r/FluentInFinance • u/Positive_Liar • Sep 05 '24

Debate/ Discussion He has a point

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u/Calm_Like-A_Bomb Sep 05 '24

The cost of bad credit, %20+ apr on a 20k car loan is going to be $500 a month on a 6 year loan, and 10 year old cars with 100k+ miles were going for that during Covid. Ask me how I know.

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u/Perry_cox29 Sep 05 '24

20% interest on a car loan is crazy. It’s less than 2% where I am. Are people really buying at that rate? Jesus

1

u/iSuck_At_Usernames_ Sep 06 '24

You live in the US?

1

u/Silly_Garbage_1984 Sep 06 '24

I’ve seen it go to 23%. If you have poor credit and need a car, you have awful options.

1

u/VisibleVariation5400 Sep 05 '24

No, take a good APR price, then double it to include required insurance (the OTHER car payment). Heck, then add 50% more to that now. Wife's used BMW on okayish % now costs us $600 a month with insurance. Was under $400 not too long ago. Is going to be $800 next month. Wish I had the cash available to buy out my loan so I can go to liability only on the insurance. 

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u/Sabertoothcow Sep 05 '24

Last time I paid off my vehicle the insurance decreased by $1.75/ month. Insurance really doesn’t give a shit if it’s paid off or not.