“Pay as much as you need to for things that matter, and as little as you can for things that don’t. And never borrow money to pay for something that goes down in value.”
This is relevant to all – from the professional students, full time housewives to business owners and government bureaucrats.
Word!
May 9, 2007 at 1:46 pm
Nigerians have paid so much so long for what matters. its high time what matters now pay for Nigerians. What is the magic formula?
May 9, 2007 at 4:09 pm
If people in America followed this advice only millionaires would drive cars.
May 10, 2007 at 12:54 pm
Maybe you should qualify your statement and add “nice” to the cars, Dare. “Prudence” is the underlying message, I think and probably what Seth is trying to convey.
In fact, if Americans follow the advice to the letter, the economy would go bust!
May 10, 2007 at 1:39 pm
The nugget of wisdom could only be useful and make sense to the wise or those who are ready to embrace wisdom. Imnakoya, I am not surprised about counter argument from you know who. His sycophantfriends will try bite my head off again if I mention names
May 10, 2007 at 4:09 pm
Omotaylor: I think we have just have to let go at some time. I think its time to bury the hatchet. If Dare wants to partake in the conversation we should allow him. In fact he’s invited!
May 10, 2007 at 5:14 pm
If by “nice” you mean new then I guess we are in agreement. A low end new car is about $10K. The average American has no savings and makes about $45K a year before taxes. Once you take out taxes, rent and living expenses there is little possibility that they would ever be able to afford a car without a loan.
Secondly cars depreciate steeply in value, losing about fifteen to twenty percent of their value for each year you own them. In fact, a brand new car is worth about fifteen per cent less a day after you purchased it since it is automatically a “used” car even if you’ve only driven it about 20 miles.
In general I agree with the sentiment in the quote, however for every generalization like that quote there are counterarguments. It is wise to take such quotes as guidelines instead of hard and fast rules that should be followed to the letter.
May 12, 2007 at 8:42 am
I’m in total agreement Dare.
May 12, 2007 at 10:25 am
Me too I am in agreement as also in Nigeria, the average Nigerian has no savings except for the chosen few, the blessed fewer and the fewest hardworking. The Nugget of wisdom when not applied to cars could be golden especially for those that dont consider cars a priority or things that really matter like sound education, basic amenities, food and healthcare to mention a few.
May 12, 2007 at 9:29 pm