Looking to buy my first car. I was stationed overseas my first contract and didn't buy a car/haven't driven a car in almost 4 years (currently don't have a license).
I'm an E-4 with 4yrs TIS. Looking for something used for 10K (Max 12k) or hopefully less that will last at least 4 years, has at least 4 seats, and ok cargo space to transport gear. These are my only requirements, I don't care about the look/model/style. Just need something to get me around and maybe a road trip on a 4 day weekend.
I'm open to paying all cash or financing but what are your opinions on paying cash vs financing? (I already have the 10-12K and am setup financially everywhere else).
Question I've thought about: I'm planning on getting an AMEX Platinum CC, could I buy a car with this to meet the 6-8k minimum for points if I'm going to be spending 6-10k anyway? And then pay it all off the next month? My current credit score is 763.
Looking forward to your input!
Buying first car advice/tips/input
byu/MilkRedditMy inMilitaryFinance
Posted by MilkRedditMy
1 Comment
It’s a good plan! I would suggest something that has a strong reliability rating Toyota/Lexus/etc, but at that price point they’re a little difficult. You also need to have a little extra in case the car needs work after you buy it.
I’m a big fan of crossover vehicles and it sounds like it might be what you’re looking for.
Cash vs financing: if you can get a loan below 5% I would finance. Navy Fed or a dealership (if you buy it from there) might be able to get you that rate. If you can get more in a settlement account/HYSA than the interest rate on your loan, it makes the decision easy imo
Buying a car with a credit card would be ideal, but it’s extremely rare to be able to. Merchants have to pay a percentage to credit card companies for the sale, so I have never seen a company accept them for a purchase so large
My final advice is to buy through Facebook marketplace, which is cheaper than a dealership, and to make sure you get the car looked at by a mechanic before you hand over the money