Jade Warshaw
👤 SpeakerAppearances Over Time
Podcast Appearances
Today's question comes from Vince in Rhode Island.
He says, my wife and I are buying a used car, but instead of paying cash, we're thinking of leveraging the debt considering we can get a low interest rate.
We'd invest the $30,000 into Vanguard funds and contribute more each year to fund a family cabin down payment.
We're in our 30s.
have over $200,000 in 401ks, no other debt, have an emergency fund in place, and a steady income.
Does this sound like a good plan?
Here's my thing.
You're doing so much right.
I think it's just a patience issue because...
You've done, like you said, there's no debt.
You've got the 401k set up and you've got the emergency fund squared away.
Like why abort the plan and go into this lifestyle of debt for a vehicle that you can pay cash for?
Pay cash for the vehicle that you want.
And then from there on, yes, go ahead and invest for this cabin down payment.
Why can you not do both and do both of them the right way is what I would say.
George, you got me?