my car is 7 years old with 70k miles. so i only should expect 30-50k miles more out of this car?
This is simply wrong. I bought a used car in late 2015, and they didn't verify anything I said. No letter from my employer, no proof that I own property, nothing. If I really wanted to, I could tell them I make 200k per year, and they would write that down as if it were fact. I'm sure that lending practice will backfire at some point.3. There are no NINJA loans in auto.
Which is apparently a good thing. If the central bank is to be believed, savings are bad. You should live on the brink of bankruptcy at all times. You should have zero savings, zero investments, and lots of debt. Of course, this naturally means that small crises turn into epic disasters because one person losing their job for 5 months could cause bankruptcy and forced liquidation of their assets, but who cares about things like the future. Get out there and spend!My opinion is that household savings are terrible as is household leverage. Many people have already bet the farm and have thin budgets.
Depends on how you qualify. Prime credits will not verify as much but you'd be surprised at how much they can find out without calling. Most tap into data providers within seconds and can get more data on you from your SSN than your parents know. It isn't mortgage level verification but it isn't a mortgage level risk. Liquidity for cars is much higher and repo is very easy relative to houses, so you don't need the same level of checking.This is simply wrong. I bought a used car in late 2015, and they didn't verify anything I said. No letter from my employer, no proof that I own property, nothing. If I really wanted to, I could tell them I make 200k per year, and they would write that down as if it were fact. I'm sure that lending practice will backfire at some point.
It's hard to feel any pitty for the idiots who buy junk bonds. This is not a new scam. Seth Klarman's book was published in 1991, and even that book talked about the scam of junk bonds in the 1980's. They became popular when interest rates started falling, and investors were chasing yield. That was 25-30 years ago! It doesn't matter. People forget anything that happened more than 3 days ago, so they fall for the same scam every time. Warn people about an impending collapse in junk bonds? Why? They were warned every year for the past 25 years. By this point, the only people piling into them are people who want to lose money.
Which is apparently a good thing. If the central bank is to be believed, savings are bad. You should live on the brink of bankruptcy at all times. You should have zero savings, zero investments, and lots of debt. Of course, this naturally means that small crises turn into epic disasters because one person losing their job for 5 months could cause bankruptcy and forced liquidation of their assets, but who cares about things like the future. Get out there and spend!
I guess I'm just an old person stuck in my old ways. As an enemy of central banking, I have about 3 years of income saved up in various investment accounts. I could be unemployed for a year and it would have no effect on my spending levels. I would still get haircuts at the same place with the same frequency, buy the same food, drive the same car, watch the same movies. If bankers are to be believed, this is bad. Stability is bad. The entire economy should be a tinderbox waiting for a spark.
This is simply wrong. I bought a used car in late 2015, and they didn't verify anything I said. No letter from my employer, no proof that I own property, nothing. If I really wanted to, I could tell them I make 200k per year, and they would write that down as if it were fact. I'm sure that lending practice will backfire at some point.
It must depend on the dealership. When I bought my Lexus this past February I had to provide information so they could run a credit check even though I was paying cash for the car.
It's probably to give reasonable assurance that the money is not stolen. The car company just wants to sell cars, but they don't want the government asking them why they would allow someone to hand over $20,000 in cash with no verification of where it came from. Maybe the government could declare that the cash is stolen property, so the company loses both the cash and the car. If it passes through a bank, they could point the finger at the bank. "The cash given to us by the bank via certified check is completely legal. The bank is the one holding the stolen cash. Go after them."I would tell them to go spit. Do you want my money or not? I fully plan on doing this the next time I go to buy a car.
I would tell them to go spit. Do you want my money or not? I fully plan on doing this the next time I go to buy a car.
I would tell them to go spit. Do you want my money or not? I fully plan on doing this the next time I go to buy a car.
You mean a cheque, right?
Yeah, a certified check. If they dont have the paperwork done in the time that it takes me to go to the bank and get a certified check, then they wont have a sale.
No kidding. We've been in a recession for about 15 years now. It's "normal" for 30 year olds to live with their parents. Old people are forced out of retirement just to keep the lights on.This current economic cycle is getting a bit long winded
There's always negative rates and money printing. I'm personally betting on this happening.Not really any ammunition left since rates are still basically at zero.
Get used to it. The price of everything is based on the price of money. That means interest rates. If the fed rate is zero, and the 10 year treasury pays 2%, it's not reasonable to expect stocks to pay 10% dividends. The prices of stocks are bid up until the dividend is closer to the treasury rate. 4-5% dividend could be considered "good" in these circumstances.Tired of sky high overvaluations in stock prices.
No kidding. We've been in a recession for about 15 years now. It's "normal" for 30 year olds to live with their parents. Old people are forced out of retirement just to keep the lights on.
There's always negative rates and money printing. I'm personally betting on this happening.
Get used to it. The price of everything is based on the price of money. That means interest rates. If the fed rate is zero, and the 10 year treasury pays 2%, it's not reasonable to expect stocks to pay 10% dividends. The prices of stocks are bid up until the dividend is closer to the treasury rate. 4-5% dividend could be considered "good" in these circumstances.
Asset prices being tied to interest rates are why the fed can't raise rates without causing a very severe recession. They raised rates in 1937, and it cause a depression within a depression. They raised rates last December, and the stock market immediately went into a tailspin. Then the fed backtracked and talked about how they might delay the rate hikes and they'll look at indicators and see how things go and blah blah blah. They will never normalize the rates. Even Bernanke said they won't be normalized in his life time. Unless he has stage 4 cancer and he's playing an epic joke on us, that means decades of this nonsense.
Without encountering semi-regular significant repair bills? Yes.my car is 7 years old with 70k miles. so i only should expect 30-50k miles more out of this car?
Without encountering semi-regular significant repair bills? Yes.
If you can't pay off a car in 5 years / 100k, you probably can't afford the payment and the repairs too.