How many 18 year olds out there are financing for a car?

Question

I am 18 years old, live with my parents, and I want to get a car loan ranging from $15,000 - $20,000. I have had a lot of bashing from this from the online community, including yahoo itself about how I am "stupid" for jumping into a financial loan like that.

My dad will cosign for me, but made it clear that I have to make every payment, help him with car insurance, and pay for all my gas and car maintenance fees, and most of all not to ruin his credit.

My dad has excellent credit, and I really do believe I can do this. I make around $2,000 a month, still live at home, no financial responsibilities at all, no bills, no nothing.

I feel like I am financially stable to afford monthly car payments of around $300-$400 a month, that is what I am expecting to pay for my car.

Any other 18 year olds out there financing for a $15,000+ car? Or am I the only too-ambitious one out there?

And yes... I am going to school. So don't say "save your money for your education" because thats already been paid for by FAFSA.

Answer 1

Not sure about how many but when I graduated high school, a lot of my classmates went and got brand new cars.  They didn't count on life changing situations that would cause them to get their cars repossessed.  I'm not going to tell you that your making a huge mistake and that your stupid and what not.  Just take into account EVERYTHING that goes with purchasing a brand new vehicle.  Insurance at your age is going to be very expensive.  Have enough money saved up for all types of situations such as needing new tires, oil changes, accidents, gas.  

My brother actually purchased a brand new montero sport when he was your age but he also owns a restaurant.  And he kept it for a long time.  Just be sure that that's what you want to do and be aware of all of your options because it can be done.  And don't mess up your parent's credit!  

Answer 2

As far as i know,this is a question with many different answers,it is really depend on the judgement of yourself,provide a great resource here for reference though.http://car-insurance.easyideas4u.info/ca...

Answer 3

I was the same way, I worked about 30-40 hrs a week in high school, and now I'm 24, graduated in engineering, making good money, married, young baby... Point is, life changes quickly, and you never know what will happen just a couple years down the road. Just because you can afford a $3-400 car payment comfortably now, there are a lot better things to spend at least some of that money on. If nothing else, you are going to school, that's great, but when you graduate, you are going to need to buy a house (and furnish it) and closing costs are usually several thousand dollars, not to mention the 5% down payment most banks want on a loan. Turn that $400 payment into a $200 payment a month, and sock the rest away in investments, not to mention it will also save you lots of money on cheaper insurance and sales tax, etc. Cars are almost always a depreciating asset, so they lose you more money the more you spend on them.

Trust me when I say you will be glad you did when you reach the point that you need that money.

If you really can afford it and must have that expensive of a car at your age, while it will take discipline, your best bet would be to just save up and buy the car cash outright. Then you have no payment, no worries, and you dont have to pay interest to some bank, which typically is several thousand dollars over the life of the loan.