Hi, fellow novice frugal guy here. I am in need of a car right now, and I got offered a new elantra from a friend who works at a dealer. I have just barely begun to increase my wealth, and have been reading a lot about budgeting, and frugality etc. I want to make a smart choice here, but I keep going back and forth about what is the best thing to do. My dealer is selling it in 18500. I convinced him about financing part of it with a credit card with no APR till next year, and putting some spend on my newly acquired chase preferred card and amex gold card. So I would be financing like 3-4k with cc and the rest with a loan at a penfed credit union (hopefully at a 3% rate).
Now, in my current spend and salary, I could pay 300-400$ with no mayor issues. I dont make much I guess (30-35k /yr) but I will probably make more in the future (as I am nearly grad entry level job) I have 1k monthly expenses which I can reduce with some tweaks. But I am not sure if this is optimal, in the light of the frugal lifestyle. Right now almost 50% of my salary goes to savings, by doing this Id be reducing it to at least 25%. Is this a good choice? should I wait for a better deal, or a used car?
May 25, 2017 at 01:28AM
