Should I keep the truck?

Kalabin · April 2, 2014

So due to a job change we have sold off our travel trailer and toys. We are both younger I am 29 and my wife is 25, with the new job we have only 1 day off out of the week where we both can go do stuff. Right now our truck has 90,400 miles on it and I drive 20 miles one way to work 5 days a week. For numbers sake lets say I owe 20k on my current truck, new half-tons are going for 36k.

Wife has given me the green light to either look into getting a new half-ton with the idea of better daily ride / fuel economy, or put money into my current truck to sort of "upgrade" it. The money isn't the issue, im more concerned with the 3/4-ton truck pushing closer to 100k miles and loss of appreciation etc. With the current change would you guys just keep the 3/4-ton or switch it out for a half-ton.

This is a permanent schedule / work change and for the next couple of years or longer we will not have multiple days off together so the need for a 3/4-ton isn't needed. Being in Alaska and driving on the highway in the winter I am not big on driving a commuter car. Dead set on either getting a new half-ton or holding onto my current truck.

Rocky5000100 · April 2, 2014

Would the payment on the new half ton be similar to your current payment?

If so, the increased fuel economy of the 2014 models plus the warranty might be a nice thing to have.

mike94silverado · April 2, 2014

yeah I mean if you're making payments anyways..... as long as it's affordable and you WANT to get rid of it I would get rid of the truck before it hit 100k for resale alone...

Chevyrcg · April 2, 2014

IMO… If the payments are affordable, and i was in your situation, I would go for a new 1500. Better gas mileage and comfort for the longer ride, and the truck will have a warranty so you don’t have to worry about repair bills for at least 3 years. Typically I only keep a truck for 3 years, get ahead on the payments so once the warranty has expired it is either paid off or I have a lot of equity toward a trade and the payments stay in the same range or less. Usually the only reason I keep a truck for more than the warranty period is because I have invested a lot in mods and really like the truck the way it is, and although building a new one is a lot of fun, sometimes it’s a pain in the A**. Or the aftermarket availability hasn’t caught up with the model year and have to wait for them.

Just a thought!….

r1byker · April 2, 2014

Yes, keep the truck and pay it off. And save the money you would've had in payments to go to Hawaii for a nice long vacation in the sun. I'm not a fan of payments; so much of the money goes to the bank. I only pay cash for vehicles; it's a depreciating item and it's easy to get into financial trouble with payments. You can tell I'm a proponent of living debt free.

Kalabin · April 2, 2014

Thanks for the replies,

Yeah I keep going back and forth on it, the monthly payments would not change much as the initial loan on this truck was for 36,500. It's really not a money issue its more out of "fear" that someday I may want to tow again. That's where I get hung up on which half ton to go with.

Ford EcoBoost Max Tow is the best truck to foot the bill for mileage + towing performance if I decided to tow again.

Ram 1500 Hemi 3.55 is what I personally like for styling / riding (actually test drove this one) but the low payload numbers have me shying away from it.

GMC Sierra 1500, they are nice but I just am wanting something different. Co-worker has one, ridden it it just like the ride of the ram the most.

So I am torn, keep going back and forth.

Kalabin · April 2, 2014

Yes, keep the truck and pay it off. And save the money you would've had in payments to go to Hawaii for a nice long vacation in the sun. I'm not a fan of payments; so much of the money goes to the bank. I only pay cash for vehicles; it's a depreciating item and it's easy to get into financial trouble with payments. You can tell I'm a proponent of living debt free.

It's funny you say this, we just got back from Hawaii. We pay cash for everything now, used to finance everything the truck is the last of things that we have a loan on besides the house. We have enough expendable income now that we can make some pretty heavy progress on this loan / new Truck if we wanted too.

idnative1948 · April 3, 2014

No fan of payments here either. Why I kept looking for a low mileage 05-06 3/4 gas in good condition so could pay cash. 'Sides as of today, 88 days remaining until I turn in my badge at work. Will be out of there owing nobody anything, if I don't stroke out first......

Ramin258 · April 4, 2014

Keep your truck, maintenance it and you'll be happy. You say you owe ~$20k and the new one you're considering is $36k? You can do a lot of repairs, maintenance and buy a lot of fuel for 16 grand. Plus you'll pay your current truck off sooner. Your 2008 truck is only 5-6 years old and that motor will make 300,000 if you take care of it

Kalabin · April 4, 2014

Keep your truck, maintenance it and you'll be happy. You say you owe ~$20k and the new one you're considering is $36k? You can do a lot of repairs, maintenance and buy a lot of fuel for 16 grand. Plus you'll pay your current truck off sooner. Your 2008 truck is only 5-6 years old and that motor will make 300,000 if you take care of it

Yeah, I really have no reason to get rid of it. It has been reliable for the most part, I just don't know of many guys around here racking up much beyond the 100k mile mark. It's more of a "want a new truck" issue than needing a different truck..

BLKAV2500 · April 4, 2014

I say keep the truck too...I get tempted into looking into newer trucks as well but I hate making payments. Although I'm at 150k with my truck I'm going to keep it as long as I can. Good luck on your decision.

HawkScot · April 4, 2014

My Dad has been debt free for years (we are too) but he takes it a step further. His budget puts money into his truck fund, truck maintenance, etc. He has a household appliance fund and others... He pays (himself) every month into these funds. When he needs to do maintenance, he has the money, when he wants to replace a vehicle, he has the money. When he needs the washing machine fixed or replaced, he has the money. He had a 94 chevy pickup he pulled his travel trailer with, decided back in 2008 that he wanted a new truck. He had put an engine in his 94 in 2007 paid for out of his truck maintenance fund. He paid cash for his new truck (shopped until he found the truck and price he wanted). He has been making car/truck payments to himself since he was in his 20s (he is in his 80s now). It has worked very well for him, he is very disciplined with his finances.

He believes the only one you should be paying interest to is yourself. He understands that it would be hard to buy an house in today's world like that so a home mortgage is ok, as long as you put a big down payment.

BLKAV2500 · April 4, 2014

My Dad has been debt free for years (we are too) but he takes it a step further. His budget puts money into his truck fund, truck maintenance, etc. He has a household appliance fund and others... He pays (himself) every month into these funds. When he needs to do maintenance, he has the money, when he wants to replace a vehicle, he has the money. When he needs the washing machine fixed or replaced, he has the money. He had a 94 chevy pickup he pulled his travel trailer with, decided back in 2008 that he wanted a new truck. He had put an engine in his 94 in 2007 paid for out of his truck maintenance fund. He paid cash for his new truck (shopped until he found the truck and price he wanted). He has been making car/truck payments to himself since he was in his 20s (he is in his 80s now). It has worked very well for him, he is very disciplined with his finances.

He believes the only one you should be paying interest to is yourself. He understands that it would be hard to buy an house in today's world like that so a home mortgage is ok, as long as you put a big down payment.

Bro your dad sounds like a great person I'd like to meet. My dad was awesome too, he passed away in 92'. Gotta appreaciate the things you learn from your parents.

idnative1948 · April 5, 2014

Your dad sounds like me. You can't plan for everything, but you can have emergency funds. C/C only use for vaca. House paid off, just paid cash for our new tow vehicle.

Retirement in 84 days. Just depends what you are willing to do and I am at the curmudgeon stage in the mid 60's. Our kids don't understand us some times, though.

My Dad has been debt free for years (we are too) but he takes it a step further. His budget puts money into his truck fund, truck maintenance, etc. He has a household appliance fund and others... He pays (himself) every month into these funds. When he needs to do maintenance, he has the money, when he wants to replace a vehicle, he has the money. When he needs the washing machine fixed or replaced, he has the money. He had a 94 chevy pickup he pulled his travel trailer with, decided back in 2008 that he wanted a new truck. He had put an engine in his 94 in 2007 paid for out of his truck maintenance fund. He paid cash for his new truck (shopped until he found the truck and price he wanted). He has been making car/truck payments to himself since he was in his 20s (he is in his 80s now). It has worked very well for him, he is very disciplined with his finances.

He believes the only one you should be paying interest to is yourself. He understands that it would be hard to buy an house in today's world like that so a home mortgage is ok, as long as you put a big down payment.

mike94silverado · April 6, 2014

I love the anti financing crowd.... The guy is currently making payments on a depreciating asset. if he can make a payment on a new truck that fits his current needs and in his own words make a dent on the loan go for it.... Payments aren't evil, it's the
I can't afford the truck so I'm getting 72-84-96 month financing at 4-6 percent" that is. people who do that deserve what they get.... Financing is a tool that CAN be used responsibly.