Quote:
Originally Posted by IliketoPuck
Heres one for you guys, give me your honest opinion.
I have a friend who just recently got a job at an O&G company in Calgary (1 month of employment), after graduating from school here in Calgary. Still has some debt (will take a few months to pay off), and lives with parents. He is planning on purchasing an '05 luxury sedan which will cost approximately ~20k, via 9% financing. I can't see the logic in it, and voiced my opinion against the purchase. Am I out to lunch on this one? Or should I just back off?
edit: I should also say that the payments will amount to roughly 1/4 of monthly income.
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As long as he plans on living at home for the near future, I don't see the harm. But man, 9% financing is pretty high. Heck, my unsecured line of credit with my bank is at 5% and I think that's already high.