Re:Renting is Throwing Money Away, Right? (2015)
by ShadowFaxSam on Monday April 23, 2018 @08:40AM
(#16902837)
A 3 year term would not have been possible at my then current salary to finance the car. The standard term period (when I was buying) was 5-5.5 years.
In hindsight its easy to look back on what I could have done differently, but I guess that's point. When first graduating, I wouldn't recommend entering into even a medium term financial commitment as things can change so quickly within your first few years in the professional world.
Re:Renting is Throwing Money Away, Right? (2015)
by spicymaki on Monday April 23, 2018 @11:34AM
(#16904308)
You could have also purchased a used vehicle at a 3 year term. I bought a new vehicle out of college and paid an high interest rate with expensive insurance over a 5 year term. It would have been great to reinvest that savings into the future.
> if you do exit early, you typically only have to make the next 6 months of payments.
Two things here. 1) I doubt that most leases will let you terminate the contract that early, and 2) if you can, you still have 6 months of payments, which if you compare to the loss you made on your car selling it, the numbers probably compare (deliberately).
Ultimately, you made medium term financial commitment and that's a bad decision if you need to exit it early.