UnThreaded | Threaded | Whole Thread (21) | Ignore Thread Prev Thread | Prev | Next | Next Thread
Author: FoolishVenturist Two stars, 250 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 308445  
Subject: Re: Using my credit to finance a car Date: 5/23/1998 9:16 AM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
"This is very tempting and I may go with it to get my used car. Remember, I'm not buying a new car or some used car like 25k. I'm planning to get a Honda Accord, either 1994 or 1995 in the range from 7k - 12k."

In that case, I suggest you consider the passbook loan idea I mentioned or simply buying the car by writing a check on margin. Consider the wise advice you have received on this TMF message board- particularly the fact that margin interest is tax deductible while interest on a credit card is not. The comparison is 8% margin interest which is deductible as opposed to 4.9% which is not only not deductible, but while blows up to double digit rates in a few short months. Plus, psychologically, if you do the margin, you will still retain the underlying securities should they appreciate in value.

Foolish Venturist
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (21) | Ignore Thread Prev Thread | Prev | Next | Next Thread

Announcements

TMF Credit Center
The Motley Fool Credit Center arms you with real tools and simple messages, that will help you in every credit situation.
Post of the Day:
Value Hounds

Mylan Transitioning from Generics
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement