Attitudes

[Wag]

Kinda sorta started with the Busa but it's not really a motorcycle topic.

I'm walking out of the parts store with newly acquired CR9E's and some kid says, "Nice bike! How much are the payments?" Not, "How much does it cost," just, "How much are the payments?"

My jaw did this:

I'm just old-fashioned, I guess. When you buy something, your first priority is the sticker price, not whether or not you can finance it.

I told the kid, "I don't make payments on it. It's paid for."

"Oh, well how much WERE the payments?"

"Never had any, man."

Curiosity didn't compel him to ask how much the bike cost even then. He simply wanted to know if he could stretch his already thin paycheck for one more toy he can't afford.

Hey, I understand the drive to have cool stuff. Been a victim of that kind of lust before myself. But nowadays, if I can't afford it and don't need it, it doesn't come home with me, regardless of the payments!!!

It was just odd, that's all.

--Wag--

 

[Vic_E55_2001]

How else he can buy 11K bike at his age?

 

[DaCol.]

I heard this years ago from a Car Salesman friend (well

yeah, some are honest ) . He told me 90% of the people ONLY ask what their payments are, NOT how much is the car; how much will I be paying for the car over the payment period. JUST HOW MUCH IS THE PAYMENT. Well, they don't care if it's 48 months, 60 months or 70 months. JUST how much is the monthly payment. This insane money management mindset is what has happen to our present economy. Banks (I don't feel sorry for them) , Car Manufactorys (don't feel sorry for them either) and morgage lenders are ALL in trouble now with defaults. When you give money to people who don't have any, how can you expect them to pay you back

? Me thinks, the Bells are Tolling for our Financial Institutions, but with enough $$$$$ , I'am sure our POLITICIANS will raise TAXES to save them. Of course, all in the NAME OF THE CHILDREN  

 

[Charlesbusa]

Price OTD and intrest rate. That's all I focus on when getting something financed.

 

[BA BUSA]

Louis

You should have told the bike payment was nothing compared to how much the INSURANCE costs

 

[Wag]

Not to mention the cost of a new rear tire every 3,000 miles, the cost of plugs every 7,000, the cost of etc. etc. etc.

I haven't run the numbers but I'm thinking it costs more per mile to run a bike than it does to run a car.

Eh. I can understand if you need a car or bike for transportation but if you don't need it? Leave it be.

--Wag--

 

[VaBusa]

Kind of sad really; those are the guys (and gals) that would lock themselves in at a 24% interest rate just to get that low payment...and they'd probably pay over 10 years if the option was there

A clear sigh that you can't afford it...I just want bottom line #'s because I like NOT having payments

 

[rockadaous]

younger people are way different now days.

 

[stlbusarider]

That's the wave of the future, right? Just finance everything and then refinance everything until you have it all. Who care how you pay for it.

 

[Gunnybusa]

That’s how I do it. Just how much do you think an enlisted Marine makes? If I were to wait until I could buy everything for cash then I would still be living at home! I’m on this planet for a short time (and it could have been shorter with all the deployments I’ve been on) and I would like to have some fun before I go! So as long as I make MY payments then I don’t see what the problem is.

 

[4wd]

That's how I do it too. My Hayabusa costs me $85/mo for two years, then the balance due balloons. I plan to pay it off completely before the 24 months ends.

BTW, I am 55 years old, so what is my excuse? I've made payments all my life and sure don't plan on changing now. My credit is sterling, I think??!!

 

[warwgn]

(Gunnybusa @ Aug. 20 2007,08:00) That’s how I do it. Just how much do you think an enlisted Marine makes? If I were to wait until I could buy everything for cash then I would still be living at home! I’m on this planet for a short time (and it could have been shorter with all the deployments I’ve been on) and I would like to have some fun before I go! So as long as I make MY payments then I don’t see what the problem is.

excellent point Gunny!!

Thats how I see it, but when buying anything I negotiate the OTD price first before I will even discuss payments or financing.

It's fun to do that, it drives them crazy to have to lock in a price before trying to finance and adjust the rates

 

[el stumpo]

I think the original post was more focused on how someone could not understand the concept of paying in full, just making payments.

There is nothing wrong with making payments in my book. It's just whether you see the whole picture (principle + interest) or just a monthly dollar figure.

But it is not just young people, look at all the people who bought houses with interest only loans or teaser ARMS

 

[FastBusa]

That's the way it is today. My company has changed its retirement policy to reflect that people don't stay in one place anymore. 401k is changing too. Luckily I am grandfathered in with the old systems. Time are a changing!

 

[Gunnybusa]

(whitele @ Aug. 20 2007,07:22) I think the original post was more focused on how someone could not understand the concept of paying in full, just making payments.

There is nothing wrong with making payments in my book. It's just whether you see the whole picture (principle + interest) or just a monthly dollar figure.

But it is not just young people, look at all the people who bought houses with interest only loans or teaser ARMS  

You are still talking about me to a degree. All my housing finances are strong as I will always need a place o live, but the rest? I'll give up a point or two so I can make the monthly payment.

And Wag is a friend of mine so Im not flaming him Im just saying not all of us can live that way.

 

[DaCol.]

ok

 

[DaCol.]

My point wasn't DON'T borrow money, it was DON'T borrow money without knowing just how much your going to pay back  and for how long ! Too many people get long term loans on auto's and when they go to sell them or trade them in after 2 or 3 years, to their astonishment they still owe THOUSANDS more than the car is worth on a trade in.

Lots of people have been sucked into the 90's idea of BORROW ALL YOU CAN on a house, because when the BALLOON payment comes due, if you can't make it, the house will ALWAYS (NOT) be worth more than you've borrowed. Well

thousands of people in the US are finding out this isn't true and they still owe THOUSANDS after they sell the house ! All because they never worked out the finances and looked at the long term. Including people buying homes on Ocean Front property to sell, and now they find out the market isn't there (I have relatives in Real Estate on the East Coast) and they're having to sell THEIR Homes just to make payments on the homes they bought on the Beach. Of course it's a plus - plus for some buyers, because you just offer to take over their payments, refinance at a lower rate (they've all ready probably paid 20% of the value with an initial 10% down) and have a beautiful home for 1/2 to 3/4 of the real value !

My suggestion, NEVER borrow more than you know you can afford, and NEVER borrow so much that it changes your life style (as in no going out to eat, no entertainment, no personal fun) ! Kinda like my suggestions to friends getting started in the stock market. NEVER invest anymore than you can lose and it not change your life style. There are NO GET RICH quick methods, but there are alot of people out there with a live for today and don't worry about tomorrow get it now, or get rich ideas. Of course with your money working for THEM !!!

 

[Rylinkus]

Up until the Busa everything I've owned has been cash in hand type sales. And it's led me to be in my mid 20s with almost non-existant credit. So I financed the bike and got a lousy rate, but I can afford it and wanted it, so I bought it. Perhaps a bit short sited, but life is only so long. May as well enjoy it while I can.

 

[Rainer3012]

(Charlesbusa @ Aug. 20 2007,01:30) Price OTD and intrest rate. That's all I focus on when getting something financed.

+1 and some times its impossible to drag that out of the dealers. Drives em nuts when thats all I want to talk about.

 

[Wag]

It's no problem if people disagree with my original post. That's what makes the world go 'round! I was posting it because it is simply amazing that the kid had zero interest in anything but the amount of the payment. If the payment were $30 a month for 55 years, I think he'd be all over it.

I rarely hear about people, "saving up," for anything of note. No saving for a T.V., a motorcycle, a car, a house, even.

I'm not opposed to borrowing money if you need to do so but not for toys. If you borrow for an education or a house, that's one thing. To borrow for a boat or a motorcycle, though? Somehow, the thought makes me shiver.

--Wag--