# Beware dealerships that know you do Uber will also eat interest with lender.



## 58756 (May 30, 2016)

A lender just confirmed to me that dealership's he lends to eat part of the monthly interest drivers of vehicles they financed pay. 

Stealerships do really steal and never change tires or brakes or anything on used cars you buy. 

I throw $100 a day average payment into principal to pay down the car faster and Aubergine is juicy now with great surge and earnings so can't go wrong in paying it down fast to avoid interest. If I stay paying minimum only payments for 5 years, I'd have paid $16,500 just in interest alone. Crooks man crooks. And stealerships are oink pigs who prey on customers.


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## UberEunuch (Jan 14, 2020)

Sure...if your interest rate is 29%...


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## 58756 (May 30, 2016)

UberEunuch said:


> Sure...if your interest rate is 29%...


It's 14% lol. I'd rather pay it off fast and sell the car as car will still have high value and take the good sale money. I've once bought a brand new Rav4 and another time brand new Hybrid Camry and both I made around $10k with Uber and still traded in for another near what I bought them for do I profited.


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## NicFit (Jan 18, 2020)

14%? Ouch, I got 5.65%, better fix your credit as that’s waaay too high, even my first auto loan was 8.65%. My next vehicle will be paid in cash because I’m done paying extra for interest, tired of the credit game, I’m going to go paid in full and walk away from them making money off me


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## 58756 (May 30, 2016)

NicFit said:


> 14%? Ouch, I got 5.65%, better fix your credit as that's waaay too high, even my first auto loan was 8.65%. My next vehicle will be paid in cash because I'm done paying extra for interest, tired of the credit game, I'm going to go paid in full and walk away from them making money off me


My credit hadn't changed since last time. They are only giving themselves excuse to give me 14% because of the fact that my traded in car had negative equity.


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## NicFit (Jan 18, 2020)

Ozzyoz said:


> My credit hadn't changed since last time. They are only giving themselves excuse to give me 14% because of the fact that my traded in car had negative equity.


Should of went somewhere else then, 14% is a rip, you need to go through your bank or something, that dealer is overcharging you


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## 58756 (May 30, 2016)

NicFit said:


> Should of went somewhere else then, 14% is a rip, you need to go through your bank or something, that dealer is overcharging you


I'm paying it off within a less than a year so they'll be pissed I paid it off too fast, I already paid down $3k on it via Uber in 2 months. Basically Uber earnings pays if off faster. My other job supports me, I'll get a Lexus soon and do Uber Black or Excellency whatever they call it. It'd be funny though if Uber Black gave me regular UberX dirty pings.



NicFit said:


> Should of went somewhere else then, 14% is a rip, you need to go through your bank or something, that dealer is overcharging you


It's called Stealership for a reason, they've been good to me and giving me low rates for years and suddenly they got hungry when covid19 arrived as their business declined. I think there is turmoil at that Toyota dealership. But they'll be even more pissed when I finish fast and save on $14k or more just in interest. They'll really hate me for paying it off fast. Basically I pay off car within 8 or less months and save on tons of interest and then sell the car and get back most of that money I made in Uber while my full-time job supported, so it is an interesting way to save money and beat the dealership and lenders that pig out on the interest. I pay $100 daily average into the car principal as they calculate interest on a daily basis so each payment substantially saves on interest. Pigs will be Oinks and I usually pull in $100 a day in Uber on most days and that's just hitting it in evening after my day job.


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## ANT 7 (Oct 14, 2018)

Aren't you muslim Ozzy ? I thought paying interest was forbidden. Or is it exempt for certain things ?

I used to sell cars and we did a lot of zero % financing deals for Islamic people when the manufacturer's had certain incentives.


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## SHalester (Aug 25, 2019)

Ozzyoz said:


> It's 14% lol.


wow, your lender doesn't like you much.


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## SpinalCabbage (Feb 5, 2020)

Toyota gave me 60 Month financing with 0% interest on my Prius. Only two more payments to go!


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## 58756 (May 30, 2016)

ANT 7 said:


> Aren't you muslim Ozzy ? I thought paying interest was forbidden. Or is it exempt for certain things ?
> 
> I used to sell cars and we did a lot of zero % financing deals for Islamic people when the manufacturer's had certain incentives.


Fixed is fine M8. Even mortgage fixed is fine. Variable is Harram. Eaton pork accidentally is forgiveable. Drinking alcohol is also forgiveable if one sincerely repents



SHalester said:


> wow, your lender doesn't like you much.


A lot of people get these lol, these days lenders went rogue. Reddit shows people mentioning they got 16% and 22% and 14%. Sex outside of marriage is sin and also can be repented if someone sincerely asks Allah for forgiveness and prays. Did I do all of the above? Maybe and I am in repentance for most of them now.


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## Wildgoose (Feb 11, 2019)

Ozzyoz said:


> My credit hadn't changed since last time. They are only giving themselves excuse to give me 14% because of the fact that my traded in car had negative equity.


You should refinance with Capital One Auto Loan if the interest rate is that high. Refinancing always offers you with low interest rate.


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## Iann (Oct 17, 2017)

Some car loans may come with a prepayment penalty, a fee that you'd be charged if you paid off your loan early. Be sure to read the terms of your car loan carefully. If your loan includes this fee, consider whether the financial benefits of paying off your car loan early outweigh the cost of this fee


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## SHalester (Aug 25, 2019)

Ozzyoz said:


> Reddit shows people mentioning they got 16% and 22% and 14%.


never, ever, take dealer financing options. You line up your loan b4 u step foot in there. Maybe, maybe a zero percent option, but other wise no way Jose.


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## New2This (Dec 27, 2015)

Ozzyoz said:


> Drinking alcohol is also forgiveable if one sincerely repents


Does repenting because of a nasty hangover count?

Asking for a friend.

And go Credit Union. My bank manager said Credit Unions crush her own bank's rates.


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## SHalester (Aug 25, 2019)

New2This said:


> My bank manager said Credit Unions crush her own bank's rates.


^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^That!


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## 58756 (May 30, 2016)

SHalester said:


> never, ever, take dealer financing options. You line up your loan b4 u step foot in there. Maybe, maybe a zero percent option, but other wise no way Jose.


I was idiot, guess now I learned hard way &#128514; on the plus side I do IT and most of the money from Uber can pay down the car faster. I'm on Vacation in Jamaica now remotely working the IT job and the mortgage is on deferment because I asked for covid19 deferment so no mortgage payments for 4 months and roommate is still giving me the $600 a month for room I rent to him so I'm all good and groovy. I'm sending $1k a month to the auto loan until I get it down to $10k and that will substantially decrease the interest amount, basically the car will pay for itself with Uber earnings, then lay me again and taxes too because I make about $100 a day average with Uber. Also Doordash and Uber combined have already made me $6k on the car and I paid down $3k so I'm up profits and i will later write off well. It is a tricky game to play but there are ways to come up in the plus from a Stealership.


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## SHalester (Aug 25, 2019)

Ozzyoz said:


> down to $10k and that will substantially decrease the interest amount,


um, not exactly. Not until you pay off or make last payment. No interest saved until then. They don't re-amortize the loan because you made a big payment.

yikes, forbearance. Just make sure you know what happens during and after. There is no 'savings' of anything in forbearance.


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## 58756 (May 30, 2016)

SHalester said:


> um, not exactly. Not until you pay off or make last payment. No interest saved until then. They don't re-amortize the loan because you made a big payment.
> 
> yikes, forbearance. Just make sure you know what happens during and after. There is no 'savings' of anything in forbearance.


Interest is calculated daily which means they can only charge interest based on existing principal balance man. Lol


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## 25rides7daysaweek (Nov 20, 2017)

Ozzyoz said:


> Interest is calculated daily which means they can only charge interest based on existing principal balance man. Lol


You should score some mushrooms while you are down there. My brother went and told me the cab driver took them right to the place they were growing them. They wont get you addicted to opiates or give a headache like the kratom either. Too bad your hair isnt long enough to get some braids.
Hope you dont have problems getting back home.... stay well buddy!!!


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## SHalester (Aug 25, 2019)

Ozzyoz said:


> hey can only charge interest based on existing principal balance man


ok, you hang on to that. If you feel your monthly payment will change when you make an 'extra' payment, well don't fall out of your chair when it isn't. The only savings would be at the end. End being you pay off is lower, and/or the final payment.

Your payment AMOUNT per month, won't change. It's a loan; not a credit card. Might want to read the fine print. Your loan isn't re-amortized.

AND you might want to confirm, since you have a high interest rate, there is no prepayment penalty. Yikes.


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## 58756 (May 30, 2016)

SHalester said:


> ok, you hang on to that. If you feel your monthly payment will change when you make an 'extra' payment, well don't fall out of your chair when it isn't. The only savings would be at the end. End being you pay off is lower, and/or the final payment.
> 
> Your payment AMOUNT per month, won't change. It's a loan; not a credit card. Might want to read the fine print. Your loan isn't re-amortized.
> 
> AND you might want to confirm, since you have a high interest rate, there is no prepayment penalty. Yikes.


No monthly payment stays same to the end, it just adds less and less interest to regular monthly payment as you pay down principal.



25rides7daysaweek said:


> You should score some mushrooms while you are down there. My brother went and told me the cab driver took them right to the place they were growing them. They wont get you addicted to opiates or give a headache like the kratom either. Too bad your hair isnt long enough to get some braids.
> Hope you dont have problems getting back home.... stay well buddy!!!


Ok now you're making SWIM Salivate for Salvia like effects. Salvia used to be legal in my state. Here is the thing, if SWIM is in a country or state where something is legal and SWIM can do it while not driving Uber for safety, SWIM is down for it. Time for SWIM to go and try and go down the Rabbit hole that Alice did. &#128514;. Shaman rituals are for SWIM, SWIM will try AYAHUASCA


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## Iann (Oct 17, 2017)

Who is your finance lender company and which state are you located? 

A couple of us have mentioned a penalty for paying your loan off early. 
You haven't mentioned if you do get penalized for a early pay off. 

You will always pay the interest first on a loan so the bank gets their money.

Once you pay the interest off, then your payments start paying the Car loan itself. 

The Bank is going to get their money.


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## 58756 (May 30, 2016)

Iann said:


> Who is your finance lender company and which state are you located?
> 
> A couple of us have mentioned a penalty for paying your loan off early.
> You haven't mentioned if you do get penalized for a early pay off.
> ...


I don't get early payoff penalty, also Toyota financial.



25rides7daysaweek said:


> You should score some mushrooms while you are down there. My brother went and told me the cab driver took them right to the place they were growing them. They wont get you addicted to opiates or give a headache like the kratom either. Too bad your hair isnt long enough to get some braids.
> Hope you dont have problems getting back home.... stay well buddy!!!


I shouldn't have issues getting back, tons if temperature screening which makes no sense as those things are inaccurate and I natural stay cool, like my hands are cold to the touch in room temperature and they often get surprised when I show 92 degrees or less for temp check, they think I'll get hemothermia or freeze lol but I'm always fine and weight decent. Coming in was a headache, they are now switching to putting everyone in quarantine. It is like Africa Kenya which I sometimes go to, same looking black people and same developing third world country look. in kenya they speak English just like Jamaica. Here in Jamaica the airport screening was intense and looked like everyone was getting opportunity to yank me to get something to do so their bosses can see their busy and job security of around $60 a week that they earn (more than Africans on average) so I did 5 paperwork for covid19, 5 temp checks, an app install, their app baby sits me and will know if I leave the nice full service hotel with spa that I am at. If I leave hotel before 14 days,, I risk penalty of 1 million Jamaican dollar.

But the Taxi said they area joke and not to listen to them. I'm happy at the hotel I am with nice fine body women. In Africa Nairobi though I get laid easier by fine women, Jamaicans I don't fully yet understand their culture. Everyone here sounds like Sean Paul though. The airport ordeal with long annoyances and their military putting us through additional screens pissed me off and stressed me, so I actually feel like asking Taxi to take me to Shaman ritual. The taxi and other sectors were all harmed by the Covid19. Gotta go nice fine Jamaican women around me.

I'm gonna see if their spa offers laser hair removal for chest hair


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## TXUbering (May 9, 2018)

UberEunuch said:


> Sure...if your interest rate is 29%...


Umm, dealerships always get "kickbacks" if they steer business towards one of their shady banks. That's why it's best to just go into a "stealership" with money already in your pocket (cash preferred, but a good credit union or an auto finance company can also be just as good). If you go into a dealership with money already in pocket, don't tell the dealership. Get the car down to the lowest price you can first, and then once you've agreed on an amount (get it in writing), casually mention, "Oh I have this bank that has already approved me". This forces the dealership to negotiate the best deal with their lender (GM Financial if it's GM, Kia Motor Finance if Kia, etc.)

The dealership has a few points of attack. They'll either attack you with the price of the car, your trade-in, or the finance rate (and of course the "under-coating" that is generally part of the manufacturing process and not done at the dealership but something they used to try to add during the financing along with Gap insurance, which you shouldn't buy from the dealership as your insurance company probably offers it for cheaper). This is the point where I'll mention one of the best dealership experiences I've ever had. There's a little Chevy dealership in Sioux City, Iowa, by the name of Knoepfler Chevrolet https://www.kchev.com/ . Gave me $11,000 off on my Chevy SS, gave me MORE money on my trade-in than any local dealership despite the fact that it wasn't a Chevy, and gave me a list of all the banks that they contacted, and their finance rates. I drove 23 hours in a 24 hour day, and would do it again just based on how great they were the first time.

Oh, and before anyone asks, no I don't Uber in it. Although, I have to admit, one day I was bored and drove through the airport with my Uber light in it. The rubber-necking was pretty hilarious. I thought about asking Uber to pay me royalties for just driving around with my Uber light on. Figure it might lure some people in if they think that's an average Uber car.


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## TheDevilisaParttimer (Jan 2, 2019)

Ozzyoz said:


> Fixed is fine M8. Even mortgage fixed is fine. Variable is Harram. Eaton pork accidentally is forgiveable. Drinking alcohol is also forgiveable if one sincerely repents
> 
> 
> A lot of people get these lol, these days lenders went rogue. Reddit shows people mentioning they got 16% and 22% and 14%. Sex outside of marriage is sin and also can be repented if someone sincerely asks Allah for forgiveness and prays. Did I do all of the above? Maybe and I am in repentance for most of them now.


If we die and God or Allah exist, he gonna repo my penis guaranteed


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## 58756 (May 30, 2016)

TheDevilisaParttimer said:


> If we die and God or Allah exist, he gonna repo my penis guaranteed


That penis did too many sins you haven't paid for?


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## TXUbering (May 9, 2018)

TheDevilisaParttimer said:


> If we die and God or Allah exist, he gonna repo my penis guaranteed





Ozzyoz said:


> That penis did too many sins you haven't paid for?


That's why they call it Penicillin. "Penis-Illin"


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## 25rides7daysaweek (Nov 20, 2017)

Ozzyoz said:


> I don't get early payoff penalty, also Toyota financial.
> 
> 
> I shouldn't have issues getting back, tons if temperature screening which makes no sense as those things are inaccurate and I natural stay cool, like my hands are cold to the touch in room temperature and they often get surprised when I show 92 degrees or less for temp check, they think I'll get hemothermia or freeze lol but I'm always fine and weight decent. Coming in was a headache, they are now switching to putting everyone in quarantine. It is like Africa Kenya which I sometimes go to, same looking black people and same developing third world country look. in kenya they speak English just like Jamaica. Here in Jamaica the airport screening was intense and looked like everyone was getting opportunity to yank me to get something to do so their bosses can see their busy and job security of around $60 a week that they earn (more than Africans on average) so I did 5 paperwork for covid19, 5 temp checks, an app install, their app baby sits me and will know if I leave the nice full service hotel with spa that I am at. If I leave hotel before 14 days,, I risk penalty of 1 million Jamaican dollar.
> ...


Have em take it off your chest and reinstall it on your head !!!


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## Khorasani (Jul 26, 2020)

Ozzyoz said:


> A lender just confirmed to me that dealership's he lends to eat part of the monthly interest drivers of vehicles they financed pay.
> 
> Stealerships do really steal and never change tires or brakes or anything on used cars you buy.
> 
> I throw $100 a day average payment into principal to pay down the car faster and Aubergine is juicy now with great surge and earnings so can't go wrong in paying it down fast to avoid interest. If I stay paying minimum only payments for 5 years, I'd have paid $16,500 just in interest alone. Crooks man crooks. And stealerships are oink pigs who prey on customers.


I have purchased 4 cars from Toyota dealers so far, all on 0% APR and $3000 below MSRP. I don't buy what you are saying. Sorry!


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## 58756 (May 30, 2016)

Khorasani said:


> I have purchased 4 cars from Toyota dealers so far, all on 0% APR. I don't buy what you are saying. Sorry!


I don't understand how you getting a 0 percent deal has anything to do with what I'm talking about. A lender even verified Dealerships do this sharing interest with lenders. Also I can have my mom co-sign 0 percent interest for me. My next car will be a brand new zero mile Lexus SUV with a lower interest rate than what I have now.


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## mbd (Aug 27, 2018)

Ozzyoz said:


> I was idiot, guess now I learned hard way &#128514; on the plus side I do IT and most of the money from Uber can pay down the car faster. I'm on Vacation in Jamaica now remotely working the IT job and the mortgage is on deferment because I asked for covid19 deferment so no mortgage payments for 4 months and roommate is still giving me the $600 a month for room I rent to him so I'm all good and groovy. I'm sending $1k a month to the auto loan until I get it down to $10k and that will substantially decrease the interest amount, basically the car will pay for itself with Uber earnings, then lay me again and taxes too because I make about $100 a day average with Uber. Also Doordash and Uber combined have already made me $6k on the car and I paid down $3k so I'm up profits and i will later write off well. It is a tricky game to play but there are ways to come up in the plus from a Stealership.
> 
> View attachment 491203


Stay away from Kingston.


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## Khorasani (Jul 26, 2020)

Ozzyoz said:


> I don't understand how you getting a 0 percent deal has anything to do with what I'm talking about. A lender even verified Dealerships do this sharing interest with lenders. Also I can have my mom co-sign 0 percent interest for me. My next car will be a brand new zero mile Lexus SUV with a lower interest rate than what I have now.


Is Uber your only job? If no, then you can get that Lexus. But I wouldn't make my mother co-sign if I were in your shoes. Why did you end up with such a bad credit? How old are you?


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## 58756 (May 30, 2016)

mbd said:


> Stay away from Kingston.


Wish I saw your comment before. But I'm in a nice Kingston hotel that had pools and spa and bars, everything I need and no need to go out. Gas station and super market across the street so I don't venture too far off. Why stay away though? It is capital so I chose it thinking it's more secure. I'm also enjoying a vape thingy a woman pax left in the Uber I drove her in back in the USA. This Jamaica feels like Africa but much cleaner and better roads lol. I have a woman at the hotel now too, plus other fine women at the pool. So I'm happy. Armed security here too.
Armed security is drinking too, lol Jamaica for you. They drive on opposite side of street and steering is on opposite side of vehicle just like in British Kenya. I think British had this place in the past too.


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## mbd (Aug 27, 2018)

Ozzyoz said:


> Wish I saw your comment before. But I'm in a nice Kingston hotel that had pools and spa and bars, everything I need and no need to go out. Gas station and super market across the street so I don't venture too far off. Why stay away though? It is capital so I chose it thinking it's more secure. I'm also enjoying a vape thingy a woman pax left in the Uber I drove her in back in the USA. This Jamaica feels like Africa but much cleaner and better roads lol. I have a woman at the hotel now too, plus other fine women at the pool. So I'm happy. Armed security here too.
> Armed security is drinking too, lol Jamaica for you. They drive on opposite side of street and steering is on opposite side of vehicle just like in British Kenya. I think British had this place in the past too.
> View attachment 491591


Just don't go outside your comfort zone and if you do go, don't look lost.:smiles:


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## mbd (Aug 27, 2018)

182,000 cars on sale coming up:thumbup: thanks to Mr. Hertz.
Could Uber and Lyft buy few and lease/rent it to the drivers.:smiles:
https://www.google.com/amp/s/www.autoblog.com/amp/2020/07/26/hertz-reduces-debt-car-inventory/


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## Uber's Guber (Oct 22, 2017)

Ozzyoz said:


> can't go wrong in paying it down fast to avoid interest.


Interest on a car loan? opsies:
Who the hell pays interest on car loans anymore?


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## 58756 (May 30, 2016)

Uber's Guber said:


> Interest on a car loan? opsies:
> Who the hell pays interest on car loans anymore?


Pay down the principal not interest



mbd said:


> 182,000 cars on sale coming up:thumbup: thanks to Mr. Hertz.
> Could Uber and Lyft buy few and lease/rent it to the drivers.:smiles:
> https://www.google.com/amp/s/www.autoblog.com/amp/2020/07/26/hertz-reduces-debt-car-inventory/


They should


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## SHalester (Aug 25, 2019)

Uber's Guber said:


> Who the hell pays interest on car loans anymore?


how many people can plunk down > $30k for a new car? How many zero percent loans available today?

Oh, you mean buy junkers. got it.


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## Khorasani (Jul 26, 2020)

Not all cars are 0% APR. You can't get a Lexus RX450 for 0% no matter how good your credit is. There is only one way of getting those cars at 0%. Write a check. But, cars are also not over 5%. Anytime you go over 5%, it means your credit sucks. OP is paying 14%. That's nuts! At that point you really dont need a good car. You need a $1,500 car that you can pay cash for.

And for Uber drivers. You should not pay 14% to buy a car for Uber. You should rent a car for Uber for like 9 months until you have saved up $10,000. Then you use that $10,000 to pay cash for a little reliable car. Paying 14% on a car is insanity. People pay 6% on personal loans for heavens sakes.


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## TomTheAnt (Jan 1, 2019)

Uber's Guber said:


> Interest on a car loan? opsies:
> Who the hell *takes out a loan to buy a car*?


Fixed it for ya. :whistling:



SHalester said:


> how many people can plunk down > $30k for a new car? How many zero percent loans available today?
> 
> Oh, you mean buy junkers. got it.


Neither me nor my wife have had a car loan in over ten years and none of the vehicles we've used as main transportation have been junkers. Paying cash, using for a few years, sell, buy another one. Rinse and repeat.

Sure, the vehicles are about 3-5 years old when we buy them, but so freaking what? We're not trying to keep up with the Joneses, anyway. Still my wife drives same looking Tahoe than many neighbors. We just don't have payment on it. LOL!


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## New2This (Dec 27, 2015)

Khorasani said:


> Not all cars are 0% APR. You can't get a Lexus RX450 for 0% no matter how good your credit is. There is only one way of getting those cars at 0%. Write a check. But, cars are also not over 5%. Anytime you go over 5%, it means your credit sucks. OP is paying 14%. That's nuts! At that point you really dont need a good car. You need a $1,500 car that you can pay cash for.
> 
> And for Uber drivers. You should not pay 14% to buy a car for Uber. You should rent a car for Uber for like 9 months until you have saved up $10,000. Then you use that $10,000 to pay cash for a little reliable car. Paying 14% on a car is insanity. People pay 6% on personal loans for heavens sakes.


Are you looking for a 4Runner? &#129300;


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## 58756 (May 30, 2016)

SHalester said:


> how many people can plunk down > $30k for a new car? How many zero percent loans available today?
> 
> Oh, you mean buy junkers. got it.


Some non-perfect score people who do trade ins with upside down loans have to deal with ugly interest.
https://www.google.com/search?q=hig...print-us-revc&sourceid=chrome-mobile&ie=UTF-8


Khorasani said:


> Not all cars are 0% APR. You can't get a Lexus RX450 for 0% no matter how good your credit is. There is only one way of getting those cars at 0%. Write a check. But, cars are also not over 5%. Anytime you go over 5%, it means your credit sucks. OP is paying 14%. That's nuts! At that point you really dont need a good car. You need a $1,500 car that you can pay cash for.
> 
> And for Uber drivers. You should not pay 14% to buy a car for Uber. You should rent a car for Uber for like 9 months until you have saved up $10,000. Then you use that $10,000 to pay cash for a little reliable car. Paying 14% on a car is insanity. People pay 6% on personal loans for heavens sakes.


I upgraded to a newer year car on negative upside down equity, that's why I couldn't just spit out 4k or 3k on a car to pay for full price. I had to get into a newer car, but I have a plan and so far it has been doing good. I paid down $4k so far in just 2.5 months and Toyota gave me no payments for 6 months due to covid19 relief so I've been driving free and making money with it while payments are put on hold and no extra fee was added to months that I was given covid19 relief. I basically started my first payment 6 months later. And Doordash and Uber made me $6k in that time.

Also, other get even higher crazy interest than I did lol. Many report 20%

__
https://www.reddit.com/r/personalfinance/comments/5eyn95


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## CarpeNoctem (Sep 12, 2018)

I think you may be confusing revolving accounts with fixed loans.

Revolving accounts like credit cards do charge less for outstanding balances but it is still 16% or whatever. The dollar amount in interest is less if you have a small balance but it is still 16% APR.

Fixed loans have all the principal and interest built in over the term of the loan so you pay the same every month. While most of the payments go to the interest in the beginning, near the end you are paying more to the principal. Nasty little game they have going. So yes, you pay less in interest near the end as the balance gets smaller but at that point you have already paid most all of the interest. Paying it off a few months early only saves you a few bucks.


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## Stevie The magic Unicorn (Apr 3, 2018)

There's a push to make a history of uber/lyft/gig work appear on car history reports. When it does it's going to wreck vehicles value more than you can beleive.


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## Khorasani (Jul 26, 2020)

New2This said:


> Are you looking for a 4Runner? &#129300;


Yes :smiles:


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## 58756 (May 30, 2016)

CarpeNoctem said:


> I think you may be confusing revolving accounts with fixed loans.
> 
> Revolving accounts like credit cards do charge less for outstanding balances but it is still 16% or whatever. The dollar amount in interest is less if you have a small balance but it is still 16% APR.
> 
> Fixed loans have all the principal and interest built in over the term of the loan so you pay the same every month. While most of the payments go to the interest in the beginning, near the end you are paying more to the principal. Nasty little game they have going. So yes, you pay less in interest near the end as the balance gets smaller but at that point you have already paid most all of the interest. Paying it off a few months early only saves you a few bucks.


No I understand what you're saying and it is true. But I am paying heavier than usual i
Up front which is more than just saving on a few bucks. No matter what they can only charge 14% a year on the principal balance that exists. i started at 24k including my negative equity from previous car. i got it down to 20k in about 2 months, that means they can only charge interest on remaining 20k. And at rate I'm going ,I should have it down to 16k soon. So what i am doing is better than me repaying total of 16k during the entire loan because if I never did any principal only payments, I would've repaid just $16k in interest alone if I finished all payments at the end of the term. Make sense to you now? Same with credit cards, I did heavy lump payments on my worst high 27% credit cards because doing minimum payments would've meant I repaid an extra $5k if I never did any lump principal only payments. If I get it down to 7k total owed in 1 year, that means I saved a ton of interest and would only have paid $4,900 by the end of the loan term. That is about $13 a day I would be paying for it, and my profits would be way more since I drive daily Uber. My expenses are usually once in a while tire change and oil changes. So the dealership may or may not get their incentive to get me this nasty high interest rate if I paid it off in a year. The maximum Toyota can make off of me in one year of interest is $5k, that is it, if they applied all my minimum payments to interest only, that is maximum they can make off of me if I paid off in one year. That beats $16k in interest if I didn't finish car off in one year. I throw $100 daily on average into it via my Uber and Doordash earnings so the cursed suffering dealership will hate me if I finished it off fast and Toyota never gave them inventive


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## Khorasani (Jul 26, 2020)

Stevie The magic Unicorn said:


> There's a push to make a history of uber/lyft/gig work appear on car history reports. When it does it's going to wreck vehicles value more than you can beleive.


There is no need for a report. My 2016 Corolla, purchased in October 2016, had 85,000 miles by February 2018, and two accidents. I was surprised it had lost only $10,000 in value. Dealers know cars with unusual mileage, they are Uber cars. It is not hard to figure out.



Ozzyoz said:


> No I understand what you're saying and it is true. But I am paying heavier than usual i
> Up front which is more than just saving on a few bucks. No matter what they can only charge 14% a year on the principal balance that exists. i started at 24k including my negative equity from previous car. i got it down to 20k in about 2 months, that means they can only charge interest on remaining 20k. And at rate I'm going ,I should have it down to 16k soon. So what i am doing is better than me repaying total of 16k during the entire loan because if I never did any principal only payments, I would've repaid just $16k in interest alone if I finished all payments at the end of the term. Make sense to you now? Same with credit cards, I did heavy lump payments on my worst high 27% credit cards because doing minimum payments would've meant I repaid an extra $5k if I never did any lump principal only payments.


That 14% interest is tax deductible by the way. Make sure you get that.


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## 58756 (May 30, 2016)

Khorasani said:


> There is no need for a report. My 2016 Corolla, purchased in October 2016, had 85,000 miles by February 2018, and two accidents. I was surprised it had lost only $10,000 in value. Dealers know cars with unusual mileage, they are Uber cars. It is not hard to figure out.
> 
> 
> That 14% interest is tax deductible by the way. Make sure you get that.


Oh I'll do the deductions well as I do every year. My home mortgage interest also gets deducted.

No way will Uber and gig industry allow reporting of Uber being used to get on drivers car fax report. Uber and Lyft will only cut their own necks as drivers that have insurance with no rideshare endorsement or insurance that forbids Uber will find out and cancel their policy.



Khorasani said:


> Yes :smiles:


Khorsani my Iranian bro, I like your username.


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## mbd (Aug 27, 2018)

I always shell out cash, even if 0% is given , I don't like the balance hanging over my head.
Very uneasy sensation pops up when a balance amount is seen. It's like a margin , no margin , just cash.:smiles:
https://www.moneyunder30.com/pay-off-your-car-loan-early


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## 58756 (May 30, 2016)

mbd said:


> I always shell out cash, even if 0% is given , I don't like the balance hanging over my head.
> Very uneasy sensation pops up when a balance amount is seen. It's like a margin , no margin , just cash.:smiles:
> https://www.moneyunder30.com/pay-off-your-car-loan-early


Rich boy shelling out cash.


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## mbd (Aug 27, 2018)

Ozzyoz said:


> Rich boy shelling out cash.


Paying interest on a depreciating vehicle is a big no no for me. &#128512;


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## 58756 (May 30, 2016)

mbd said:


> Paying interest on a depreciating vehicle is a big no no for me. &#128512;


Well at least the Uber earnings help me drive a car to work for almost free since Uber earnings cover my side expenses.


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## CarpeNoctem (Sep 12, 2018)

Ozzyoz said:


> No I understand what you're saying and it is true. But I am paying heavier than usual i
> Up front which is more than just saving on a few bucks. No matter what they can only charge 14% a year on the principal balance that exists. i started at 24k including my negative equity from previous car. i got it down to 20k in about 2 months, that means they can only charge interest on remaining 20k. And at rate I'm going ,I should have it down to 16k soon. So what i am doing is better than me repaying total of 16k during the entire loan because if I never did any principal only payments, I would've repaid just $16k in interest alone if I finished all payments at the end of the term. Make sense to you now? Same with credit cards, I did heavy lump payments on my worst high 27% credit cards because doing minimum payments would've meant I repaid an extra $5k if I never did any lump principal only payments. If I get it down to 7k total owed in 1 year, that means I saved a ton of interest and would only have paid $4,900 by the end of the loan term. That is about $13 a day I would be paying for it, and my profits would be way more since I drive daily Uber. My expenses are usually once in a while tire change and oil changes. So the dealership may or may not get their incentive to get me this nasty high interest rate if I paid it off in a year. The maximum Toyota can make off of me in one year of interest is $5k, that is it, if they applied all my minimum payments to interest only, that is maximum they can make off of me if I paid off in one year. That beats $16k in interest if I didn't finish car off in one year. I throw $100 daily on average into it via my Uber and Doordash earnings so the cursed suffering dealership will hate me if I finished it off fast and Toyota never gave them inventive


I see what you're saying. Yes, you pay less in interest dollars if you pay the loan off early. You pay 0% interest if you pay cash.


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## mbd (Aug 27, 2018)

Ozzyoz said:


> Well at least the Uber earnings help me drive a car to work for almost free since Uber earnings cover my side expenses.


You have a very Hollywoodish lifestyle. Hanging out with hot chicks( picking up college girls while Ubering):smiles: and flying around remote islands like Leonardo DiCaprio. I need to hangout with you.


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## FLKeys (Dec 27, 2018)

If you have excellent credit those 0% interest loans most of the time will cost you more than negotiating a better deal and having your own financing lined up. 0% interest simply means the interest you would be paying on that loan is added to the cost of the vehicle up front by giving you less rebates and not giving you dealer incentive rebates.

Also line up your own financing and lie to the dealership. I always tell them I am approved for 0.5% less than I actually am. Every time the dealer beats it, even if it is just by .01%. Fine with me I'll take there financing every time. I also ask what rates I can get for the longest terms. Often the 7 year loan is a lower rate than the 5 year loan. I'll tale the 7 year loan, make sure there are no prepayment penalties and pay it off quicker. My last purchase was 3.84% of 7 years, I paid it off in 26 months.


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## S0cialm3nace (Aug 2, 2020)

Iann said:


> Some car loans may come with a prepayment penalty, a fee that you'd be charged if you paid off your loan early. Be sure to read the terms of your car loan carefully. If your loan includes this fee, consider whether the financial benefits of paying off your car loan early outweigh the cost of this fee


Could be wrong but I think they passed a law against this in the US a few years back.


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## Who is John Galt? (Sep 28, 2016)

TomTheAnt said:


> Neither me nor my wife have had a car loan in over ten years and none of the vehicles we've used as main transportation have been junkers. Paying cash, using for a few years, sell, buy another one. Rinse and repeat.


With due respect, that is not so smart. In the current extremely low interest rate environment, if you have sizable, or even reasonable assets, borrowing funds via an equity loan is a better option, particularly if the vehicle is for business use.

Releasing some equity from existing growth assets, and using that as opposed to a dedicated purpose loan is effectively allowing you to put the (cash) purchase price into other income producing growth assets of which the return should exceed the cost of borrowings.

Cash 'invested' in a car is not a wise use of finance as it is funding a liability.

.


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## The Gift of Fish (Mar 17, 2017)

Ozzyoz said:


> A lender just confirmed to me that dealership's he lends to eat part of the monthly interest drivers of vehicles they financed pay.


Of course. The finance manager is the best paid salesman in the entire dealership. Financing is a major revenue stream for dealerships.



Uber's Guber said:


> Interest on a car loan? opsies:
> Who the hell pays interest on car loans anymore?


Everyone who gets a loan that is not interest-free.

&#129335;‍♂



Khorasani said:


> You should rent a car for Uber for like 9 months until you have saved up $10,000. Then you use that $10,000 to pay cash for a little reliable car.


Ouch. That's a terrible idea! Renting a car costs $225 per week through Hertz, the cheapest option. That's $975 per calendar month, or $8,775 in rent over your 9 months. If you then buy a $10,000 car then your $10,000 car just cost you $18,775! No, it'd be much better to buy a $10,000 car straight away, even at 14% interest, and not burn cash on a rental.

On a $10,000 loan over 36 months at 14%, the total interest paid would be $2,304, bringing the total cost of the car up to $12,304. That's a massive $6,471 savings over your car rental idea.

The OP is doing the right thing by owning the car asap and paying the loan off asap.


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## TomTheAnt (Jan 1, 2019)

Who is John Galt? said:


> With due respect, that is not so smart. In the current extremely low interest rate environment, if you have sizable, or even reasonable assets, borrowing funds via an equity loan is a better option, particularly if the vehicle is for business use.
> 
> Releasing some equity from existing growth assets, and using that as opposed to a dedicated purpose loan is effectively allowing you to put the (cash) purchase price into other income producing growth assets of which the return should exceed the cost of borrowings.
> 
> ...


Thanks for your financial advice. Not saying what we're doing is right or wrong, nor am I pushing my advice to anybody else. That's the way we do it and I think we've done just fine with what we've been doing for the past 10+ years.


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## 58756 (May 30, 2016)

The Gift of Fish said:


> Of course. The finance manager is the best paid salesman in the entire dealership. Financing is a major revenue stream for dealerships.
> 
> 
> Everyone who gets a loan that is not interest-free.
> ...


Renting car is even worse than $400 a month with 14% interest. I love my Accord Dreams Machine Sport. Some with V6 can't even beat me in race they test me with.


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## S0cialm3nace (Aug 2, 2020)

Ozzyoz said:


> Renting car is even worse than $400 a month with 14% interest. I love my Accord Dreams Machine Sport. Some with V6 can't even beat me in race they test me with.


Where do you live? Wanna race  my car was also 10k


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## Fuzzyelvis (Dec 7, 2014)

Ozzyoz said:


> It's 14% lol. I'd rather pay it off fast and sell the car as car will still have high value and take the good sale money. I've once bought a brand new Rav4 and another time brand new Hybrid Camry and both I made around $10k with Uber and still traded in for another near what I bought them for do I profited.


You must have shitty credit. My last loan was 2.9%. I have credit cards with lower interest than that.



Ozzyoz said:


> My credit hadn't changed since last time. They are only giving themselves excuse to give me 14% because of the fact that my traded in car had negative equity.


BS. I bought a car WITH my SO (I was primary) and he traded in a crap car that he was upside down on. I already had a loan on my car and still got 5.9% on his loan. And I thought that was high, but it was a second loan. So I lied I guess. My last loan was actually the 5.9, previous was the 2.9.


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## 58756 (May 30, 2016)

Fuzzyelvis said:


> You must have shitty credit. My last loan was 2.9%. I have credit cards with lower interest than that.
> 
> 
> BS. I bought a car WITH my SO (I was primary) and he traded in a crap car that he was upside down on. I already had a loan on my car and still got 5.9% on his loan. And I thought that was high, but it was a second loan. So I lied I guess. My last loan was actually the 5.9, previous was the 2.9.


Its credit score 650, i had a negative equity loan car I traded in that is why dealership used excuse to get me that high but no worries my next car will be luxury and low interest. I will finish this one off in 1 year or less so that the Toyota financial can hate me since they'll miss out on $13k in interest from me due to finishing too fast.


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