Lease new vs buy old?

Thanks that makes sense I am thinking about spending between. $45 & $55k for a truck putting down 1/2 and financing the balance at 2% with my bank I will also need to buy a trailer and will finance with the same terms if I buy new. I will be starting with between $130-$150K I figure my down payments will be around $40k wich will leave me with some ware around $90-$100K to start up with

 

90 grand is a nice cushion leaving you in good shape to weather the step learning curve. And will get you through lost work due to temporary injury like a twisted off broken ankle. your plan is the type of financing that can work for a person. It's the guys that finance all with no reserves that end up in bankruptcy over a relatively minor injury or maintenance issue.

 

Someone please explain to me...
what it is that a truck you can't afford can do that a truck you can afford can't do?

I understand it's a man's right to make this choice and I would put on a uniform to defend his right to make the choice, but I just don't understand the logic.

 

Better question is why do you care what others do with their money?

 

With me it's wise not ask questions you really don't want to hear the answer to.

In short, I don't care how people spend THEIR money. I do care about people spending money they don't have. Your question itself is the problem. You think spending money you DON"T have is spending YOUR money. That is ludicrous. It is that prevailing thought pattern that is bringing this nation to it's knees. It is my belief, and I am entitled to have my own beliefs, that $100,000 trucks should be purchased by people with $100,000. What a novel concept, living within ones means.

I would still like to know what it is that a truck you can't afford can do that a truck you can afford can't do.

 

To be fair, I learned lesson the hard way, as I have every meaningful lesson. I don't in any way see myself as superior, I have made this very mistake and many, many more

Peaking out the window in the morning to make sure you still have a truck sucks! All because of 6 months of health problems? never again. You see I bought into that line of crap at one time too.

 

Since you ask questions I assume you are willing to answer them too.

How in the hell do you know what is or is not a good cushion for this person? Do you have intimate knowledge of their finances? Or are you just trying to sound knowledgeable? What's you're motive. If in fact this is your brother and you are in a position to judge what is and what is not a good cushion for them then I apologize, otherwise get real!

The difference between you and me is that I am offering general opinions based my knowledge and experience and you are offering specific financial advice to a specific person you know VERY little about. That makes me informative and thought provoking, and you dangerous. Whether people believe or don't believe what I say IT WON'T CAUSE THEM HARM.

 

I'm pretty sure in one of your earlier posts you mentioned our scary economy, so here is my opinion of this country's economic condition. How well our economy is doing is not based off of weather or not the public is financially healthy, own a home, paying their bills, a small savings account, company sponsored retirement,so on and on.
"Our" economic health is measured by how well the publicly traded companies are doing, are these companies making their stock holders money or are they costing them money. That in a nut shell is how "our" economy is measured. Back in 09 when the housing market crashed the big banks were the primary focus, then the stock markets because of the big banks, and maybe in passing those poor people losing their homes. At this same time, if you were driving around the country as I was in my truck, you could look around in the cities you passed through and see business still busy. Everything from restaurants, malls, convenience stores, liquor stores, big box electronic stores. This hit me on the night of Black Friday as I drove through a city and there were, just guessing, thirty to forty people lined up at the door at nine that night. How many more by the time they opened, I didn't hang around to see, but I kinda wish I could have. Didn't seem like the economy was in to bad of shape to me. My wages never went down anyway. Still spent as I did before the bubble burst.
A man that finances a business purchase, a truck, is doing the exact same thing that these big business do. Using other people's money to operate their business. Financing a truck is not a bad business decision if done wisely, interest rates do matter, and one of the negotiations I use to decide who will be my partner, who finances my truck. It is my decision who I use.
During the housing bubble burst, I was not pulling a flatbed as I currently am. Had I been I would have seen a reduction in income, but a good business operator must be able to adapt to changing conditions, and he must also evaluate his market regularly to see if his business needs to adapt.
And yes a good owner must control their money, keep some reserves. I hate it for you if you lost a truck because of health issues, but could a company driver experience a loss of income for that long without losing anything? Not many. Could a fireman, nurse, cashier, any working citizen experience a loss of income like that without consequences? I think not many. I couldn't. I've had this discussion before with friends and we have concluded that it's a truck, piece of equipment. If I faced an issue like that I guess I would contact my partners and discuss ways of liquidating the equipment. If the issue improved I could start over, many business owners have. I sure wouldn't let a set back stop me from trying again.

Now I have a question for you @BIGZILLA , say your truck had been payed for, after a six month lack of income would you have still had any reserves left to operate that truck? Think about that before you answer cause a truck left sitting for six months can develop mechanical issues that weren't there when parked.

 

Man that was a lot of typing, I don't normally do that. If anyone could stand to read it all, thanks.