mg7726

10k loan?! that has FAIL written all over it. personally, i'd never do it.

BUT if you want to upgrade, get the supercharger, that would do it for me.

syee99

OP: I think you got your answer on whether spending 10k on mods is a wise idea. Still, it's your choice. I personally wouldn't dump another 10k into a 20k car - it's not a collector car so the value isn't going to go up, and if you do decide to sell, you're not going to recoup anything near what you paid for the mods.

I'd say pick one or two mods for now, and see how things go. You might decide after the mods that you're not getting the performance you want out of the car and you want something else - at least you're not as deep in the hole as you would be if you dropped all 10k into it.

Also, will the bank even lend you $10k? I've walked into a bank with way more assets than you and I've been denied a $10k loan. Find out if you can even get a loan first...

jiggaman

30K loan or bust

Itchytoe

The only way you'll get 10 grand to do what you want to do with it is to lie and say you just want to refinance the car. Even then, I'd have to agree with the general consensus here and say it's a phenominally stupid thing to do. You need a vehicle, so a loan for that is fine. You don't need modifications, so you a loan for that is bad. Remember the difference between a need and a want and you'll be ok. Finance a need, but never a want.

MrHeeltoe

iTrader: (1)

Now, I have to say, that all you people razzing this dude for taking a loan to mod his car better all have bone stock cars with no car payments. And having paid off the car with a refinance on your house is just borrowing from Peter to pay Paul.

Before we all get so high and mighty I think that it is a perfectly viable thing to do, buying car parts on credit. Just the same as buying a car on credit. Buying a TSX one door at a time isn't very practical because it will cost more and take forever. Why is making one mod at a time that much better. Financially it is ideal to get only what you have cash for at the time, but again it will take longer to mod the car and you'll have all that lost time without the fun parts! Plus making one big order like this might get him a better price on the parts!

If he was going to buy an Evo it surely would have cost more than 10K, so him fixing up the TSX might end up saving him money, if he can stick to his budget.

Marcus

MrHeeltoe

iTrader: (1)

Yeah but you are implying that to fulfill need to have a car one must buy one that costs more than what one has on hand. $5000 is a downpayment on an expensive car, and it is 2 older cars in decent shape on craigslist. If you NEED A CAR, you can get a perfectly good one for $2500.

LukeaTron

That's an interesting tact to drum up new business. :P

MMsTSX

what kind of discount are we talking here?
I could probably drum up another $10k order soon...
haven't even touched the engine or exhaust yet...
lol.

but seriously... I've paid off my home and cars and I'm not even telling
him not to do it. I think modding cars is a great hobby, it keeps me
out of trouble. and for $10k he can get a good start. new rims, new
suspension, a mugen kit, and another thing or two... it could make it
look much better to start anyway.

feuss2

iTrader: (1)

If the car gets wrecked in a few months all those mods aren't going to affect what insurance pays out at all... How much would it suck to have to pay off your mod loan at the same time as replacing the car? If you put the money into getting a car that is better stock, more of that will at least be covered.

Why not take the 10k and get a turbo'd civic that someone else already lost a ton of money modding? Then you could have a car to mess up and a daily driver?

This guy's back to enjoy more feedback from his great ideas like in this thread:

https://acurazine.com/forums/showthread.php?t=702989

MMsTSX

not true.
all of my mods are covered by my insurance for full replacement.
most companies do it, all you have to do is ask, and pay a little more.
I have State Farm by the way.

psengsouriya

People buy TV's from Best Buy like 3,000 to 10,000 with all home thearter stuff they get... Why Not?

visuelz

Buying mods are a liability. Taking a loan out for that is just plain dumb.

LukeaTron

If they take out a loan to do it, they too are stupid. If you haven't noticed, the utter lack of financial management abilities of the general population have contributed greatly to our current state fiscal fuckedness. Just because you see some one else doing something doesn't mean they have clue what they're doing.

acn684

Let the kid take out the loan, chances are no bank is going to lend him $10,000 to mod a car. Even if they do, the interest is going to be ridiculously high. On top of that, he probably has low credit, needs a co-signer, and will probably have to use the car as collateral. If fails to pay the bank back, he can kiss his car goodbye.

poltergeist

Very well said.

MrHeeltoe

iTrader: (1)

I could have been more blatant. Facts being what they are if someone wants to buy car parts I am here to help.


Want my real opinion? Buying on credit is fine as long as you have enough liquid to cover the debt. Why buy on credit one might ask? Earn airline miles

Taking out a loan is a complete other issue that I have done myself in the past. Did I regret it? financially speaking yes, but I got a lot of good hands on experience modding cars that way. Which makes me the more monetarily and vehicularly knowledgeable person I am today.

nj2pa2nc

not if you get 0% financing.
I have no car payments on my 100% stock tsx

PrecyseStylez

haha.. and so are

come on.. i think if you really wanted something you would do it too. He's still young with no real responsibilities.. right now its ok for him to do this. Its not like he does have a house and car payments so why cant he be able to do this?? No one payed cash for their TSX.. well maybe a few but the other 90% of didnt.. which was a bad investment! And with all of us who have modded our cars, its not worth anything more with the "invested" mods.

goon54

almost 2 full pages of responses and this is all you gots to say?

there's a big difference btwn retail credit and a bank loan. Number one being most people use retail credit to take advantage of the 0% financing for the first year or so.
so are you going with a bank loan or a line of credit ? i have a line of credit with BOA up to 40k i believe at 10% apr. but there's no way in hell im gonna take that out to mod a car.
so if you do plan on going forth, check with ur CC company and see if they will open a line for ya. im guessing you'll get a better rate with a credit card.

LuvMyTSX

x 876894958478

It's still financially irresponsible to take out a loan to pay for mods. A car, yes, almost everyone does that. But mods? That's something that should only be done if you can afford it and pay cash or pay off the credit card in full when the bill comes due. No one is saying that you shouldn't take out a loan to buy a car.

bluefang08

Honestly I think its better to just do a little at a time. Each time i get a new car i say "i am not gonna mod it" then the bug hits. But i slowly get parts over time (pretty much around the time i get bored of the last mod). And i always pay off the previous mod (if on credit) before buying a new one.

That way I have little debt and don't get bored of my car.

jlukja

at "fiscal fuckedness". I like this quote.

nj2pa2nc

I was answering the poster who thought it was stupid to take out loans to buy tv's at best buy. We bought out tv with 36 months 0% financing. We figure how much we need to pay each month and make at least that payment plus more.

LukeaTron

0% financing, typically from the place you bought it, is a completely different animal than a general purpose bank loan. On top of that, how much was your TV? I'm guessing (hoping) it wasn't anywhere close to ten grand. This comparison is totally irrelevant.

bradykp

OK - I don't know if you noticed, but we're currently in a financial crisis. 1. it's pretty tough to get credit. If you can do it, then by all means, go for it if that's what you choose to do with your money. I'm assuming a $10,000 loan would be, what - 5 years? You're looking at something like a $200 monthly payment? If you have no obligations/wants/needs over the next 5 years - house? engagement ring? schooling? etc - then sure.

but that doesn't change that it's stupid.

people go to Best Buy and buy a $2,000 television with 3 years no interest. If they don't have the money to pay for it, they're stupid. If they do - they're smart - they are getting free money. But Circuit City just went bankrupt, and many other retailers are closing down. Soon it will be difficult to get simple minimum wage jobs, and the economy looks worse and worse.

Sounds like you are comfortable living at home. And if you can always fall back on that, then by all means, go spend 10g on mods on loan. But that doesn't make it very smart.

bradykp

buying a new car may be considered a bad "investment" for some, but if you think about it reasonably - it's not. Sure - buying a used TSX would be better than buying new, but if you're going to keep the car for 7 or 8 years, 200,000+ miles, than buying new makes it a much better chance you'll get there. I got a great interest rate on my car loan. It was almost like free money during the period where many Money Market accounts were paying 5%+ interest.

But - a car is something you're going to need to buy, no matter what. Maybe a less expensive car is a "better investment" than a $30k car, but Modding is a whole new level.

Spending on yourself is something we all need to do. Everyone has their own hobbies. If the kid had most of the money, and wanted to charge like, $1,000 and pay it off over a couple of months, it probably would get a different reaction than financing $10,000 of Mods. I mean, it's just not reasonable, and people are trying to help him see that he might regret this.

if he needs to do it to learn the lesson himself, then go ahead. but i'd hate to see someone end up bankrupt because of a few minor performance tweaks to his car. i know someone that went bankrupt buying designer purses and shoes. it's not very different.

nj2pa2nc

[QUOTE=LukeaTron;10421222]0% financing, typically from the place you bought it, is a completely different animal than a general purpose bank loan. On top of that, how much was your TV? I'm guessing (hoping) it wasn't anywhere close to ten grand. This comparison is totally irrelevant.[/QUO


We bought a 52" samsung for less than $2,000 total, including surround sound and the tv cabinet. We have no trouble getting credit but know how to use it wisely. The whole idea is being able to manage your debt.

CarbonGray Earl

So Psengsouriya, how would you able to pay for 10k loan, and how long? What could you pay monthly towards that debt and what sort of interest rate can you get?If you're going to put up that sort of money for mods, I'd be interested to hear your detailed plans on how you would raise the funds and how you'd pay it back. Maybe there is something we're not seeing here.

Itchytoe

I agree with you that you can get older vehicles for cheaper, but don't see what that has to do with buying one that costs more than one has in cash. I'm simply saying that it's ok to finance a vehicle since it's a need and not a want. Nobody should finance a vehicle if they can't afford the payments, but if they can afford the payments, they are making a financially good decision to finance a vehicle, but are making an even better decision to get one they can pay cash for. A vehicle loan debt is good debt.
Credit card debt however is bad debt, which is what buying mods with a loan is. All that does is enable you to pay way more for an item now than you would in a few months. It's like paying 5 bucks for a coke right now instead of 50 cents in 10 minutes. It's financially a horrible decision.

Also, you're a vendor. Of course you want people to buy things from you and you want them to do it now. You're 100% biast here.

ROFLMAO Same thing....ROFLMAO again cause it's still funny!! There's a world of difference between the two.

Exactly. You need a car, you want to mod it. Two completely different things.
That's the difference between 0% interest and a 10% signature loan. One's free, or less if you're smart enough to invest the money you would have used to pay for it in the first place, and the other is pretty expensive. Think of it like this. Instead of paying 20,000 cash for a car, you get 0% financing for 5 years. In 5 years you will have paid 20,000 for the car. If you take that 20,000 and invest it in something that makes you 5% per year, you've made about 8,000 by taking that free financing. If you get that same financing at 10%, then you lose money. That's why people use the 0% financing all the time, but it's a bad idea to get a signature loan or similar for something you don't need. It ends up costing you too much.

MrHeeltoe

iTrader: (1)

You NEED a car. You WANT one that will , unfortunately, require financing. A car is a need AND a want. No debt is good debt as far as I am concerned. How bad it is depends on what you are buying. And if you buy a depreciating liability (like, A CAR, or car parts), it is always compounded when you are paying interest on top of it.

I am not 100% biast??? BIASED! I am maybe, at worst, 75% biased. I have told this guy already the pros and cons of his choices on the matter. Try reading my advice a little slower/closer before judging my comments. I am not in favor of digging a big hole like this, but if its going to happen DUH I wanna be there.


The only "world of difference" between buying a car and car parts is in one case, the shit's already put together for you. They both depreciate and if you have any hope of staying above water with either you need to make informed choices on the items purchased, maintain the purchases as best as you can by limiting use, and selling at the right time. THAT'S IT. RAOTF all you want. Its true.


Again with the needs and wants...You NEED car. You WANT one that you can mod, and then you WANT to mod it. Any piece of shit with 4 wheels is all you essentially need in terms of a car. That's like saying I need a TV, and I need a plasma TV. You honestly should always buy the cheapest thing you will be happy with and HOPE that you have enough greenbacks to afford it.


You are right about that 0% financing though. And that was my point before. Not to buy something on credit unless you actually have all or most of the cash sitting there to pay for it. It is just the best way to do things. In America, we have a lot of paradigms to unravel. "Affording" is not a matter of can I afford the payment. It is a matter of CAN I BUY IT?

bukxanger

If you can afford it do it! Can't wait to see what you're gonna do.

clee109

I suppose other than it being insane to take out a 10K loan to mod your car as I stated earlier. Just answer me one question...you plan on a 10K loan, try and spread it out over 5 years to get that really good montly payment, something so cheap your allowance will pay for it. But are you still going to want your mods and car in 5 years? Most Americans and probably most people on this board have not had the car for 5 years and don't intend on keeping it 5 years.

Well you can sell the car in 2 years + get back the money you spent on mods....wrong mods will actually decrease the value of your car. Although there are alot of TSX owners on here who mod, the majority of TSX owners do not and don't want to mod and that includes the majority of people willing to purchase your used TSX. So you'll never get the money back so don't think you will.

Mods are for your own personal pleasure and if come to a point where you are bored with your car, or that new model catches your eye and well placed mod can be a perfect remedy, only if you can afford it.....

psengsouriya

I WOULD NEVER GET A CREDIT CARD.

I have a job. I am a low voltage electrician. I have been one for 2 years plus I get free education from my work that counts towards a low voltage electronics licences from the state and I am doing a 2 year electronics engineering technology program wish I finish in a semester and I am planning to start automotive school at a community college which cost like nothing per semester, so stop saying I should go back to school or something. I get $1.40 raise every 6months plus cost of living raises starting base pay was $14.00 cause I had some experience from my other job as being a cable contractor. Plus it's a union job. I know my job is a labor job but I am always keeping my eye open for an entry level electornics tech job. Age 20 living at home stacking my cash. I am not dumb guys... I have money saved up to be one year ahead of my payments... and yeah my parents would co-sign I would get around 6.5%...

any more questions or are you fools going to keep preaching cause I just want a list of what I should get...

Its like Janja take a little block (money) off the top and pay the bank off at the bottom while keeping the balance while your savings is still there...
Its like a buffer...

LukeaTron

You would never get a credit car but you'll take out a bank loan to pay for mods... Well I guess you've got it all worked out. Brilliant.

CarbonGray Earl

Hey man, not trying to be a dick. If you can pay cash for it, do it. Otherwise, don't take a loan out. we can all make arguments for how or why could/should afford this or that or look to others mistakes and say "if they did it, why shouldn't I". This could be a good lesson in delayed gratification. Something we should all learn.

You're starting out, so might as well not f things up. If you really want to do this, I say find a 0% credit card that rewards you some how (airline miles, cash back, etc) buy your parts and be sure you can pay back the entire sum in the allotted time. That way, you build your credit, get something in return, and you get to have your car parts as soon as you want them.

goon54

^ +1
here's a list of what you should get:
1. common sense
2. build your credit with a credit card!
3. pay off ur current loans if you supposively have $$ to be a year ahead.

jlukja

PACman

LukeaTron

^^^ Holy shit, that just made LOL for real. Very apropos.

xjohnkdoex

iTrader: (2)

hahaha