When a balloon payment on your car makes sense

Why would you not do a detailed review of the table, Albert? It has multiple errors in it.

And your mate at the bank can't spell.
 
Balloon payments are good because they allow broke people to buy what they cannot afford! They are a great tool for the business's bottomline. The first line where the article tries to justify a rise in income made me laugh :laugh: .

If you love yourself, there is no valid reason to take a balloon payment.
 
Before kids (i.e. I had disposable income), I used to treat a car payment as a fixed expense that let me drive the car that I wanted to drive at a lower installment.
So balloon payments helped lower that monthly amount, but I was careful to buy cars that would retain their value enough that the car trade value was always greater than that balloon so I was never out of the money.

Now I drive my cars into the ground, so balloons don't make sense.
 
Its Residual

Also they would limit you to mileage

At the end you are merely just renting the vehicle and never actually owning it with a Balloon payment.

And when your fancy car is worth less than the future value then youre screwed anyway.
 
Best car, is a car that's paid off, second best car, is a car that you just bought cash.
 
You must log in or register to reply here.
Back
Top
Sign up to the MyBroadband newsletter
X