re: Paying off everything off while young

quote:

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I bought my first truck out of school and paid it off about a year later. Every vehicle from now on will be cash.

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The problem with vehicle purchases isn't how you pay for it, it's that the asset depreciates. You lose far more on asset value buying new than you do on interest. If you're serious about saving money, drive whatever you buy until it turns into a pile of rust.

If you qualify for a "good credit" rate then it doesn't really matter whether you pay cash or finance it. If you don't qualify for that then pay cash for everything.