Cars are not investments

Unless you own a 1963 Corvette Split Window Coupe or some such other vintage sports car from yesteryear, your vehicle is most likely worth less now than when you bought it. New cars can lose 20-30% of their value when you drive them off the lot! Now to be sure, in America and especially the Midwest, a car is a necessity for most people. Public transportation is not adequate for most people needing to get to and from their places of employment, much less stores, shopping centers, and other places of business. While the Cash for Clunkers program is getting all the press this week, most people do not benefit from this program or should not buy a new car this way. If your vehicle is worth more than $3500-4500 then you should sell it yourself. You will always get more when you sell it yourself, than when you trade it in to a dealer. When you do buy a "new" car, buy one that is "pre-owned", not brand new. Your best value will be vehicles that are 2-4 years old because most of the depreciation is taken off and it should still have relatively low mileage. Pay cash when at all possible for your new ride. Finance charges and interest add up and cost you a lot of extra money in the long run. When you pay off your car, keep making payments to yourself. Set up a new savings account for your next car and save up until you have all or most of the money needed to purchase you next vehicle. Keep your car 6 years or until you have 100,000 miles or more on it. You will spend a lot of extra money in your lifetime if you buy a new car every 2 or 3 years. Sure it's fun to buy a new car, but cars are expensive. Ultimately, a new car or truck purchase is an emotional one and usually not a necessary one, unless you really do have a clunker that just died in your driveway. There are lots of reasons you can find to buy a new car, but there are also lots of reasons you can probably think of to keep the one you currently have another year. Some of you might want to know what kind of car I drive. Well, if you really want to know, it's a 2003 Dodge Durango. I'd like to get a new ride, but it's only got 52,000 miles on it. Should be good for a while longer!