Don’t feel discouraged..

it’s difficult starting out to get to babystep 1. And developing a budget and staying away from credt cards is no easy task when it isnt yet habit!

If you make a mistake, just start over. Every mistake is a chance to learn how to do it better next time. I had a lot of trouble developing a budget we could stick to… it was even a few months before I could successfully fill my envelopes all the way. But once I had that EF in the bank and started paying off credit cards, I felt a lot more secure and seemed to have more money. You don’t realize that when you use credit, you spend more than you would otherwise, and everything costs more due to interest. When you use cash, you end up buying less and saving the interest payment each purchase adds up.

Keep us updated if you have any troubles or can’t seem to make ends meet. Everyone here has a lot of useful tips!

It goes back to the NEED vs want

Another few things to consider. You KNOW the vehicle you have now, you don’t know this SUV, you don’t know what repairs have been done or need to be done on it, while you do on the vehicle you currently own.

Also, SUVs tend to be a higher insurance rate, and newer vehicles generally cost more to insure than old ones. Many companies will require you to pay the first month of insurance up front on a new vehicle, even if you are already insured with them. They will also run a credit check, do you want anyone running a credit check right now? Remember your credit rating generally goes down as you pay off debt, which equals higher insurance rates. The more credit checks ran the lower your rate goes, and they will run a credit check for the new loan as well.

Plus then you have to consider the cost of sales ads to sell your existing one, excise tax and tags for the new vehicle. If you have to replace any parts or tires on either one, which is going to be more expensive parts wise? There is a lot more to compare besides gas mileage and current loan rates.

Speaking of loan rates are you certain you can get another loan and if you do what will the interest rate be? You definitely don’t want to go up in rate.

Sorry if I am being a downer, but I am a math nerd and if you are going to run a cost comparison, you need to consider all the costs.

When I was delivering flowers I put items in the seat and floor board to level the back seat out, including a piece of plywood and it made a nice flat surface to haul the thousands of dollars worth of fragile flowers. Would doing something similar make it easier on you?

Well, I can certainly get by without an SUV..

but working in catering I constantly have my back seat crammed with equipment. So itd be nice to be able to fit it all more nicely back there and maybe have room for people too. That’s why I have always wanted one.

I feel the same way about the loan… except it isn’t really another loan, but one that replaces the existing car loan on the car, for the same or less money. And (presumably) paid of on the same schedule I would’ve paid off the car… unless some crazy interest rate is thrown at me in which case I would scrap the idea.

So basically, I would love the SUV… but it is a hassle to go through with. Hmmm…

My question would be

“Why do you feel the NEED for the SUV”? Even though the operating costs might be the same now, I’d expect the SUV to cost more over time. So that would put you into a negative net situation. Also, you have to worry about actually being ABLE to sell your car. If you’re thinking that the SUV is a similar deal, why wouldn’t anyone looking at buying your car have the same thoughts? And you’re talking about getting ANOTHER loan, which just doesn’t sit well with me. But then again, it isn’t my money… It just doesn’t seem enough benefit to go through all the gyrations.