Comments on: suv’s slippery slope http://theweightofmoney.com/2007/12/suvs-slippery-slope.html understanding the weight of money Mon, 25 Jan 2010 03:09:53 +0000 hourly 1 http://wordpress.org/?v=3.0 By: Donna Jean http://theweightofmoney.com/2007/12/suvs-slippery-slope.html/comment-page-1#comment-18736 Donna Jean Thu, 06 Dec 2007 23:17:09 +0000 http://theweightofmoney.com/2007/12/suvs-slippery-slope.html#comment-18736 I agree on ignoring the sunk costs aspect -- thats why I refuse to justify more money into just because we just put money into it. It's not about what we have put in it, it's about how much more it needs and where that money could go instead. Also almost every time I've had to get a new car, it was just weeks or a couple months after throwing cash at the problem. We could throw a hefty chunk of money into it and maybe we'd see positive progress. This was a $5 vehicle, heheh, so it's certainly come a long way in the past 3-4 years. Of course, it's eaten a few thousand in that time and the problems are still not resolved. I'd much rather throw that cash at another vehicle instead as I've always had great experiences buying very affordable used cars. Oh, and it made it home just fine and, as far as I know, has made the trip back to work with no (new) issues. So, hopefully yesterday was a minor fluke and whatever adjustments the partner made this morning will keep it running a few more weeks at least. :) I agree on ignoring the sunk costs aspect — thats why I refuse to justify more money into just because we just put money into it. It’s not about what we have put in it, it’s about how much more it needs and where that money could go instead. Also almost every time I’ve had to get a new car, it was just weeks or a couple months after throwing cash at the problem.

We could throw a hefty chunk of money into it and maybe we’d see positive progress. This was a $5 vehicle, heheh, so it’s certainly come a long way in the past 3-4 years. Of course, it’s eaten a few thousand in that time and the problems are still not resolved. I’d much rather throw that cash at another vehicle instead as I’ve always had great experiences buying very affordable used cars.

Oh, and it made it home just fine and, as far as I know, has made the trip back to work with no (new) issues. So, hopefully yesterday was a minor fluke and whatever adjustments the partner made this morning will keep it running a few more weeks at least. :)

]]> By: Livingalmostlarge http://theweightofmoney.com/2007/12/suvs-slippery-slope.html/comment-page-1#comment-18735 Livingalmostlarge Thu, 06 Dec 2007 23:08:20 +0000 http://theweightofmoney.com/2007/12/suvs-slippery-slope.html#comment-18735 First off it doesn't matter what you spent in the past on the SUV, it's sunk cost. It's gone. Now you have to make a decision based on the cost/value of the SUV now. I have trouble with this, but my DH is brilliant. You can never predict the future. And sunk costs is money already gone. The real question now is how much longer will the car last for the amount of money it will cost to run? And would that money be better used purchasing a used car for the same amount, a down payment on a reliable but more expensive used car say $10k, or would it best utilized in the SUV? Only you can answer. But you have to not think about money already spent. It has no equation in the matter. I personally am wrangling with this. I hate DH's ford focus. I know it will be a money pit soon, but we're nursing it along. He's been driving my Corolla which has no reliability issues. This means we can nurse his car as I drive infrequently. But if a major bill hits we are dumping his Focus. Why? Because sure we spent money in the past, but it's not a reliable car. There are a lot of problems with it. We know rather than dumping say $2-4k into it, we're better off purchasing a used car for that much or maybe using it as a DP on another car. First off it doesn’t matter what you spent in the past on the SUV, it’s sunk cost. It’s gone. Now you have to make a decision based on the cost/value of the SUV now.

I have trouble with this, but my DH is brilliant. You can never predict the future. And sunk costs is money already gone.

The real question now is how much longer will the car last for the amount of money it will cost to run? And would that money be better used purchasing a used car for the same amount, a down payment on a reliable but more expensive used car say $10k, or would it best utilized in the SUV?

Only you can answer. But you have to not think about money already spent. It has no equation in the matter.

I personally am wrangling with this. I hate DH’s ford focus. I know it will be a money pit soon, but we’re nursing it along. He’s been driving my Corolla which has no reliability issues. This means we can nurse his car as I drive infrequently. But if a major bill hits we are dumping his Focus. Why? Because sure we spent money in the past, but it’s not a reliable car. There are a lot of problems with it. We know rather than dumping say $2-4k into it, we’re better off purchasing a used car for that much or maybe using it as a DP on another car.

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