Having a vehicle paid off is so great

Just take a look at some of the choises some individuals have made here. https://www.leasetrader.com/search-results
It makes me so greatfull that my Tundra is paid off...And for those who are still paying off your Tundra; Carry on

 

car payment? whats that?

i couldn't justify the cost of a new car... and I'm surrounded by them at work.. i find the older stuff to be more entertaining

 

Wife and I set out on a planned adventure to pay off our 2019 Honda Passport and my 2019 Tundra in as little time as possible. We just paid off her Passport after 23 months of payments, will have my truck paid off in 10-11 more months by snowballing her payment in with what extra we were putting on her car. Can't wait to be debt free of car payments!

 

That's what I'm talking about! I was literally going to start this post a few days ago when I paid my truck off. It took me 29 months out of a 60 month term. In that time I:
Lost a job
Started working cash jobs
Started a small business
Made it through 1st round of Rona
Ripped my Achilles heel (out for 5 months)
Wife lost job
If we did it through all that ANYONE can do it. To everyone still working on paying theirs off just stick to it. If you can afford it NEVER make the minimum payment. It's all about how bad you want it. Do you really need that beer or quick trip run?...I found it easiest to pay weekly.

 

I like the Ferrari lease for $4700/mo! I financed my Tundra at 0.9% in March of 2019. This is a little finance lesson I teach my kids.

My Tundra was $32k. I had the cash at the time but I chose to finance at low interest and left the $32k in an investment account.

Let’s say you put it in a S&P 500 index fund which returned 49% over the last two years. That’s $16,000 in growth. Had I paid for the Tundra in full, I would have missed the $16,000 in return on my investment.

Now you could deposit what would have been your truck payments into an investment account over that two years, but the returns wouldn’t be nearly as high.

To each his own. With such low interest rates I’d rather not have my money tied up in a depreciating asset.

 

Definitely another great option, but with the uncertainty in my industry ( I work in a coal fired plant), I'd rather work my way towards being debt free and not having payments / paying on interest (our interest rates were around 3% I believe on vehicles) than playing my money in the stock market and potentially losing it. And really, I'd rather have my money in paying down and paying off a depreciating asset ASAP. But again, totally can't argue with you wanting to make money. It just doesn't prioritize higher than being debt free for me.

 

That is a good point. I bought a used vehicle a while back and a week later I was laid off. Fortunately I called my bank and they were able to cancel the loan and take the vehicle. Didn’t even hit my credit score. Financial certainty and being debt-free are satisfying.

 

I'm just here to post that my shit is paid off also, and I'm loving it!!

 

Just paid off mine after 26 months. Very blessed to be able to pay it off so quickly. Highly recommended!

 

Theres plenty of people afraid to even use credit cards, because they are somehow evil. Not knocking anyone but I think theres too many people who don't really know how these things work and are unwilling to learn. You made the right move. I blame David Ramsey for a lot of the problems. He preaches a very simple message designed to stop people from overloading CC's and never paying them back - people with no impulse control. Then people go overboard consuming his rhetoric and are afraid to have any sort of outstanding credit.

 

I don't know. My wife got on the Dave Ramsey kick to knock out her student loans. She's got us down to the Tundra, one small student loan, and the house and we'll be 100% debt free. I can't knock his methods.

 

I'm with you and bought my truck with cash but it all depends on what you want. One of my former co-workers and his wife love fast cars. I believe they own their other vehicles outright (and he only buys things he can sell for more than he bought them for) but they're currently leasing a Gallardo.

 

I made my last car payment over a decade ago.

 

Random question, what does the red line through your name signify?
Also, I’ll be paid off on my 2019 in 9 months. I double my payment always and it feeds forward so I don’t actually owe a payment for over a year. If I get in trouble I can just ride that out as needed.

 

I don’t know about Dave Ramsey...

But credit cards can be a double edge sword. One needs to be highly diligent and structured when it comes to their use. Meaning the balance has to be paid off monthly PERIOD. I got quite a few cards open but I also get a lot of cash back each month because I charge everything. However I haven’t paid a “finance” charge in over 12 years. Most vendors incorporate the credit card fees in their prices. With a few exceptions of course...gas being one.

Credit cards can be HIGHLY dangerous but can also be very effective in saving money. Many cards have a 12 or 15 0% APR. let’s said your planning a big trip for 7.5k. Sit on their money for 15 months while you bank the interest or save the money. The higher credit limits with multiple accounts with a LOW debt to credit ratio will be beneficial to your credit score.

 

Not having payments is the reason my truck is a 2005. I did the truck payments for awhile, but when I got burned by my Ford I had enough. I bought my Tundra with my line of credit for $15K and paid it off in a year. I'd love a 2017, but I can't get comfortable with $500 - $600/month payments again, especially working in the oil/gas industry in Canada which is a dying industry here and highly unstable. I've been laid off for 2 months during each of the last 2 years. Our only debt now is our mortgage, a couple grand for a training course I took, a few grand left on The Woman's car and a few grand left on her student loan. Should be completely clear other than the mortgage by the end of 2021...assuming I don't get laid off again...

I'd love to be completely debt free. The feeling of not owing anything to anyone is great. The day we pay off the mortgage will be sweet. Only 20 - 22 years to go.

 

It's to honour firefighters. You can also get blue for law enforcement or green for military (and possibly others as well).

 

I came from tacomaworld and the dreaded line meant banned if I remember correct. Good to know, and Thank you, appreciate your service.

 

Black is for people who were banned and it's my brother who's a volunteer.

 

And theres nothing wrong with being prudent. Its when people go overboard and are too afraid to leverage their credit that things go from smart to bad idea.

 

I agree, it is like freedom to be debt free. I am also very grateful to pay mine off last month.

 

Couldn't agree more

Mine was laid off fhe moment I drove it off the lot.

 

I agree as well.

One payment is all I am willing to make!

 

My vehicle is not paid off.

BUT

1. NO credit card debt.
2. House is on a 15 year loan, we make double payments on it, AND we're 'right side up' by 10's of 1000's of $'s.
3. Have money in savings, investments, as well as stuff with intrinsic value (e.g., gold/silver)
4. Making triple/quadruple payments on the Tundra to get it paid off in 18 months to 2 years instead of 6 years.

 

My wife and I paid off both our vehicles last summer with proceeds from the sale of our house. Before we could even get used to the money, we diverted it to our retirement accounts. We now have a new mortgage. It's the only debt we have, and now that we're in our 30s, we're finally saving for retirement. Life is good.

This is the third time we've been out of debt (other than mortgage) in our 13 years together. Maybe I'm one of the ones @Pine Tree State referred to. Neither my wife nor myself have ever been very high earners, and occasionally throughout our history we've allowed ourselves the indulgence to make a big purchase with credit, or even a handful of small ones. We've never carried a balance more than a few grand at a time, but it has always led been crippling to our finances. Once we live beyond our means for a month or two and have a balance, then we're in the vicious cycle they want you to be, i.e. we're used to the new grander, more expensive lifestyle, and on top of our regular expenses, we now have credit card payment, which means we have to keep using the CC to make ends meet, let alone maintain the lifestyle. We have to wait it out until I get a bonus or have a three-paycheck month to get out of the pattern. It sucks.

 

Bought wife a ‘20 limited 4Runner and owed ~24k on it. Went in November for her 5k oil change. I walked out with a ‘21 tundra that I got a deal on PLUS stupid trade in ( unseen other than pics ) for my ‘15 taco ( demand of the taco plus used hard to get because of COVId ). I made 2 tundra payments and said enough was enough. ~3 weeks ago I paid it off and then a week later paid off the 4Runner. It was a great feeling ( yet scary to let the money go ) and now have a smile every time I see/get into the trucks. Not that I didn’t before but I REALLY like that “mod”. Now we can tackle the mortgage.

 

Agree 100%... I remember when I paid off my Tacoma it was liberating. Currently do have a payment on the Tundra but I'm making more than the minimum payment to get there quicker.

 

It is always a good time to find ways to reduce the flow of money out of your account(s).

 

Yeah, I don't know how people make payments with interest.

Just end up waiting a-little later and always pay cash. #youngoldschooler

 

Amen. Don’t spend beyond your means is always a sound piece of advice.