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A big part of it (I think) is the student loan debt. 80,000 is huge, and can lead to just giving up and spiraling(I already owe 80k, what's another 2?) The car
by Woost 15y ago
A big part of it (I think) is the student loan debt. 80,000 is huge, and can lead to just giving up and spiraling(I already owe 80k, what's another 2?)
The car loan is really low, 10k is just about as cheap as you can get a new car for, and you'll never get a loan for a used car (so if you don't have 2-5k in savings to buy it used...you're SOL) Biking/walking is only really feasible in certain cities.
And if you really want to know why young people are being given credit cards...it's because they don't make money! No, really. Not a conspiracy, but without a steady income they can only make the minimum payments for a while, which gives the card issuers more money than someone who has a job. Plus, they get to charge higher interest on it.
- philwelch 15y agoand you'll never get a loan for a used car (so if you don't have 2-5k in savings to buy it used...you're SOL) This isn't true at all. You might not be able to get a car loan in the 2-5k range, but for a used car, especially a certified used car in the 10k range, those are almost always financed. One also makes a down payment on a car, so a 10K car loan may be for a car that's up to $15k. $15k is plenty for a decent used car.
- Woost 15y agoYes, that was my point. A decent car will put you at least 10k in the hole, unless you have the cash to buy used from someone who isn't a dealer.