Would it be a bad idea? to take out a student loan to buy a car?

[Heisenberg]

So I've got an older Jeep YJ as a secondary vehicle, but lately I've really been wanting to upgrade to a newer TJ. I'm assuming it would be totally financially irresponsible to sell my YJ, get a loan for ~8k and buy a TJ?

 

[iamwiz82]

I'll trade you your YJ and cash for my TJ

http://www.infinitemile.com/gallery/The-Badlands/IMG_1169

 

[FoBoT]

what do you mean by "secondary vehicle" ? you have 2 cars?

 

[amdforever2]

Why not buy the auto with...........an auto loan?

 

[Heisenberg]

Originally posted by: iamwiz82
I'll trade you your YJ and cash for my TJ

http://www.infinitemile.com/gallery/The-Badlands/IMG_1169

You're really not helping.

what do you mean by "secondary vehicle" ? you have 2 cars?

Err...actually three.

Why not buy the auto with...........an auto loan?

Because some student loans are subsidized as long as you're in school.

 

[iamwiz82]

Originally posted by: Heisenberg

Originally posted by: iamwiz82
I'll trade you your YJ and cash for my TJ

http://www.infinitemile.com/gallery/The-Badlands/IMG_1169

You're really not helping.

And I'm only asking $9k!

 

[m2kewl]

i did that when i was in school. took out a $3,700 stafford loan to help get a beater.

 

[FoBoT]

if you have 3 cars, getting a student loan to upgrade one of them is a Bad Idea?

 

[Heisenberg]

Originally posted by: iamwiz82
And I'm only asking $9k!

Why are you selling it?

 

[vi edit]

While it isn't exactly ethical (and maybe not even legal depending on the loan) it's not a bad idea if you *need* a car. Student loans have very low and tax deductible rates.

Car loans do not.

 

[Lola]

Originally posted by: Heisenberg

Originally posted by: iamwiz82
And I'm only asking $9k!

Why are you selling it?

Toys are always the thing to go first. We just bought a house and financed our own wedding.
we have to sell. i will miss driving topless.

 

[FoBoT]

Originally posted by: LolaWiz
i will miss driving topless.

uh, well, that could be misunderstood, but sounds nice either way you meant it

 

[Lola]

Originally posted by: FoBoT

Originally posted by: LolaWiz
i will miss driving topless.

uh, well, that could be misunderstood, but sounds nice either way you meant it

 

[habib89]

since you have 3 cars, just sell it... why do you even have 3 cars? how can you justify it? 2 i can sorta understand.. you have your weekend car for fun that isn't economical on the gas, and then you have your high mpg car that you use as a commuter, but 3??

 

[Heisenberg]

Originally posted by: FoBoT
if you have 3 cars, getting a student loan to upgrade one of them is a Bad Idea?

Yeah I figured.
/shakes fist in air at common sense and fiscal responsibility

 

[Kalbi]

Originally posted by: amdforever2
Why not buy the auto with...........an auto loan?

6% interest rate vs 2%

 

[sciencewhiz]

My auto loan is lower interest then my student loan (1.9% compared to 3.77%). New Direct/Stafford loans have an interest rate of 4.7%-5.2% and perkins loans have an interest rate of 5%. Private student loans will be even worse.