When I bough my first car 3 years ago at 21 I got an interest rate of 16% and that really killed me and I seriously made a stupid mistake taking out such a big loan with such an interest rate, cause all I cared about was having a nice car and nothing else mattered to me, but trust me to have payments of 3K a month really really starts to suck eventually, also then you have your insurance.
Luckily I've learnt from that mistake, and I have been lucky enough in my life now to be able to buy a car cash,stay away from things that require payments every month and do things cash where you can, because really there is no better feeling than not having to worry about all your debit orders at the end of the month, all those off R100 and R200 payments of other stuff always add up before you know it your monthly debit orders are like 6k a month or whatever. Yes I understand some people cant manage to buy a car cash, I myself experienced and I know you have no choice but take out a loan, but rather just go for a cheaper car at lower payments, because the novelty of a nice car wears off eventually where you start to say to yourself what were you thinking to pay so much per month for such a car, and then you stuck with it and can't get rid of it, I learnt this all the hard way when trying to cancel everything I had and sell off my car which left me with 30k debt cause I couldn't get a trade in price when I immigrated, and I just saw how all these monthly payments for everything just locks you down and you don't actually have much freedom, where as now if I can't buy it cash I don't get it, I don't wanna be locked down to credit anymore.
Sorry for more long post and trying to sound all fatherly, but I like to try advise who ever I can when it comes to this, and I am sure many would agree with me. Ofcourse wen it comes to investment purposes like taking a bond out on a house it's a different story.
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