Wondering about the age of our Z owners
03-04-2010, 12:41 PM
#2441
Similarly, the bank doesn't have to be financing your car in order to have a lien on your title. As an example, I currently have one of my vehicles under a lien to secure a business loan (the vehicle was fully paid off before I entered the new loan).
The agreement we entered was that if I default on the business loan (in no way related to a vehicle purchase), that I will surrender the vehicle to satisfy it's market value worth of the debt. I have the option of trading an asset of equal or greater value to release the lien on that vehicle, and don't have to keep full coverage insurance on it if I don't want.
They in no way own my other vehicle.
The agreement we entered was that if I default on the business loan (in no way related to a vehicle purchase), that I will surrender the vehicle to satisfy it's market value worth of the debt. I have the option of trading an asset of equal or greater value to release the lien on that vehicle, and don't have to keep full coverage insurance on it if I don't want.
They in no way own my other vehicle.
03-04-2010, 02:19 PM
#2444
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You can tell people you own my house for all that I care.
Cool story bro!
Not many people pay cash for a house. And not all that many pay cash for a car. i could have, but at the time I could invest the money for a better rate of return than the current interest rate on the loan. Made perfect sense to me - and I still always said I own my car, just like my house.
Last edited by JEKL; 03-04-2010 at 04:10 PM.
03-04-2010, 02:45 PM
#2445
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You shouldn't guess so much. Did that over 10 years ago. Was also a retail lender and a credit trainer for almost 10 years. So I pretty much have as good, if not better, understanding of leins than anyone else in this thread.
03-04-2010, 04:00 PM
#2447
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So I can't say I am a homeowner then either, huh? Not many people pay cash for a house. And not all that many pay cash for a car. i could have, but at the time I could invest the money for a better rate of return than the current interest rate on the loan. Made perfect sense to me - and I still always said I own my car, just like my house.
03-04-2010, 04:06 PM
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03-04-2010, 04:06 PM
#2449
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If you sell your car for $20,000 and you owe the bank $19,000, what did you really own? 5% of your car? By my definition, you didn't own chit.
And in case you haven't picked up on it yet, I am not talking about the legal definition of ownership. My original comment was directed at someone who intentionally worded his comment to portray a situation that in all likelyhood wasn't accurate.
03-05-2010, 07:57 AM
#2452
Just to make sure I understand your opinion, when someone finances the full OTD cost of a car, you consider them to be the owner instead of the one who paid every single penny of it? Interesting concept!
If you sell your car for $20,000 and you owe the bank $19,000, what did you really own? 5% of your car? By my definition, you didn't own chit.
If you sell your car for $20,000 and you owe the bank $19,000, what did you really own? 5% of your car? By my definition, you didn't own chit.
You're grasping at straws, bro.
03-05-2010, 08:19 AM
#2453
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Or maybe you are one of the many people in this country living ghetto rich. The kind of person who buys everything on credit and has a lot of possessions, however, when you look at the person's financial statement they are worth $0. But hey, you "own" a lot of cool stuff. 
03-05-2010, 08:48 AM
#2456
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I am just coming from the point of view of someone who, for a decade, dealt with so people that try to live beyond their means. They become so over extended that when the bottom falls out, all these things that they "own" get repossed or foreclosed. (Which is odd, because how can you take something that I own?
) Do that as long as I did and you become jaded to what ownership means.
03-05-2010, 09:03 AM
#2457
Oh it is, I was just addressing the questions and comments that were directed towards me. Boone's Farm is just upset because someone pointed out that his poor *** may "own" some things but he isn't worth chit.
I am just coming from the point of view of someone who, for a decade, dealt with so people that try to live beyond their means. They become so over extended that when the bottom falls out, all these things that they "own" get repossed or foreclosed. (Which is odd, because how can you take something that I own?) Do that as long as I did and you become jaded to what ownership means.
I am just coming from the point of view of someone who, for a decade, dealt with so people that try to live beyond their means. They become so over extended that when the bottom falls out, all these things that they "own" get repossed or foreclosed. (Which is odd, because how can you take something that I own?
) Do that as long as I did and you become jaded to what ownership means.The problem is, you're equating "financing" with "poor".
The APY on my account averaged 6.1% over the last 4 years. The APR on my auto loan is 4.1%. A little math shows you that the balance of my account after 5 years will be higher than it would be if I paid cash up front for the car. Considering I would keep full-coverage insurance on it regardless, I'm out nothing by financing. In fact, the financing helps my credit rating even more. That's more than a fair trade for me, considering that the loan only cost $2,000 over 5 years.
Your argument really falls apart when you consider that many automakers offer 0% APR over the life of the loan on new vehicles. In your mind it's smarter to pay everything up front than it is to pay everything over 4 years and collect the interest on those tens of thousands of dollars. Im currently shopping around for 0% APR on a car for my wife. There's no point in pulling money from my investments when they're gaining interest to pay for something that's going to cost $0 to finance.
That's like going to mcdonalds, handing them $1,000, and saying "just don't charge me for my next 200 value meals."
I've presented many views on this subject, so you can call me poor all you want. What am I supposed to do, show you my financial records? I think not.
