What is the largest monthly payment you'd take on for a new Tacoma

I think at this point you are making a round about statement based on what I already said earlier. Regardless of what interest anyone pays, when someone agrees to pay "X" dollar amount over "Y" amount of months, the dealer can easliy accomodate you by extending out your payments to a longer term. Interest has little bearing in this issue. With that in mind, a dealer can put you in a vehicle for a 6 year loan as opposed to a 5 year loan. That one year term not counting interest still total thousands of dollars. For instance with the individual above, he agreed to a 6 year loan and will be paying $28K with no interest on a Pre Runner Double Cab...that's the same price one could of paid for a higher price 4x4 if they negotiated prce over term. Interest has little bearing in your argument.

 

I'm not in an argument.

and your points are well noted.

 

YES!! Finally someone who makes sense and knows how to manage money.

 

My payment on my '11 is $0.00

Until March 21st when the first payment is due.
Then its $486.00/month. Financed at 2.67% for 60 months.

To the 'pay cash' crowd out there, consider that many of these people are, as previously mentioned, young. Speaking for myself, I believe in saving until you have the cash, rather than financing. But when you're young you have to take on long-term loans (like a car loan) to help establish credit history. My score is fairly high, due to never making late credit card payments, smart money management, etc. but it wouldn't go much higher until I established a history of longer term financing like a car or mortgage.

Many of the other poster may be in the same boat. So yeah we're spending extra money in interest now, but the higher credit score that these guys are building is going to save them a ton of money later on whem they buy a house. Just my .02

 

There's a lot of other ways to build your credit rather than taking out long term loan on a vehicle. The best way is to make some purchases on a credit card each month and pay the balance in full each month. Either way, you have to establish credit over a length of time, that is the biggest factor. A lot of the young people probably have student loans anyway, like me.

 

Ok so you are paying $1900 in interest over 5 years. Not a lot HOWEVER you will have paid off 75% of that interest after only 3 years meaning the later half of the loan is practically free money. No sense in paying off a 60 month loan after 3 years. You are borrowing in effect $10000 for $300 for the last couple years LOL

You don't need a $27,000 load to "establish credit". In fact IF you have such a loan when applying for a home loan it WILL go against you.

5 years out ..a lot can happen in 60 months. The good thing is you may be in a positive equity position after only a year.

You can establish credit with a $4000 loan just as much and in fact look better. Hows that? Lets say you owe $27,000 and your income is $25,000 a year. That hurts you because you debt to income ratio is terrible.A lot of kids who live home have this issue. It looks irresponsible to a bank looking out 30 years. Most home loans are contingent upon paying off ALL debt before getting the loan unless the debt to income ratio is very favorable especially the front end ratio which is around 35% The back end ratio needs to be 45% of free income AFTER ALL debt plus the house payment and taxes!!!

That means with a $500 truck payment and $1400 house payment PITI plus $100 in reoccurring credit card debt and NO other debt, you already have to make over four thousand dollars a month to even qualify AFTER 20% down!!

Take away the truck payment and that drops to a little over $3000!! HUGE difference. Car payments have dashed the hopes of a lot of home buyers. Buy the Home or Condo first...rent rooms out to buddies THEN use their money to take on that huge car payment using THEIR money and never stop making the payment even after its paid off and you will never make another car payment again.........Worked like a charm for me back when...

 

I don't get it.. Don't you pay a total price. Is this a lease thread?

Basically its asking, what is your income and what other debt obligations do you have.

What the hell is this "payment" stuff. You get the total price, then divide it to where YOU YOU YOU YOU YOU YOU YOU have budgeted YOUR YOUR YOUR money, how does this go on for pages?

If you want to learn how to build credit, ask the credit ratings bureaus. They know, others don't, and they mandatorily have FAQ pages talking all about it.

Just checked my original sales bill. $1182 per month. I changed banks the following monday and they didn't offer a 1 or 2 year loan.. so I paid it off.

 

Because , apparently the only correct answer is to just pull $40 000 out of your ass and pay cash otherwise " you don't deserve it " , or " can't afford it " .

 

what does that have to do with what someone else should pay. The guy could be addicted to gambling, a mormon or whatever.. WHo knows what he can afford. The payment is all about what YOU can afford.. not what the payment is to someone else.

You can't ask someone who isn't your accountant to be telling you what you can afford. Someone seems to be missing the point. For instance, my kid can't afford anything for a payment.. he can only offer up cleaning his room and doing the dishes for it... so .. that...

And ya shouldn't be paying no 40k for a tacoma. Even in canada, or do they get you up there? And it doesn't come out of your ass... that's a checkbook in the back pocket. And yea.. there seem to be tons of people that can't afford it on here.

 

I agree

And yes unfortunately A DCLB Sport 4x4 in Canada is over $40 K

 

Well, they got to pull them all the way up there.. Its cheaper to drive south.

 

Duh , it's all downhill .

 

double entendre eh

 

$0, i bought a tacoma brand new once and will never do it again. why buy a brand new vehicle that loses 30% of its value after 2 years. wait 2 years and buy a tacoma that is 2 years old, still pretty much new and 30% cheaper than a new one.

 

INDEED. I wish I had that kind of self control. Though I've only got about 6 new Cars under my belt out of about 60.

But I did take an oath to never get another mortgage. What the hell with the front loaded interest and all. buy a 70k car over 6 years pay something like 90 or whatever... Buy a 70k house... pay 272000 over 30? that's sensical. Its better to buy a house on a credit card.

 

$21K for a $30 K Tacoma after two years? Surely you jest LOL


According to this thread and others used Tacomas cost the same or more than new.....

Of course all of us who bought used and had a lot of choices did not find that to be the case at all..only those who bought new.......Hmmmmmm

Actually that 30% is trade in value not retail. retail is about 20% less which is good enough,

 

$685 canuck bucks...over 3 years on 2.9% financing. No breaks for us up north, although I think they are finally offering $500 cash back or some such bullshit this year...I missed that deal by a year or so, whatever...

 

i pay 437$ right now, wish it was a 4x4.... maybe ill trade soon as the wifes car is paid off. its a 2011 altima loaded 250$ a month 0% i put cash for half of it. my truck was a stupid right out of college first job buy, got excited and now hate the payment. ha

 

Half of the used cars for sale on used car lots are repo's
doesn't matter if the car, truck is worth 3 times more than what you owe on it, when its repo'ed you get nothing!
thats too bad, some poor guy paying $500 / month, he only has 6 months left on his loan till its paid off but his truck is worth $15K, then he loses his job, can't make the $500 payment and they take his truck and he gets nothing!
happens all the time!
The bank or the finance co you deal with, They LOVE doing that! thats how they make the big money, they keep their eye on you, they know you lost your job even if you tell nobody, then they rub their hands together with an evil laugh aahhaa ahaha!
Banks are evil and heartless,, they are NOT your friend ,, always remember that!