By Darla Youngblood
Dave Ramsey advices when your paying off debt to buy a old used car you pay cash for to get by until you can afford a better used car. Cars depreciate the minute you drive them off a lot so it’s always better to buy a used car.
The picture is of a 70s Plymouth car. My ex husband and I had just had our son in 1983 We needed a second car for me to use . My ex husband had his old truck from high school and I needed a car to get around with the kids. Well a friend had a car like the one in the picture they sold us for 300 dollars . Everything worked on the car but you couldn’t back it up! Which this seems pretty funny now and we would of course have to park where we didn’t have to back out. We were young and just did what we could afford at the time. Now of course you couldn’t buy any used car that cheap. But the point Dave has and I have too is buying a cheap car for cash that helps you pay off your debt. Then saving to buy a better one after you have paid off your debt. It’s always better to pay cash for a car and not pay interest by buying a car on credit. But if you do have to pay for a car on credit , make a extra payment when you can and mark that payment to be credited towards the principal of the car and you will pay your car off faster. I’ve done that with several of my cars and a great feeling to own a car and not have payments. Working towards paying off anything and everything you can to be debt free is a great goal to have. Cutting down costs in every way possible.