Truck debt too much.

[riverwed070707]

I was saying if I were to trade it in on a cheap 10k truck. But then I was thinking if I spend 10k on a truck and lets say I had 2k negative that puts me at 12k. Instead I put that 12k on my current truck. Refinance so the payments drop and then I have a good truck that will last me 10+ years. Its a toyota tacoma and I know they will last.

I'm only thinking about this because if I buy a 10k truck Most all of them are over a 100 thousand miles. So after its paid off it might not last that long maybe 3-4 years. Plus trucks at this price are usually not double cabs and we need a back seat for when we have kids.

Thoughts?

Really need to change your thinking if you're going to get out of this debt situation. First of all, 100k on a truck doesn't mean its only going to last 3-4 years. They last longer than cars. We got a 2004 crew cab F150 2 years ago with 145k miles on it for $14k. DH drives 200+ miles a week for work, we haul our boat and use it for personal and its doing just fine about to cross over 200k. Its had some maintenance issues but those have cost far less than what you're dumping into your monthly payment.

Second of all, while I agree the extended/crew cab is nice, its ridiculous that you would make it a requirement for hypothetical future children, especially when you have another car that could be the family car. You could even have a cheaper, paid off truck and buy another car once kids are a reality for you and it would still all cost less than trying to pay off the current vehicle. You bought too much car for your income - take your losses and correct the situation. In 10 years, you'll be happier to have money in savings and retirement than you will to have a 10 year old truck that you paid double the value for.

[riverwed070707]

I use my truck almost daily. Finding Someone who will pay 31k for a truck might be hard. I'll throw it on craigslist today.

One last thought - because its a new, expensive truck, I'd think you'd widen your pool of buyers if you put it on a site like cars.com rather than craigslist. You'd be surprised how far people will drive for the vehicle they want, just make sure you're pricing it for FSBO and not dealership prices.

[autoxer]

I use my truck almost daily.

Are you using it to earn money?

[bruce101]

Didn't use my truck to make money but me and my wife ride diatribes. Where we ride is free and close so the cost is minimal for the enjoyment we get doing something together.

I sold the truck to a dealership and they gave me full blue book was negative 3 grand but put it on a cc that had a zero balance. My card has a 11% interest rate and I plan on selling some things to pay it off quickly. We ended up getting a single cab 2006 tacoma for 10 grand. It drives great and we are happy with it. We plan on paying it off as fast as possible and then we will be debt free.

[disneysteve]

I sold the truck to toyota was negative 3 grand but put it on a cc that I had nothing on. My card has a 11% interest rate and I plan on selling some things to pay it off quickly. We ended up getting a single cab 2006 tacoma for 10 grand. It drives great and we are happy with it. We plan on paying it off as fast as possible and then we will be debt free.

That's great. The 11% CC is painful but at least you have a plan to pay it off quickly. Stay on top of that.

[bruce101]

That's great. The 11% CC is painful but at least you have a plan to pay it off quickly. Stay on top of that.

Was a better decision instead of a loan. The lowest interest rate on a personal loan is 14% plus a credit hit. Let me tell you 13k in debt feels a lot better than 33k I feel like I can manage it better and once the card is paid off hack away at the truck. I also get a bonus in October so thats a plus.

[bruce101]

Was a better decision instead of a loan. The lowest interest rate on a personal loan is 14% plus a credit hit. Let me tell you 13k in debt feels a lot better than 33k I feel like I can manage it better and once the card is paid off hack away at the truck. I also get a bonus in October so thats a plus.

with the payoff plan and some lump sums of money ill get back from the gap and warranty from the tacoma i will only pay $100 in interest.

[Jluke]

Was a better decision instead of a loan. The lowest interest rate on a personal loan is 14% plus a credit hit. Let me tell you 13k in debt feels a lot better than 33k I feel like I can manage it better and once the card is paid off hack away at the truck. I also get a bonus in October so thats a plus.

Congrats on recognizing a large debt and taking quick actions to reduce it to a manageable amount.

I didn't see anything about your savings, but if you have an EF consider taking some of that to eliminate the 3k CC upfront, then rebuild EF.

[disneysteve]

Was a better decision instead of a loan. The lowest interest rate on a personal loan is 14% plus a credit hit. Let me tell you 13k in debt feels a lot better than 33k I feel like I can manage it better and once the card is paid off hack away at the truck. I also get a bonus in October so thats a plus.

Oh, definitely. Erasing 20K in debt all at once is fantastic. And the 3K on the CC is a relatively small amount that you should be able to clean up pretty quickly, especially if you sell some stuff and rein in any excess spending for a couple of months. I think you've made a great move.

[bruce101]

I have 10 grand in a retirement account that I can't touch and then 1 grand in savings. Id use it towards the card but I like to have a little something in the bank even though its not a lot. Once the trucks paid off were going to save up and get ourself a nice savings blanket.

[BudgetPronto]

I use my truck almost daily. Finding Someone who will pay 31k for a truck might be hard. I'll throw it on craigslist today.

That was a good move. Why own something that you cannot afford?

[bruce101]

Yes Im enjoying the truck and my bank account looking less swamped. Ive even had extra money to do some work to the truck to make it tip top. A guy at work just bought a 33k jeep. I tried to warn him and learn from my mistakes but oh well. I do miss the nice truck but this was a great decision and relived a lot of stress.

[Weird Tolkienish Figure]

Yes Im enjoying the truck and my bank account looking less swamped. Ive even had extra money to do some work to the truck to make it tip top. A guy at work just bought a 33k jeep. I tried to warn him and learn from my mistakes but oh well. I do miss the nice truck but this was a great decision and relived a lot of stress.

You could pay down your debt... especially the "bad debt", the high interest credit card debt... then look for a nice used or (if you can afford it) new truck?

[bruce101]

A little update. So a few weeks after getting my cheaper truck we found out my wife was pregnant. We decided to keep my single cab truck since it would be paid off soon. Im about to get a promotion which will really help out our new family. Its been hard to resist the urge to buy a larger vehicle but I've been doing ok so far. Plus the 190 dollar car payment is nice compared to the one I was paying.

[LivingAlmostLarge]

Um you do NOT need a new truck. You will have a baby and you have a car. You can drive what you have. Second, you will NO LONGER have time to drive Diatribes. You have a BABY. You will be tired, you will be focused on someone other than yourself.

You can have a child in 2 door car. I've done it and many others. You do not need a gas guzzling truck/suv/car. It is nice when it has airbags and safety features but that's just a plus.

Good luck. Seriously cars are big drain on building wealth.

A little update. So a few weeks after getting my cheaper truck we found out my wife was pregnant. We decided to keep my single cab truck since it would be paid off soon. Im about to get a promotion which will really help out our new family. Its been hard to resist the urge to buy a larger vehicle but I've been doing ok so far. Plus the 190 dollar car payment is nice compared to the one I was paying.