but now that we have a special needs child we have less income and more expenses so after having our only car (155,000 miles) in the shop for most of a month finally borrowed for a reliable vehicle necessary for my wife to drive to various counties for her job. Found an older, but low mileage Honda Odyssee Minivan for 80% of what USAA was willing to loan on it from the estate of a little old lady who drove it up in the Spring and back to Florida in the Fall. Financed it for 5 years at 7.5% and most of that is covered by her mileage check.

      • Braveheart1776 says:

        PP, my Honda is a 2000 Odyssey with only 125000 original miles on it. Bought it from the original owner for $1800 cash back in March. All I’ve had to do on it so far is a set of tires, replace all 3 engine mounts, and a tuneup. Everything still works on it, even has cold A/C. I’ve driven to the BOL in Ga and back twice with no problems. I don’t even make enough money to worry about credit.

        • john stiner says:

          It is foolish to buy a new car. They loose value too fast.

          Just look at Warren Buffett, the richest man in America. He drives a 1998 Chevrolet Suburban, bought used.

          Having no car note, no house note, no credit card payment… is truly liberating.

          I am a slave to no man…..just the government.

          • Braveheart1776 says:

            JS, it’s awesome being debt-free, isn’t it?

            • WhoWTFKnows... says:

              Braveheart1776 says:
              Comment ID: 3606557

              September 7, 2016 at 1:00 pm

              JS, it’s awesome being debt-free, isn’t it?

              brave… tell everybody here what your Net Worth is? lol

              ~WWTI…

          • TEST says:

            I’m 62, my wife 56. In our lives, TOTAL, since we started driving at 16, before we bought a base model Altima a couple years ago, we have both, since age 16, spent a total of around $55,000 TOTAL for all the vehicles we have ever owned, both before we were married and after. Our neighbors all have his n’ hers SUVS in their driveways, and most of the men take the train to work or work out of a home office. So, you have maybe $80 sitting in the driveway doing almost nothing. Then there are taxes, licenses, insurance, etc etc.

            Of course, our house is paid off, we have savings, a modest retirement set aside… and they have cars now sitting in the junkyard and want to tax me to support their idiotic lifestyles. Welcome to the Socialist States of Unmerica

          • TEST says:

            Hey Mac. I noticed at the left you don’t have Off the Grid News. I’m not associated with them, but they are pretty good, and I read them a lot. They are at http://www.offthegridnews.com Might be good to list them too

          • WhoWTFKnows... says:

            Don’t forget irresponsible people with crappy credit pay higher Car Insurance premiums. Higher interest rates for everything, car loans, credit cards, mortgage loans, and you have to take the crappy low paying jobs. Your credit score has a lot of impact on your life in many ways.

            When I was in my late 20’s I made some stupid mistakes and it took me years to repair my credit. I worked hard to get back to being more responsible. It was a life lesson and Why I pay my debts on time and in full. Some people learn and some never get it.

            ~WWTI… “What’s in your wallet?”

        • Menzoberranzan says:

          I bought a 4×4 truck years ago. Paid for long ago. Resisted the urge to get a new one and have lifted it, put on run flat m/ts that were outrageously expensive for me, fresh paint, winch, interior roll cage, supercharger and a few other mods slowly through the years thankfully without going back in debt. It looks and runs better than these new things that are impossible to work on and would be a nightmare for BLM scum attempting to block my path in a stupid protest or most anything else. It is a STHF get home vehicle as I do not need a road, a tool, and a fighting platform. Straight gear to boot. To each his own.

        • Per Sigurd Hansen says:

          i hear you,debt=slavery.
          and “old” cars and motorcycles are easier to fix and maintain and better in a emp situation.

      • Jacknife says:

        Questions for you food processors. Can wheat berries be ground into bread flour? If so, which are the best? Hard red, white, soft red, white? Also, a guy up the road breeds Longhorns. I’m thinkin at some point a good meat grinder( hand crank) will be handy. Any recommendations?
        Thanks to all

        • swinging richard says:

          Wheat berries can be ground into flour. Hard red has a stronger taste. We got a discount through the LDS canneould get a hry on an electric grinder. We should get a hand crank model for a grid down situation.

        • Paranoid says:

          Wheat berries are Wheat; don’t know why they started messing with the name and yes you can make them into bread. Different kinds of wheat make different dough’s. Different kinds of dough make different kinds of baked goods. A bit complex for this site; but quickly, the high gluten wheat(High protean) make better bread. They stick together well, the lower ones make better cake. Where I grew up the local wheat made the best biscuit flour. You need to get on a baking site and learn, there is an enormous amount of data out there.

        • grandee says:

          I too have been looking for a meat grinder. Almost bought one at a second hand shop, but thought since it would be a big part of my preps I might want a new one with attachments.

          Any recommendations for a good one?

          Also this is a GREAT informational site for looking at the differences in wheat and grinding your own:
          ht tp://www.melskitchencafe.com/wheat-and-wheat-grinding-101-the-wheat-types-where-to-buy-and-what-to-make/

          Pleasant Hill Grain (probably one of the more reasonable places to buy online) is where I have purchased my berries.

        • TnAndy says:

          Yes, wheat ‘berries’ can be ground into flour…..which is how all your wheat bread gets made. The different wheat varieties (hard/soft/red/white) make different textures of breads.

          As for a meat grinder, if you’re looking at a hand crank model and a whole beef….wow..you better have arms like the Hulk. We have a Weston electric model, 1.5hp, #22 plate. It is rated at several hundred pounds/hour, and we grind lots of pork sausage and hamburger from home processed critters.

          • Jacknife says:

            TnAndy, I don’t plan on grinding the whole thing, steaks, ribs and roasts will be done as well, but having a good quality grinder will be necessary. IMHO. Thanks for the info.

          • LaManiac says:

            TnAndy,haven’t tried beef but process some of my own deer,I have 2 hand ranks ,is beef harder?
            You guys that know more than me,which isn’t hard to do,lol
            Freind has a AK for sale,shot it liked it.762-39 Seiga any thought ‘s
            Maniac –out

            • MommaD says:

              Just my two cents LA,
              Beef isn’t any harder, just takes longer because there’s a lot more of it.

              • TnAndy says:

                Yeah, that right there. You take an average whitetail deer here, remove the loin and you’ll have maybe 50-75lbs of meat to grind.

                Take a decent 2yr old steer, and you’ll have 300lbs to grind….maybe more. I grind all the front quarters into burger along with the trimmings from the mid loin and back quarters.

    • durangokidd says:

      I pointed out the sub prime auto loan problem that we would face when the business cycle ended in this comment section, MONTHS ago.

      Yes, of course, its in the archives. 🙂

    • Kevin2 says:

      Braveheart1776

      Yep there are “creampuffs” out there. Here in Florida there is an abundance of depression babies in their 80s that don’t live forever. They have garage kept very well maintained and used autos complements of their youthful training in hard times. Their kids come down and want to get $$$ quick and that Crown Victoria with 80k miles goes for $3000. Your good to go for another 50k miles then selling it for $1000 and repeating the process. Put on 250 miles / week and the vehicle costs you including maintenance on the order of $60 month.

      • Braveheart1776 says:

        Kevin2, I don’t care that much what the vehicle looks like. It’s the mechanical condition that I’m primarily concerned with. I just got real lucky when I found the Honda on craigslist. 125000 is low mileage for a 2000 model. The interior is still in very good condition with no tears. Body is little rough and paint is fading on the roof. But it will get me from Point A to Point B AND beyond.

        • Them Guys says:

          Braveheart: When I bought my Z-06 Corvette a year ago last may, it is a 2009 year coupe and had just 6,400 Orig miles on it!…..I got it for about 1/2 the cost of a brand new vette too.

          I also still have the 1999 Ford 4X4 f-150 lariate truck I bought brand new and it just on wednesday 9/7 turned 40,000 orig miles!!

          But for me bottom line now is I am retired and can drive as many or few miles as i choose to.

          And after all my ife driveing pick ups and cheep junk used cars with plpd insurance due to massive insurance costs for new car etc when still living in detroit.

          I now pay less than a 1/3rd insurance costs per year due to life in rural up north mich region.

          And was able to include the Z-06 vette with full coverage for six months and final six months in winter just keep Comprehensive insur coverages on it.

          So the grand total per year all 12 months to include/add vette to orig trucks insurance costs are just around $1,190 per entire year…If I figure it out as equal payments per month for every of 12 months my insurance only went up by aprox. $20 per month to add the vette as stated and dropped the collision coverages on the truck. Being a 1999 collision wont pay very much if its wrecked and totaled.

          So by dropping collision on truck and added vette as outlined for six mo full covg and six comp covg only, I pay now just $20 a month more than prior for only the truck insurance per year costs.

          And I figured it is about time for me to have massive FUN driveing so thats rreason I got the vette car.

          Once you expereince the total super car ability of overall handeling and fast speed capability and that the z-06 comes straight from the factory at bowling green KY plant, to the car owner at 100% Race and track ready machine, except of course for a roll bar cage and a rear spoiler wing, it really is a 100% track ready and capable vehicle that has been proven in its history of so many Grand prix track events globally, most forms GP raceing has banned the vette z-06’s from competition after it had won something like, 21 out of 21 straight years running of top GP winningest car…Them Porches and Ferrari owners got pissed and got race rules changed to forbid vettes from those top rated classes of races from what I read at the corvette forums.

          But once you drive it the overall great handeling factor is just an awsome experience and The Most ever Fun car to drive as I ever drove or owned yet!

          It is also a great Daily driver car and gets avg of 26 or 27 MPG freeway driven speeds. GM did so great a job on a total ground up new Z-06 model when it was Re-introduced to public buyers again back in 2006, that it is about the Only super car out there withOUT an EPA mandated Gas guzzler extra tax fee!….Most all other mussle or fast cars now have that added guzzler tax. A good example is on a Mustang Shelby GT 350 or 500, the added guzzler tax is aprox $5,000 Added to sticker price!

          GM avoided it fully by great design and wind tunnel testings done to create the lighest ever vette and most wind resistant car ever made by gm/vette…

          Total curb weight with gas tank filled etc is just 3,150 lbs….Zero to 60mph in 3.5 seconds and thats faster than most super cars/porches/ferraries etc etc are. Top speed track proven is 198 mph….Car owner manual advises to add tire air pressure if going speeds over 170mph.

          Owner manual advises also to never do a down shift into Second gear at speeds above 82 mph!! I almost fell outta my seat when I read that manual! You can do a typical two lane road 90 degrees right hand turn at speeds of 40-45 mph or fatser even, and the car never slides, nor sways nor leans to one side at all. It feels more like a slot car on Rails and even at such turn speeds, the rear wheels never lose traction nor spin out sidways etc. A truly phenominal vehicle.

          I guarentee you though, if you ever drive such a vehicle and have a chance to drive it agressivly around typical two lane blacktop country rodas and twisty turns etc…You will get Hooked and want to buy one…just too too much pure Fun to drive such vehicles and I just wish I discovered this alot sooner in life.

          One Must also have fun or life gets too dull and wasted usually eh.

      • smokey says:

        I bought one of those creampuffs some years back, put over 100,000 miles on a minty Lincoln Continental that cost me exactly $4,000, and it came with a spare set of snow tires. My basic cost to drive was four cents a mile.

        Don’t bother to add costs of gas, tires, insurance, etc., to your basic per mile cost. You’re going to spend that no matter what car you drive.

    • WhoWTFKnows... says:

      LOL… Brave.. You need to also disclose, You have no credit, no credit history period ever, therefore, your only way to get into a vehicle is buy with cash. Like you ever had a choice or a decision on that. This is like what, the 5th time you came on here and said that mantra? what ever..

      I have bought plenty of new cars, got a low rate loans for like 3%-6%, even got about $1800 sales tax credit on my last vehicle in part of the other language in the Obama’s Cash for Clunkers program. And sold my BMW M3 on Autotraders to a guy in TN who paid cash. Selling a car to private buyer I saved about $5K for what the dealership offered me. I then like a madman pay the New vehicle loan off and drive the car and or truck or SUV for another 10 to 12 more years. My current 2009 vehicle I bought New is, still original Owner, only has like 36K miles on it, still like brand new.. With excellent maintenance and oil changes. If you had an 800+ credit score like I do, then you could do the same. I also have in the past bought some used cars. Its a friggin gamble, buy old and spend more money repairing them, or buy new with a warrantee 5 yrs & 50K miles with no repaid bills. I like dependability over unexpected costly repair costs. I also like Brand new Cold A/C here in Florida.

      If you like to buy clunkers and spend more time and money repairing them, that’s up to you. Some people love to tinker with cars.. A set of motor mounts you just had to replace a few days ago, cause the entire van was shaking as you said. I buy cars to drive not fix.

      That BMW before my last New vehicle I bought used with about 30K miles on it. New cost was like $64K New, but 2 yrs old Used with that mileage on it $32K half price for what I paid. So there are some bargains in buying used. And I sold it 10+ yrs later with about 115K miles on it for about a third of my original purchase cost. So it cost me $20K over 10 years, and or about $166.00 a month for a Bad ass BMW M3 to drive. I won’t complain.

      I am not here to pick on you, just keep it real. Thought the last article was a learning lesson. Enough nonsense ok.

      ~WWTI…

      • Braveheart1776 says:

        WWTI, I never put out nonsense and I do keep it real. No, I don’t love buying clunkers but that’s all I can afford and I’ve always managed to keep them running one way or another. I don’t love the experience but that’s what my circumstances dictated to me, including the fact that my income level is too low to qualify for credit anyway. You speak of dependability? When was the last time you took a good look at today’s vehicles? Way too much electronic crap in them. Our reliance on electronics is now our Achilles heel. Like Jim posted earlier, for the amount of money they want for newer cars they need to have a damn bathroom in them so you can live in it. If you want to pay out of the nose for this overpriced junk, go for it. What I do for vehicles is what my circumstances dictated to me way back in my younger days. I’ve actually managed better with that than most people think. In this economy I don’t need any debt. That money goes toward my prepping and I won’t give that up. You can call it what you like. I call it living within my means. Take care.

        • Braveheart1776 says:

          WWTI, BTW, yeah old cars are a gamble and so is life in general. I don’t make enough money to worry about credit anyway, so big deal.

        • WhoWTFKnows... says:

          Hey Brave. Your first comment right out of the BOX.

          “I always knew I was right to avoid loans of any type”

          You were not right, you never had any choice in the matter, so you are exaggerating Bigger than life BS too, to cover up your incompetence, Just like snail.. like you are so smart. You are stupid. You were stupid for destroying your credit history. When you have no credit you can’t get a good job, or car, or house and in the end you got nothing in life,, because you can never build up any equity or wealth.

          So now you will limp to your cuz’s place in N Ga in Oct, and squat living out of your Van, and try to tell everybody here you have a BOL. You don’t own it, and just have a key. That is not security. Maybe temporary, But You are sooooo smart. Let see how that works out for ya. Probably after they keep hearing your repeated Rarrot broken record comments, they may kick you out. Then what?

          If you think I am better than you, that’s your problem. I just made a whole lot of smarter decisions in life and know how to play the game of finance, manage my money, leverage loans, bought property, and made money and had great jobs cause having good credit reflects a responsible person. You sound jealous. I could care less what kind of vehicle you drive. Sorry about your luck.

          Your statement above is an exaggerated BS to make everybody think you are so smart. NOT.. You never had a choice. Another bigger than life wanna be.

          I do like you, but stop the exaggerated BS. Thought we did that last article. And I will continue to Call out BS’ers. So its really your choice. You just don’t like it when somebody calls out your BS. You are just like eppe. Wanna be part of the club.

          ~WWTI…PS. YOU live within your means cause that is the place YOU Put yourself. I put myself in a better place because I am responsible and pay my bills and debts on time and make smart decisions financially and for that I earned a 800+ credit score. SO if you have bad credit, sorry about your luck.. lol Only YOU got You to where you are today.

      • Jacknife says:

        WWTI. My credit score is over 800. I make a pretty good living as a truck driver. I have a nice house that’s only 3 years old. I have 2 credit cards and pay them off every month. I drive a 1996 f150. So what. That’s what I choose. It even has handles for roll up windows and manual locks. Part of the reason I own it is cause I can fix just about everything that goes wrong with it. Stop fucking with that guy. You always brag about shit but you’re a fuckin fool. You don’t know half the shit you say. You’re butt buddy that fixes ford trucks obviously ain’t that good. And where is that 26.50 silver? July’s long gone. You don’t even own a washing machine asshole, but you owned a beemer? You have no friends and most people here don’t even like you. Piss off twink.

        • Braveheart1776 says:

          Jacknife, thank you for that. I’m trying to avoid blowing up but I’m almost out of patience with him. His last post reminds me of snobs I’ve dealt with over the years. I don’t think he knows what it’s like to scrape and struggle for a living. I don’t even make enough money to worry about credit so it’s just as well. That’s money which goes toward my preps. I won’t let anything else take priority over my prepping. Take care.

          • WhoWTFKnows... says:

            Running out of patience??? No you just don’t like it when somebody calls out your bigger than life BS. You are 2nd in line here for BS, beside that other clown that ran away in embarrassment last article.

            “I always knew I was right to avoid loans of any type.”

            Really??? LOL. Keep em coming. And this is like the 5th time you have come n here and said that regarding your covering up your shitty credit with some brvado statement you are always so right… You would think by now you would have learned your lesson. I guess not. This is a NO BS zone.

            ~WWTI…

          • WhoWTFKnows... says:

            So everybody is a snob, because we are responsible and you have crappy credit?

            Sounds like a personal problem.. Its everybody else’s fault I’m sure.

            This is a lesson for younger people on how to manage your finances. When you are responsible, pay your bills, you get good jobs, get to buy nice cars and houses and build wealth.

            When you have crappy credit, you drive clunkers for cash, that break down so you can’t get to work on time, then lose your job, and your credit is destroyed. Its a race to the bottom and you sit on the low rung on the food chain.

            “I always knew I was right to avoid loans of any type.”

            Right… You’re so smart..

            ~WWTI…

        • Jacknife says:

          When I was in the army it didn’t matter where you were from or your civilian social/financial status. We were sent to some really ugly places and saw some really ugly shit. It didn’t take long to figure out, realize and accept that we were all the same. That’s how I see this site. I started lurking on this site probably 5 years ago when there was easily 200-300 comments on each article. I only started commenting probably a year ago. But I will tell you this and please listen. When the shtf, and it’s going to, all you’re worldly possessions ain’t gonna mean much. And there will be no room for your angry bitter grudges just cause you think you’re “better” than the next guy. That kind of shit will get you in trouble fast. Sometimes I have to wonder why some people are really here.
          Stay quiet Be smart.

          • Braveheart1776 says:

            Jacknife, I’m the same way. I do my best to treat everyone the same. I don’t necessarily have any grudge against anyone, but WWTI rubbed me the wrong way with his last post about “buying clunkers”. Not everyone out here qualifies for credit. I’m one of those who don’t so I’ve always managed with older vehicles from private owners for cash because it was my only option. I never saw myself as being ‘better’ than anyone else. WWTI reminded me of some snobs I’ve dealt with in years past. You made some good points that I’m NOT disputing. Take care..

      • Braveheart1776 says:

        WWTI, I just read your post again and you say you fell for Obama’s ‘Cash For Clunkers’ program? ROTFLMFAO! and you think something’s wrong with the rest of us? GMAFB! For once you’re actually good for a laugh!

        • WhoWTFKnows... says:

          Let me school you here brave, since you obviously did not read my post very well. I said part of the other language in the Cash for Clunkers bill was that if you bought a NEW Car you qualified to have the sales tax on that purchase, be written off as a tax deduction on my income taxes. It came to about $1800. Sounds like a smart decision to me, since I was looking for a new vehicle then.

          I bought that, and also still had my Beemer which I sold off Auto traders a few months later for a tidy price and cashola in my pocket. If you enjoy not having loans, then enjoy driving beaters, cause you gots no credit, sorry about your luck. Maybe in your next life you will make smarter decisions.

          ~WWTI…

      • sig300black says:

        BMW, Why would you not buy American?

        • WhoWTFKnows... says:

          Because I enjoyed owning the Ultimate Driving Machine. BMW M3. The M3 is the race car version of the 3 series BMW. It was one bad ass vehicle. Smoking fast.. My current vehicle is American, very dependable and holds it’s resale value near the top of US vehicles. Which I bought new, doesn’t not have all that crap electronics, GPS tracking BS on it. Easy to fix if needed and highly wanted. For OPSEC reasons I will not say what kind of vehicle I drive nor the color. lol

          I bought this BMW 2 year old Used for half the new sticker price $32K / $64K New, and it came with warrantee. Drove it 10 years. Awesome vehicle.

          My vehicle now is more utilitarian that can pull trailers etc, work horse.

          ~WWTI…

    • Braveheart, Dude we are not all that bad…… I treat everybody (customer) like they’re a close relative. Also, I have run into some customers that were no good filthy liars!! But point taken…..in this day and time cash for anything is the best way.

    • Winston Smith says:

      It all depends on your individual situation. I am one of those people who bought a new car and although I regret it, it made sense for my situation. However, even though I have a new car loan, I also have an out. The old Nissan truck I was using, with 400,000 city delivery miles on it, is still in my possession. I am slowly fixing or rebuilding all of it’s systems so that I have a reliable, leak free second vehicle should it all go to hell and I get the new car repo’d. As for how many miles the new car has on it, well, after 14 months it has seen 37,000 miles but it’s a Toyota and I maintain it well, so it will likely go a few hundred thousand more. It’s also a hybrid, and the added reliability and fuel economy all but pay the monthly payment when compared to the cost of maintaining the worn out old truck.

      There comes a time when age becomes a factor in how reliable a vehicle is too. Here in Florida, that seems to be about 8 to 10 years old. The reason why is that all of the rubber and plastic parts go to hell and the ensuing leaks and electrical issues start to take out other components. At around 15 years, some parts start to dry up and at around 20 some parts become impossible to find new. This may not be an issue if you don’t drive a lot, but if you need to maintain a vehicle in order to work then it does.

      • WhoWTFKnows... says:

        Winston, I am in Florida here too, and you are right. Plus nothing like Cold A/C in a new vehicle here in Florida. I have to dress up for work Professional Job, and I need dependability. If I don’t show up on time, I don’t get the sale. Its all about being responsible in life. You are then rewarded with great credit history, better paying jobs, new cars, qualifying to buy a house, all the benefits of being responsible.

        People like to blame other for their bad decisions. Or we are better than them. If you live in t-shirts like to sweat and fix broken down cars on the side of the road, then buy an old clunker. I got better things to do with my time.

        The beauty of buying new and do your research on the vehicle type, as not all are the same, is that you know all the maintenance history, and they will last a long time. I don’t like buying other people problems or drama.

        btw/ My last new purchase was in 2009, so I have not been following the prices for new cars, but I did ask this chick who works for a dealership what my vehicle’s value is, 2009 with only 36K miles and she said $28K which is just a few thousand dollars less of what I originally paid Brand new back in 2009. So I’m feeling pretty good about that. And it is fully paid off since 2013, dependable and I will drive it a long time, maybe another 10 years, as I maintain my vehicles very well. And its still like brand new in good shape, and the AC is still cold.

        And since I am single and date, First impressions for dating good looking women is important. Let see a guy with a new well maintained Vehicle, Vs. A shlepp dufass driving a beater. Which car will she rather get into? That’s reality folks. Like it or not. And she will like me even more, when I tell her my vehicle is fully paid for.

        ~WWTI…

  2. Observer says:

    The dealer will give you a 7 year “mortgage” on that new car. Then the loan originator will package that loan and sell the mess to other “investors”. Remember all those subprime mortgage backed securities in 2007 and 2008? Who gets holding the bag? Then you have a trillion in questionable student loans. Then you have the government giving the ok recently for some fancy mortgage approvals that allow the borrower to claim the incomes of his extended family as his own for the purpose of loan approval. We’re doooomed!

  3. No wonder why the money exchangers were kicked out of so many countries.

    • Them Guys says:

      Stolz: That isue of money changers is just the Tip of the iceberg! You have to also include into the equation all the too many to list Other things they always do to ruin and wreck every “Host” nation, unfortunate enough to become said host to them.

      Just look at americas entire societal and cultural factors now as compared to maybe 50 yrs ago.

      research every fucked up issue, Porn, terrible NON family type hollywood movies, tv shows, tv ads, and overall abject Filth in everything today society wize. They love to wallow in filth and like a Dog always return to their own Vomit! and do all in their arsenal of power to Force all the goyim to do the same.

      Look how most every TV ad today portrays white males as buffons and total dumb idiots, while white women are always portrayed as a pretty white women, attached at arm to a total jungle bunnie wild as the afrcian jungle animal black. Tv ads show white women at home, married to a black man with two Biege or tan kids, boy and girl each has wild wooly bully jungle spooly hair or dred locks!

      But if a White man is shown in tv ad for, say, cherrios cereal ad, whitey man is always portrayed as a lousy dressed Bum on a couch or seated at breakfast table with the wife and two kids, and both small kids demanding mom teach dad the proper method to hold his cereal spoon so he wont keep dripping milk and cereal onto his old dirty torn t shirt! with white daddy half asleep oblivious to Any and everything but his bowl of cherrios. Then tv ad shows one small beige kid smacking dad upside his head with total disregard to proper respect of the father.

      Or tv ad has dumb buffon white guy at some meanial job with well dressed $2000 suit and tie guy afrcian black that is always the Boss and mentor of stupid impossible to learn white worker guy! And as per typical and usual, that black boss guy also has wild wooly bully afro hair doo that looks like an overgrown Brillo Pad of wiry hairs sticking out in every direction! Oh and with a Fro-Pick comb handle also protruding from the Side of his wooly hair/head for xtra points! Or wooly bully black boss has $2000 three piece suit and tie, with baseball hat worn Sideways because the savage african never knows is he commin or a goin?

      Whom Films those tv ads? pays for such ads? Profits from tv ads? and owns ad companys?

      Them we aint to ever name or mention here, the big Taboo tribe is whom!

      Plus if one is very jewized up and looks very closely at most every tv ad white dad or white actor guy in the ad…One can spot in less then two seconds flat that hes NOT really a euro whitey guy at all…But rather hes a tribe zioboy that “Looks” like a white male to the vast majority of usa whiteys that aint at all jewized up!

      Yes indeed Banksters and usury profits galore are just the tip of iceberg Stolz…Include every other factor into the overall method of well rehearsed and well practiced Nation Wrecking and overall society ruinations, and the new changed cultural marxist society in america today….And Then you fully comprehend just why 109 Previous nations peoples booted them out and did so to their entire tribe of perps and demons that infiltrated those nations prior to now within america and doing exact same ruinations.

      Just a matter of time now for more folk to awaken fully is all…Tic-Toc-Tic-Toc!

      Wakey Wakey Whiteys and remember to Wear your heavey steel Toe’d boots when bootout day arrives eh!

      They and Libs and Blacks will call it Racist! and worse yet!…We shall just call it as it really is…A Righteous Indignation! and as true compasionate christain folk we can offer them Three choices!

      #1 Get right and act proper like a Real European White man, or woman…OR…

      #2 Get the fuck OUT ASAP FAST! and Take yer afrcian Pet monkey-tools with when you exit usa for Good….OR..

      #3 We choose For you and we probably will just Take them Out period!

  4. aljamo says:

    I’ve always paid cash for vehicles with one exception. Prior to being drafted in 1970 I bought a new Maverick, repossessed after entering service, payment $70 month. Now I drive a 25 1/2 year old car I bought new for $7500 total. These new cars are grossly expensive, more than a house not that long ago. No thanks. Keep on truckin’.

    • smokey says:

      There was a guy in our office, bought a new Corvair in 1964 for college, and kept it running. Last time I saw him was 2012, and he still drove it to work daily.

      Most folks spend over $150,000 buying cars during their lifetime, he spent perhaps $3,000 in 1964 and that was about it. I think he said once he’d done some engine work that cost several hundred bucks, but that was it, other than maintenance and minor replacements.

      • Them Guys says:

        That corvair is now going for $25,000 at mecum auctions!

        VW-21 window Busses are now if mint condition going for avg of $120,000 at mecum or barret jackson auctions!

        Kalifornia ex hippies and tree hugger libs Loves them VW busses! And Pay big too for one!

        Just a typical mint condition VW Bug bettle car now goes for avg of $20,000 to one the other day went for $50,000!

        Boss Mustang 429’s goes for avg of $225,000 to a couple sold for $500,000!!!

        but all time best ever priced mussle car era vehicles are always the Hemi 426 cu in Cars…Typical prices go for same as quoted here on the boss 429 mustangs…But a couple of the road runner “Birds” with that goofy Tall real spoiler wing at rear trunk lid….With Low 2000 orig miles and an automatic set new price records last year when two sold for $2.25 MILLION each!

        With a few 1970 Hemi 426 Chalengers and cudas going for over $800,000 each!

        Why buy gold or silver when such cool cars gain better profits and can be driven and played with etc eh?

    • Braveheart1776 says:

      Aljamo, I had one of those old Mavericks once, a 72′ model with the old inline-6 engine. Had it for 5 years without much trouble out of it.

      • WhoWTFKnows... says:

        A Maverick?? LMFAO. That says a lot about you. How about a Matador, or a Pinto? Or even a Pacer? Chevy Chevette? Or a Soccer Mommy Wagon like you are driving today.

        ~WWTI…

        • smokey says:

          You’re just making yourself look like an incredibly petty, small-minded fool, WWTF. Go get in that BMV you claim to own, drive into town, and sell some of your $26 silver. Then go into a bar and get yourself drunk, you need to get a life.

  5. Jim in Va. says:

    No more new cars for me. For the prices they want it would have to have a bathroom in it so I could live in it. All the dealers are offering 0% financing and here in September they are still selling 2016 models. Thats a bad sign.

  6. Houston/Cypress/Katy/Shtf says:

    We are literally in and engineered real Estate crash right now, and the investors are not purchasing properties at this moment. My business has dried up and I wont have to worry about running out of food and walking the streets of Houston to near death, and watch my hard earned muscle mass go to waster of lack of protein and complex carbs. My brother is very stupid individual who said that no collapse of the economy occurred, that what happened to me was the result of my own stupidity. He has only 2 days of food in his re fridgerator and banks with bank of America. He is your tipical stupid dumbass. I am have not talked to my father for 6 years, because he is a liberal and not conservative. I don’t waste time with stupid people including him. When this shtf event hits, my mother will die as a result of his stupidity.. All I have now is preps, food and water security, and when the shtf event hits, if we all survive it, then we will start the next generation. The generation of the people like us here on shtf, The organic growers and farmers, the evolved, the responsible. Then we will begin a new species, that is us.

    HCKS

    October 2016-2025. degal.com

  7. aljamo says:

    The new car prices are not sustainable, the worst models are just garbage yet still priced at 15 grand minimum. The collusion between big auto and big oil corruption never ends, low mpg’s despite easy technology to boost mileage significantly. Vehicles with every added feature under the sun, totally frivolous options not needed that jack up the price. Where is the basic well built car without all the bells and whistles? It doesn’t exist! Now most manufacturers did away with stick shift, more waste of gas. I prefer stick shift, very few offer them. When I open my car hood I want to see a lot of space, not a crammed full engine compartment that I could never gain access to myself, as far as repairs and maintenance, all by design.

    • Archivist says:

      I used to have a 1971 Maverick. It had a 200 cu. in. engine. There was no A/C, so there was almost enough extra room under the hood for two people to climb in. It finally rusted to pieces, as it had come from Alaska and was eat up with road salt. It did have a built-in block heater that came in handy when it was really cold in the morning.

      It only cost $500 and I drove it 3 years, with just tune-ups, retreads, one fuel filter, and replaced the radiator core one time.

  8. KY Mom says:

    The administration continues to spend $$$ to “influence” this election.

    “Months after the Obama administration spent $19 million to register new immigrant voters that will likely support Democrats in November, it’s dedicating an additional $10 million in a final push as the presidential election approaches.

    The money is distributed by U.S. Citizenship and Immigration Services (USCIS), the Homeland Security agency that oversees lawful immigration, to organizations that help enhance pathways to naturalization by offering immigrants free citizenship instruction, English, U.S. history and civics courses.

    Officially, they’re known as “citizenship integration grants.”

    http://www.judicialwatch.org/blog/2016/09/u-s-spends-another-10-mil-register-new-immigrant-voters/

    Remember…
    “Unlike illegal immigrants, legal immigrants (refugees) invited into the United States with green cards are granted AUTOMATIC work permits, welfare access, and the ability to become voting citizens.”

    “According to U.S. Census Data, the United States admits roughly 100,000 Muslim immigrants legally each year.”

    ht tp://www.breitbart.com/big-government/2015/07/16/immigration-to-swell-u-s-muslim-population-to-6-2-million/

  9. Braveheart1776 says:

    Aljamo, I hear you about the stick shift. I had to learn how to drive on one of those first before I could learn the automatic. Only cars being built with a stick now are Mustangs and Camaros. Anything else with a stick you’d have to go to a used car lot or Craigslist to find one. I miss the basic vehicles myself. I don’t even care for any of the damn bells and whistles myself.

  10. TEST says:

    No Nation Has EVER Taxed Itself Into Prosperity

    You cannot legislate the poor into freedom by legislating working Americans out of freedom. What one person receives without working for, another person must work for without receiving. Government cannot give to anybody anything that government does not first take from somebody else. When half the people get the idea that they do not have to work because the other half is going to pay for them – and when that paying half gets the idea that it does no good to work because somebody else is going to get what they worked so hard for, then that, my friend, is the end of any nation. You cannot multiply wealth to help the poor by dividing it.

    • Tkid68 says:

      Test: I’ve been coming to this site for about 6 years now and that is one of the best perspectives on what is really going on in this country. I never believed for a minute in my 47 years on this earth I would see our country in the shape is it in. Very well said and Kudos for the intelligent post! Maybe I’ll stick around and give the troops a perspective from the Ozark hills.

  11. TEST says:

    Right, Hilary. The **Clinton Foundation** creates jobs… for cronies. Oh yes… miraculous cattle futures also create jobs I guess, and I assume she thinks the Soviet Union created jobs . Forbes has story at http://www.forbes.com/sites/waynecrews/2014/10/26/hillary-clinton-businesses-dont-create-jobs-just-speaking-fees/#5f841e18b895 Here’s the quote: “Don’t let anybody, don’t let anybody tell you that, ah, you know, it’s corporations and businesses that create jobs. You know that old theory, trickle-down economics. That has been tried, that has failed. It has failed rather spectacularly.” Here’s the video of her saying tthis (36 sec): https://youtu.be/PyUoCiWsTfI?t=7

    One thing Hilary forgot is that Michelle-Marie Antoinette Obama monthly uber-luxe vacations also create zillions of jobs in the travel industry. Rumor has it that she is renting out the country of Lichetenstein for just her and 800 of her corruptocrat cronies from the Thugocracy of Chicago this month!

  12. WhoWTFKnows... says:

    Just a FYI- My buddy (really good Mechanic) who own a car and truck repair shop says “NEVER” buy a FORD Truck. You know “Fix Or Repair Daily” However he said he makes a lot of money repairing Ford Trucks. He said they suck to work on due to crappy engineering and hard to get to parts to repair them, but he says Ford trucks keep him in business. He swears in Chevy Trucks, dependable, easy to repair and easy to get parts. Something to think about if you are looking for a domestic Truck. I never bought either, so I am going on what he said, cause he does this for a living.

    ~WWTI…

    • Satori says:

      worst vehicle I ever owned was a Ford truck
      got rid of it when it only had 70,000 miles on it
      the basic engine and transmission were ok
      but EVERYTHING else was pure junk

      alternator,starter,exhaust system,upholstery,paint,water pump,oil pump etc
      all pure garbage,also had serious issues with rust

      basically sold it for scrap
      glad to get rid of it

      • Well hell, I have a 93 Ford F-150 4X4 and it has 235,000 on it and all I did was replace the radiator, hoses, starter, alternator all at 140K because I knew they would go out. I had the tranny rebuilt at 200K Other than that I love that truck. Has the 302 V8 that runs like a champ. What type of ford did you guys have?

    • citizen says:

      WWTI I’m a master mechanic with 30+ years experience. I concur with your friend. dealership tech for most of my career. Fords, Chevy and Dodge. I own 3 Toyotas. my 99 pickup has a total of $140 in repairs since 03.
      and it was assembled in the US. The 14 Rav 4 we bought new in 14. 0% interest. Found out with 0 debt it affects your credit worse than too much debt.

      ease up on Brave and Eppe will ya. some of us don’t brag about our preps and some do. Lets share tips on what works, and hope we have time to work the bugs out.

      • Ketchupondemand says:

        citizen, good point…you guys need another truce or a serious time-out.
        I ended up with an early 2000’s Ford Ranger because there were zero used Toyota 4×4’s around here. None.
        It’s an XLT 4.0L 4×4 and have been real lucky with it.
        No major repairs but it uses some gas with the hills we pull. Fingers crossed with it.. (it doesn’t get driven a lot, either.)

        • Ford rangers were and may still be made by mazda. I have a couple friends with rangers and they like them just fine. I had a toyota 4×4 4cylinder and damn that thing was gutless. If I had to chose between a ranger and a toyota I would take the ranger hands down! I drive a toyota right now and it isn’t very impressive lol. The seatbelts are a POS, The doorlocks both took a shit, The tailgate cables both broke in half, The interior is puny, the paintjob on the hood is fooked up factory defective crap, The bumpers are shit, no power whatsoever, I wouldn’t buy another one.

          • The Chauffeur says:

            Well I had a 97 Ford F-150 extended cab w/ V-6 auto. Sold it 11 yrs later w/198,000 miles andthe A/C still blew ice cold. It was a good truck. I do know that Chevy/ GMC trucks from 02-07 you gotta drop thesteering column AND pull the dash to replace the heater core…??

      • Anonamous says says:

        Thumbs up citizen. 🙂

    • 101st Abn Div says:

      5 Fords in driveway. 79 F250 purrs. 94 F150 roars. 96 Explorer thumps. 67 Tang zips. 2007 Explorer cruises. 0 debt. Regular maintenance. No complaints here

  13. Apache54 says:

    STOP and THINK!!! the biggest item next to war and liberalism that has ruined our country is the BANKSTERS!! the average “JOE” has been brainwashed into thinking buy ANYTHING you want just get more credit and spend more than you make, and so when this ALL comes crashing down, the feds have shown NO interest in making a budget or trying to do anything about the spending! why would they do that ?? unless they know something we don’t! ALL the signs are there it leads up to SOMETHING BIG is coming and they ALL know it, so you better be prepared as time apparently is short!!

  14. R S Dorsey says:

    Mr. Snyder comments that he is “infuriated” by the growing problem in sub-prime auto loans. This may be just a poor choice of words but the simple fact of the matter is that the indebted Americans who dive into deeper debt have got to be either cynics or dumber than a box of rocks. Buying a new car and taking on major debt for an extended period is a choice. You can’t fix stupid and, while lamentable, it is no cause to be infuriated.
    Also, the willingness of the auto industry to accept these sub-prime applicants is a self-inflicted wound and the only reason to be infuriated at that relates to the cost to the taxpayer, if any.

    • Anonymous says:

      I know a few years back good, older cars for a reasonable price could not be found. Now the dealerships are absolutely overflowing with used and new cars. I’ve never seen so many for sale as I have lately. If I was in the market for a car the dealers would be shot a price from me and they would take it or leave it. They’d be lucky to break even with my offer and by the looks of it they would probably take it.

    • Paranoid says:

      as a retired Geologist I take umbridge at your statement: A box of good solid rocks seems to have an IQ of roughly 4 times the average Clinton supporter. Indeed just look at where we would be without rocks, VS where we would be without Clinton supporters.

  15. TorresD30 says:

    Cash for Clunkers anyone?
    The Obama Administration convinced people to sacrifice the equity in their vehicles (many of which were paid for) in exchange for debt. These ‘clunkers’, which were in fact assets, were destroyed leaving people a pile of debt to pay in a shrinking economy. When jobs were lost and then replaced with lower paying part time employment, the debt crisis was exacerbated and is continuing today.

    • Good comment Torres.

      I remember going to the wrecking yards back during the cash for clunker thing and they would not sell any engines from those vehicles.

      I think they said that the “program” was to get more heavy polluters off the road. Just another trick and I believe you nailed it!

    • PeterFrancisco says:

      The truth about those “clunkers” is that many of them never did go to the junkyard; the only ones that did were total and complete pieces of crap. Found that out from a buddy who runs a garage and also has a dealer license to buy at the auctions. Anything that could be re-sold, no matter how old or how many miles, was washed through a string of auction houses and made its way back onto the market. There’s no shortage of “buy here, pay here” outfits willing to finance a 12 year old car with 180k miles to anyone with a pulse.

      A lot of these auto loans, particularly sub-prime, were done through Banco Santander. Wondering how long it will be before they change their name to Sank-O Bantander?

  16. rellik says:

    The part of the article that caught my eye is ITT tech institute failing. I’ve always seen ITT school as a rip off and I’m glad to see them finally shut down. I’m sorry for all the ITT students and the debt they piled up, but when it comes to private un-accredited schools you have to be very discerning.
    Granted I attended some of the best tech schools that can be found(US military) and the price was right, with a guaranteed job, but going to ITT has always been a crap shoot.

  17. “Just like with subprime mortgages, people are being taken advantage of severely, and the end result is going to be catastrophic for the U.S. financial system.”

    -No, the tax payers will experience the “catastrophe” as the finance companies will once again get bailed out.

  18. What are y’all gonna do with all these cars and trucks in a few years?
    ———————————————————

    “Peak oil is real, we’re past the peak, the west is net-energy negative, the entire petroleum industry is insolvent w/nothing to be done about it. The bosses are lying through their teeth hoping the bad news hits somebody else. Hard rationing is coming and private discretionary auto use…gone.”

    ———————-Steve Ludlum———————–

  19. Handsdown, the 89-2000 civic is the most reliable and cheapest vehicle in the road to maintain. $300 for an engine, $100 for a transmission, fuel and tires are cheap too. Mine has over 350k now, just keep rebuilding it and roll on. Wish a good running truck and tractor could be that cheap…

  20. Anonymous says:

    By the time the loan is paid off most of the cars will be junk. The recalls on these newer cars is really unbelievable.

  21. nubria 123 says:

    I got a 2007 toyota Yaris & 2003 ford crew cab both paid for this is my last ones. Getting a wood burner for the house got my needs in faraday bags and junk silver. God took my wife in July so i got nothing to lose you can’t hurt me in anyway. So show me what you got it means nothing to me. You can only kill me once maybe if your real good.

  22. This is my two cents for people with car loans now.

    If for example, the loan is for six years. A lot can happen in six years. Your biggest problem being the loss of income, usually because of job loss or divorce. More than half of marriages end in divorce. Relationships end even more often. People rarely realize beforehand just how much the other persons contribution amounts to until it is gone, even if the other does not have a job outside the home.

    Some guys at my job, came to work every day with lunch boxes and coffee thermos. I know for a fact that their wives, not they, prepared the food and packed their lunch. This habit saved them a ton of money. That money saved went into paying off car loans and mortgages so these guys could retire debt free. The smart ones cut corners off spending and got completely out of debt quickly. But some guys wound up in divorce court. Bad for financial plan.

    One guy killed himself because his harlot left him, sued for the highest child support for their three kids then had his wages garnished when he didn’t pay. Needless to say, this guy demonstrated very very poor judgement in many different areas. He had a huge house and a huge mortgage. He had a couple of car loans too, I think. All of this, he was expected to pay.
    His x must have “charmed” the judge, because the judge really shafted him.

    So my point is this. If you have loans, pay them off ahead of time. Get a second job and use all the money toward paying off those loans. Keep enough cash to make two or three car payments and rent or mortgage payments in case you suddenly find yourself jobless, or your spouse dumps you, or vice versa.

    A second job does not have to be working for someone else. If you are a mechanic and work for someone else, get your own clients on the weekends. I know people who worked 9 to 5 then got a Real Estate License and sold properties at night and weekends when the action is hottest. Others who’s second job was bartender or waiting tables or dish washer. Anything to pay off that additional burden you put on yourself when you got that loan.

    Also, you can buy another car which has no loan attached. Make sure it runs well and everything is repaired that needs to be, then sell the new car to someone who is willing to take over the loan. They get the car for less and you are freed. But first earn some more money so you don’t wind up without a car and unable to get to work. I’ve seen people put the cart before the horse. It always amazes me how many people do things like that.

    ___

  23. swinging richard says:

    Cars and trucks can be found for reasonable prices if you shop around and are willing to view them as transportation and not status.

  24. I have bought several new vehicles overs the years but not since 2004. In my area property taxes on vehicles are absurdly high. Taxes are based on their Blue Book assessed value therefore the newer the vehicle the more tax you pay on it. Locally, people are keeping their vehicles longer causing a drop in tax revenue for the local gov’t, so TPTB are looking for a way to make up the difference. Another crazy expense is the insurance, the rates in my area are unbelievable, especially if you still have payments on it, even if you have a good driving record.
    I always paid off my vehicles early (as soon as I paid for my truck the dealership sent me a letter saying it would be good if I came in to trade off my truck for a brand new one, as I was not being serious I told him only if my trade-in completely paid for a new one because I couldn’t replace my super reliable and well cared-for vehicle with what the Blue Book says it’s worth).
    The only solution is boycott the auto industry. If the average American would practice a little self discipline, and stop seeking instant gratification prices would come down on everything. Stop being a consumer zombie controlled by what’s popular, or faddish because basically no one really cares what you drive anyway.

  25. TnAndy says:

    We generally buy new, and pay cash, latest is a 2011 Outback….but get a long time out of them. Previous car was a 1998 Accord, so 13 years between buys. And now the wife is retire, the Subaru ought to go 20 at least.

    My truck is a 2003 Silverado, and I have no plans for a new one anytime in the next decade. Previous was a 1986 F-150, went 17 years on that one, using it to work every day.

  26. southside says:

    People need to live within their means. I am driving a 20 year old Toyota with 271,000+ miles on it,and literally falling apart.Recently went to a truck dealership who wanted $27,000+ for it. It was a 2009 Ford. Geez,at this point I’m still saving and looking for a better deal. I’m also praying the car holds up until then

  27. Asshat says:

    My ranger runs good. 2004 83000 miles have had it 11 years bought it new. Need a 4 door truck really but the ranger is like a comfortable pair of boots the seat is all broken in. I just can’t part with it. Biggest reason I don’t like new vehicles is they all have smart phone connective technology I don’t want that spy shit and I don’t have a smart phone anyway. i like just a plain pickup with crank Windows bench seat and column shifter you can’t get them anymore.

  28. Tkid68 says:

    The problem is that the auto and finance industry has trained the consumer to worry about monthly payment amount vs. actual vehicle cost. Dealerships make so much money these days its incredible. All you have to do is look at the dealership buildings to see whos making the money. They collude together to get that payment where the customer wants it, as long as you don’t mind a 7 year note. Cheap crap for huge prices!!! It’s the American way these days!!

  29. Old Guy says:

    I mostly drive the 60s and early 70,s chevy pks. Ive got a hoard of them. The most expensive was a 71 3/4 big block engine 4 speed 4 wheel drive. Cheapest $50 65 six three on the tree. estate sale. Installed battery and tires drove it three years. Now its a parts truck.

  30. veritas0823 says:

    Readers of auto purchases.

    Hope you all realize that if no one buys a new car, you won’t have a used car to buy! I buy a new car almost every year. Found that if I buy a new Honda, I can buy one every year for between $3-4k. I drive almost 30,000 miles a year. It comes out to a great deal for me. Bought a 2014 Altima SV for $22K. Sold it for $12K with 60,000 miles this year. Probably not going to buy another Altima. Great car though.

    Honda’s and Toyota’s hold their value. Can’t go wrong.

  31. ITTWreck says:

    ITT tech. Not as “mysterious” as it sounds. It was a for-profit school remember.
    ITT Tech had been sold a few times. Each time the company couldn’t get its act together. The government didn’t want to provide money for fake degrees at a mismanaged school. It was a very poorly run place…many in the industry saw this coming. It was no mystery to anyone in education. There is no conspiracy about ITT tech. A basic search can turn up their past issues.