Very Tricky
Ξ January 23rd, 2008 | → | ∇ Debt Payments |
I got a letter in the mail today from Dodge. It said, “Important information about your vehicle” on the front.
I thought it must be some kind of recall or something. Or at least that it could be. But no. It was an offer.
“We will give you 100% of the amount that you owe on your car if you trade it in on a new vehicle. You will have zero out of pocket expense, and your payments will remain exactly the same as they are now, for the same amount of time, because your credit is better than it was when you first bought your car and we can offer you such a lower interest rate.”
Or something thereabout.
It sounded like a pretty good offer on the surface. Two weeks ago I would have taken it. Or at least looked into it more.
But not this time. I can see the fallacy plain as day. Can you spot the problem?
The problem is this: I have no intention of paying on my loan for the duration. I am going to pay it all off ahead of time, so if I were to get a new car at this time, it would increase my balance owing, and increase the time it takes to pay it all off. Not to mention that it would be stupid for me to buy a new car at this time in my life because it depreciates so quickly.
So no thank you, Dodge. I’m good.
