Is there anything wrong with taking a loan out on a Honda Civic?

I am doing orientation at work and during break a trainee was talking about how he makes $200 bi-weekly payments on his 2020 Civic for 3 years, and this other trainee was like "why would you take a loan out on a Civic. " This co worker drives a Lexus, he took a loan on it cause he was saying its like 50 K, but he was saying paying interest and taking a loan out on a budget car is a bad idea. Is it true?

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  • Anonymous
    1 week ago

    He's a poor example. The $200 bi-weekly is $400 a month loan. That's $14,400. He probably got $10,000. Not a positive outcome. He's living above his means & very soon, he'll run out of credit. A Civic is a budget car.

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  • 1 week ago

    Assuming you aren't just trolling, $400/mo. for 3 years is only $14.4K, and MSRP on a 2020 Civic is $19,850.

    Unless they put down a healthy downpayment (at least 5K+), and got a ridiculously low interest rate, something doesn't add up.

    But yeah, taking out a loan on a Civic is perfectly fine - the co-worker doesn't know wtf they are talking about.

    • Anon
      Lv 6
      1 week agoReport

      BS. This $14K  is increased to $18.432 by 28% interest. .

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  • 1 week ago

    Aside from arguing about buying a car you can't pay cash for, there is no more of an issue borrowing for a Honda than for a Lexis.

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  • 1 week ago

    Nothing wrong with taking out a loan. It is a forced savings.

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  • 1 week ago

    Nothing wrong with it. Coworker is just being an egotist.

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  • 2 weeks ago

    In a sense, taking out any loan on any car is a bad idea.   But if you are going to borrow, then borrowing less is better.  Both cars are probably pretty good. but the Civic will cost half as much as the Lexus.  The interest would also 1/2 as on the Lexus.   In 3 years both cars will be worth closer to the same value

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  • Pearl
    Lv 7
    2 weeks ago

    i dont think so

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  • 2 weeks ago

    The other critic was just talking smack, trying to put the first guy down. If you can't pay outright for a car, you have it financed. Any goddamned fool can figure that out. The Lexus guy just hasn't figured out that he is paying interest. Don't argue with idiots.

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  • Anonymous
    2 weeks ago

    No is the short answer.

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  • 2 weeks ago

    Sounds like you were talking to an idiot. Anything under $200,000 is a mass produced budget car. Most dealerships sell their cars for double what they paid the manufacturer so everyone is driving around in a cheaper car than they realize.

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