I'm 4 months away from being done with a car payment. Car is only 4 years old and has 66K miles, so I'm going to be in the clear for at least another 4-5 years.

What's the average price of the car you purchase?

 

The last car that had a payment was $14k & was paid off in about two-and-a-half years.

 

Since then, we bought a $10k Grand Prix & a $6500 Blazer. The former we still have; the latter we sold. The $14k vehicle, the last vehicle we made payments on, I still drive. 215k or so miles.

I'm 4 months away from being done with a car payment. Car is only 4 years old and has 66K miles, so I'm going to be in the clear for at least another 4-5 years.

 

My wife still drives a van we bought in May 2002 that we financed for 3 years. Coming to its end but its been a great vehicle and no car payment for 8 years is nice.

The last car that had a payment was $14k & was paid off in about two-and-a-half years.

 

Since then, we bought a $10k Grand Prix & a $6500 Blazer. The former we still have; the latter we sold. The $14k vehicle, the last vehicle we made payments on, I still drive. 215k or so miles.

 

Dave would be proud.

Dave would be proud.

 

:lol2::lol2::lol2:

 

Dave & I didn't get to know each other until about 2006 or 2007. I always had those avoid debt instincts. He & I disagree on a few things, but that hatred for debt is certainly a shared belief.

My wife still drives a van we bought in May 2002 that we financed for 3 years. Coming to its end but its been a great vehicle and no car payment for 8 years is nice.

 

What kind of van?

What kind of van?

 

Villager

Dave would be proud.

 

At 26, I feel I'm as close to being debt free as possible for someone my age.

 

I have a home mortgage, a car payment (which will be done in December), and that's it. I use my credit cards, but pay the full balance off each month.

 

The main thing I disagree with him on is his philosophy of no debt period. It's just not realistic for the average American to pay cash for things like a house, all vehicles, etc., IMO.

At 26, I feel I'm as close to being debt free as possible for someone my age.

 

I have a home mortgage, a car payment (which will be done in December), and that's it. I use my credit cards, but pay the full balance off each month.

 

The main thing I disagree with him on is his philosophy of no debt period. It's just not realistic for the average American to pay cash for things like a house, all vehicles, etc., IMO.

 

He doesn't discourage home loans, so long as they are 15 years & at a fixed interest rate.

Haven't had a car payment since 1998. 2 cars and a small pick up in the driveway, the oldest is a 2004 Honda Accord with just 96K miles on it - that was a great buy! Don't ever plan on going back to a dealer. Love me some Dave.

At 26, I feel I'm as close to being debt free as possible for someone my age.

 

I have a home mortgage, a car payment (which will be done in December), and that's it. I use my credit cards, but pay the full balance off each month.

 

The main thing I disagree with him on is his philosophy of no debt period. It's just not realistic for the average American to pay cash for things like a house, all vehicles, etc., IMO.

 

As I tell my son (your age) low debt and savings give you options.

He doesn't discourage home loans, so long as they are 15 years & at a fixed interest rate.

 

And that's incredibly unrealistic for the average American family.

And that's incredibly unrealistic for the average American family.

 

I think his point is if you have to go beyond 15 years you can't afford the house to start with.

I think his point is if you have to go beyond 15 years you can't afford the house to start with.

 

I get that. There's a very small % of people who could using his criteria though. It's just unrealistic, and becoming even more so, with the ever increasing tuition costs for college.

 

These kids are graduating school with $50K+ in student loans they have to pay off. Most aren't going to be able to pay those off for at least 5-7 years, and then it'd take another 7-10 years to raise the capital required to get a house with a payment they can afford. People would be looking at mid 30s before they owned a home. That's just not realistic.

And that's incredibly unrealistic for the average American family.

 

The "unrealistic" argument is the one that Ramsey rightly goes after. It is very realistic for the average American family. Most people just don't desire the discipline that is necessary.