FICO to incorporate buy-now-pay-later loans into credit scores

A house and a decent car are not primarily about making money. They're about your quality of life.

> And all recommend not using credit cards and instead an emergency fund if you lose your job.

And if you already used your emergency fund on, say, a medical emergency...?

Also what happens when that cheap old car doesn’t start in the morning when you need to get to work or pick your kids up from day care/school or need to be home when they get off the bus?

Where are you going to get the money to fix that old car?

My son is looking for rentals in our same community and the equivalent rental to what I had is now around $3000.

Even ignoring appreciation, in the long term there was a cash flow savings.

... in your case. There was a cash flow savings in your case.

I've moved several times and done the math each time. Sometime it's been more cost effective to own, sometimes to rent. There are a lot of factors that go into that calculation, and the math doesn't always fall on the side of buying. That's especially true if you don't expect to be in a house for decades.

Good for you. Bad for your son or anyone living in your community.

When I was working a pizza place, going to JuCo, I had a 10-speed bike for transportation. (Yeah, even in the shit Kansas winters, I was riding to JuCo along the just-plowed roads. Now get off my lawn!)

Credit to buy a new car though is still generally a bad solution. We should fix the other things you mentioned.

I would like to see laws allowing extreme low-cost vehicles (equivalent to golf carts, I guess) allowed on designated roads. A special inexpensive insurance proviso for them.

That you need something like $30K to buy a new car in the U.S. is insane.

Emergencies are unexpected.

And a lot of people simply don't have the money to build up that kind of fund. To suggest that they "should" is to be pretty out-of-touch with the realities of a lot of people. Sometimes they need to rely on credit, because there aren't any alternatives. So that credit becomes a lifeline, a good thing.

These already exist! You maybe haven't heard about them because they're largely a failure beyond niche applications. They're mostly used for things like hospitality shuttles, facility maintenance, meter maids, etc.

https://en.wikipedia.org/wiki/Low-speed_vehicle

https://en.wikipedia.org/wiki/Neighborhood_electric_vehicle

The problem is that they don't make sense for most people, e.g:

1. You can't operate them on high speed roads. The US has a lot of high speed roads, particularly in areas that are poorer.

2. They aren't cheaper than a used car. A street legal Cushman or GEM starts at about $16k. A brand new Nissan Versa is only about $1-2k more, is wildly better equipped, and has more accessible financing. Good $10k used cars are available on every street corner in every poor neighborhood with extremely accessible financing.

3. They are weird. It is much more socially acceptable to drive a similarly priced used car.

4. They lack features that used cars have. Many control cost by omitting basic features such as doors and climate control.

5. The places where you can use them (low speed neighborhood roads) are already more likely to be accessible by alternative means of transportation. (busses, bikes, walking)

I see a business opportunity.

I'm guessing you're taking issue with the price? Meh, that's just what it costs to make a decent product. You can (or at least used to be able to) get hot garbage manufactured abroad for less, but it doesn't meet the standards of what anyone would reasonably get, and they don't compare favorably to even a bad used car.

You might find this interesting:

https://www.youtube.com/watch?v=yRG0Wai4sR0

I remember when you could get a $10k new car... but if you adjust for inflation, we still have those cars today (now they're $20k), and they're actually better than the $10k cars back then.