Pay for the turbo with cash. Pay for your repairs after the turbo with credit. I dont use credit at all, you shouldnt spend money you dont really have on something that makes you spend even more money (like a turbo) Ive seen so many of my friends go into debt because of this damn import scene. Im glad I realized it before I did it myself

 

everything i buy for my car is charged on my credit card. so far.. all the money ive been puttin into the card is barely paying the interest every month. i havent even paid for my turbo kit yet and its accumulated interest in the last 15 months. thats what happens when you dont have a job.


[Modified by dlplayboy, 12:38 AM 9/23/2002]

 

I prefer to not use credit cards because I've learned from my mistakes in the past. Racked up a couple CC's that put me in pretty good debt when I started college in '95. I just paid off my last credit card debt about a week ago, cut a check for $2000 bux But now I have no more credit card debt and was able to work hard enough to pay for all my turbo parts in cash. I'd feel *much much* better knowing that I worked hard for all this stuff and have no monthly payment that will plague me for years to come. Like a couple ppl have mentioned, CC's/loans can be beneficial if you are smart and responsible about how you handle your money. But most ppl just want want want and don't always care or think about the consequences and end up getting themselves in a giant mess.

Justin

 

loan for a turbo??....good god no!

 

Using credit to pay for a money pit like a turbo seems really sketchy to me...though, I'm warming up to the idea. I need:
New Clutch
Better Fuel/Timing management
3" exhaust
Suspension goodies
I have about $800 to spend until next summer (student as well) so, I'm sitting on my thumb

 

I have actually ate ramen noodles every day for 4 months staright to buy a set of wheels, OZ Monte carlo, then I used scholarship money to buy my first junkyad kit for my turbo GS-R in a civic...this was 5-6 years ago, before drag even existed....

and paid the tuition in installment hehhehehee

but I paid cash for the current kit and the engine build up, fortunately I have broken the 5 digits barrier in less than 4 months

 

I've taken out loan from my bank like 5 times they love my business. first time was a bitch though :
1=$1000 @8.6%
2=$2200 @8.0%
3=$900 @ 7.0%
4=$1200 @ 6.5%
5=$3500 @ 6.1%
6= heheh (11sec car coming to a track near you!) $10,000 @ 2.5%

These are all "Personal Loans", most banks ask for more than 9.5% along with usable collateral. My bank is a small community owed bank so they love long time bankers/consumers. I just tell them i need it and they give it to me. the only loan u have left is the $3,500 witch will be done next fall. But now that i just bought a house I'm thinking about taking $10-20k loan on my home and finishing up my dream car. Here is my experice and sugustions:

1) Credit cards suck( if you want a really good interest rate with a CC company you have to be in thier systems for over 12months)...unless you make more than 100,000 a year. TRY TO GET LESS THAN 9% PAY OFF 10x2 the amount of the minimun payment and you'll be okay.

2) MAX_OUT your Credit Cards then take a loan out from your bank to pay off your Credit Cards. do that about 3-4 times (adverageing atleast 1500) and you'll instantly be reconised my your banker and your Credit Card company.
*bank will give you money when you need it for lower interest rate
*credit card companys will take off the anuel fee, lower interest rate buy 20% or more, and give you an increase in availible credit.

3) Loan over credit cards any day. more flexible. rate is always negotiable when getting a loan from bank. try to use the same banker so that they know who you are and will be more enclined to help you get a better loan.

4)go out and buy "Finaces for Dummies" yes i'm seriouse.. it'll get you started.


............by the way I'm 19 and not very rich, just real world educated. also not trying to brag just want other H-T newbis to learn what i have learned.


[Modified by Charlie, 7:39 AM 9/23/2002]

 

That's good advice Charlie........I myself decided to just take the cash route and I'm only spending a certain amount each month on parts...I have 1200 a month to spend but I only intend on spending 600 each month on a specified item. This gives me time to research before I throw down money and with the other 600 just sitting there, if there is anything that just comes up (like Virens recent GB on fuel pumps ) the money is readily available.

 

You are a moron if you carry a month to month balance on your credit card.

Credit card interest rates should be a none issue. If you use your head, you will never pay them.

 

Credit cards are free money

J/K


But seriously...
A bank loan is the way to go if you want low intreset rates, and want to ever pay it off .
Also dont fall into the boat of "i will never get a credit card/loan", credit IS NEEDED in life. Wanna buy a house - need credit, **** my girl friend cant even get a cell phone without paying a $400 deposit because she has never started building a credit history.
Me -
One loan for my dirtbike.
$900 in the debt with a CC for my wheels.

...Never carry our CC in you walet, to tempting...



[Modified by FMXer, 4:39 PM 9/23/2002]

 

and the moral of the story is....

 

My thoughts exactly. Credit Cards are only as bad as you make them

 

were you directing that to me?

 

That's why you get married and have TWO incomes! Well, that plus 4 credit cards and two student loans....

I hear that credit unions give better interest rates and are more willing to give out a loan than a major bank.

 

No. Just a blanket statement. Care to debate its truth?