When A Car Salesman Sees You Is He Thinking “TUNA!!!”
I see it every day people come in with a monthly budget, but the car they want is rarely within it.
The salesman does what he is supposed to do. The finance manager does the rest.
350 a month for 60 months becomes 425 for 72 months
15 years ago 250 a month for 48 became 299 for 60
25 years ago 150 for 36 became 180 for 48
Luke 12:15 Then he said to them, “Watch out! Be on your guard against all kinds of greed; a man’s life does not consist in the abundance of his possessions.”
On it goes; people don’t have a plan and stick with it.
By the way 72 x 425 you pay back $30,600.00
vs. 350 x 60 you pay back $21,000.00
You just upped your pay back $9,600.00 one third of the total price
seemed so easy just $75 a month.
Proverbs 11:14 Where [there is] no counsel, the people fall; But in the multitude of counselors [there is] safety.
Solution:
Develop your own long term transportation plan
How many years of ownership?
Total of payments
Total maintenance over the life of the car
Total Insurance
Total fuel cost
Yearly investment
Vehicle: 2008 Chevrolet Impala program car original price $15,000 15Kmiles
How many miles a year? 15k miles a year 165,000 total miles with 15k originally
How many years of ownership? 10 years
Total of payments? 60×300 = $18,000.00
Total maintenance over the life of the car
$900 in oil changes
$2,400 in major services
$1,200 in tires
$3,500 in repairs
Total maintenance = $8,000.00
Total Insurance for 10 Years = $3,000.00
Total Fuel cost for 10 Years = $25,000.00
Registration and Taxes for 10 Years = $3,000.00
Total Cost of Ownership for 10 years $57,000.00
Depreciated to Zero
Yearly investment = $5,700.00
Example #2
Buy the Same Car New and Keep it only 5 years original price after discount and rebates $22,000
How many miles a year? 15k miles a year 75,000 total miles
How many years of ownership? 5 years
Total of payments? 72×400 = $28,800.00
Total maintenance over the life of the car
$400 in oil changes
$800 in major services
$500 in tires
$900 in repairs
Total maintenance = $2,600.00
Total Insurance for 5 Years = $1,500.00
Total Fuel cost for 10 Years = $12,500.00
Registration and Taxes for 10 Years = $1,900.00
Total Cost of Ownership for 10 years $47,300.00
Equity to Trade $3,000.00
Loan Balance with one year left to pay $3,500.00
Current Market Value (selling it Yourself) $6,500.00
Total Investment less Current Equity $44,300.00
Yearly investment = $8,860.00
Savings in keeping the car for another 5 years= $15,800.00
Phil 4:6-7
2 Comments on “When A Car Salesman Sees You Is He Thinking “TUNA!!!””
My current car is mid-80’s toyota corolla. I fished it out of the weeds at a neighbor’s house 5 years ago and gave him $125.00 for it. It had a blown head gasket that I fixed and put it back on the road. My previous car was the same, a Chevy nova that I fished out of a junkyard for $500.00 and drove it 9 1/2 years…….
“when they see me they think, “turkey!”"