Should I get a loan or save up?

[Zanzer]

Personally I wouldn't take out a loan, but I hate having a bill. Although with that being said I did take out a loan to buy my F-450 rollback. But I only did that because it was a smokin deal and I make money with the truck.

If you want to build credit you can think about doing what I did back in the day when I had none and realized that one day I may need some. I wanted a new 4 wheeler and I had saved up enough cash to go buy it out right but then I got to thinking that if I always did this I wasn't building any credit and there may come a day when I may need it. So what I did was I went to the bank and deposited the money in a new account and then took out a secured personal loan against it. The 4 wheeler was a Yamaha Blaster so it was only $3500 new off the showroom floor so my payments were super low and it only took 3 years to pay it off. Plus the personal loan got me a better interest rate so I only paid back less than $200 over the principle. After that I was flooded with credit card applications.

Another thing I did was I only got one high limit credit card and I got it through my bank as well. It's easier because if there's any problems I can just go there to straighten it out instead of having to deal with a call center. Also, this is important, I NEVER carry a balance. If I buy something with the card I make sure I have the money to cover it and pay it off at the end of the month. Carrying a balance from month to month and adding more to it with purchases is what gets people swamped in credit card debt. Credit card companies make the rules up as they go along so don't give them any leverage to use against you.

[devon527]

Wow thanks guys! I think I will keep saving up and keep it cash. Glad to have all your input! I was on the fence about it, my dad told me not to do it even though he bought a 50,000 dollar Ford diesel in 03. Lol

[skimsucka]

yea man get your self something paid off and try to do things have fun go places or do things mini trips . Could also go the saving route and save for a house or later down road the diesel

[villageidiot]

if you take a loan, do it with no less than 50% down.

i have made a lot of bad financial decisions in my life. used to make a lot of money, bought many new cars, bought a house, desert toys, all sorts of rad stuff....... thats all changed

my new mantra is cash only, or at least 50% down, that way, the bank does not have the upper hand in the loan. hope that helps.

[devon527]

if you take a loan, do it with no less than 50% down.

i have made a lot of bad financial decisions in my life. used to make a lot of money, bought many new cars, bought a house, desert toys, all sorts of rad stuff....... thats all changed

my new mantra is cash only, or at least 50% down, that way, the bank does not have the upper hand in the loan. hope that helps.

Thats very wise villageidiot, I completely agree.