The other day I overheard people talking about being 90 days late and past due…blah blah blah I couldn’t make out the rest, but I heard enough to fill in the blanks. Debt, debt, and more debt.

Two of the biggest culprits are house and car loans. Some may disagree with me, but cars are wealth killers! At least Dave Ramsey agrees with me.

Then it hit me.

After three years of blogging, I found my niche.

This blog is really all about rejecting new car ownership to become financially independent (FI). That’s right. I refuse to buy new cars so I can become FI.

Previously I have spoken on the topic of why I can’t stand buying new cars and instead put that money in stocks thereby earning myself $100k in Mr. Market by ending my car payments.

When I hear people complain about having no money but paying $600 a month for their car, all I hear is the same sound Charlie Brown’s teacher makes. Cut the excuses!!!

Obviously, reminding people why they should reject buying a NEW CAR bears repeating.

Do BMW’s really equal happiness

To drive a brand spanking new car out on these streets today, it will cost you about $554 a month; as that is the average car payment in the U.S. according to Experian.

However, you and I both know that those are small potatoes compared to what some folks are shelling out. We gotta Keep Up With The Joneses’ today or life just plain sucks!

There are now new luxury vehicles coming off the assembly line with an MSRP of $80k! MSRP stands for the Manufacturer Suggested Retail Price — also known as “sticker” price — which is a recommended selling price that automakers give a new car. A dealer uses the MSRP as a price to sell each vehicle; it’s different from invoice price on a car, which can stand thousands below the sale price.

Vehicles have become so expensive that dealerships are offering 84 month car loans! I have no intention of owing the man that type of moola.

Especially, considering that the REPO Man is out there lurking in the shadows, ready to take my car if I miss even one single car payment.

And BTW the REPO Man tends to show up at the worst possible times; such as when you are already 20 minutes late picking up your kids from soccer practice, while the Walgreen’s pharmacy is texting you that this is the last day to pick up your $600 EpiPen or else it goes back on the market.

I actually have a friend that was unable to continue making payments on her BMW. Before, we get into this story here is a little background. She owns a home with an ARM and payments can fluctuate wildly from $1500 to $2400, is finishing her bankruptcy payments, and calls herself a Glam Ma and not Grand Ma.

She used to use dating apps after her divorce, but stopped after one guy told her he was looking for a place to stay. Hard pass. No more Bumble Bee for her! She likes her independence. Always has, always will.

For instance, her son recently asked if his mother would be willing to watch his newborn infant after she is born to save on daycare costs, which is astronomical in America and can cost people one whole paycheck, to which she replied, “not unless she got ID to sit with me at the bar on Friday’s, then no I can’t watch her.”

Getting back to the car situation, she decided to stop all car payments due to financial constraints.

Therefore, she stopped paying for two years.

Two whole years!!!

Since she knew she could no longer afford it; she just strategically stopped paying and put that money towards other obligations. The same way a squatter strategically walks away from an underwater mortgage. No reason to raid the retirement accounts and then end up completely broke now is there.

Anyhoo, she kept the car clean and left nothing in it in case the repo man ever showed up to take it. Well that day finally came and they took it right out of her driveway.

She then decided to hail cabs, and take Lyft and Uber rides until she got her tax refund and then she bought her next car with cold, hard cash baby! Lesson learned. If you own it, no one can take it.

Setting money on fire

Cars are making people go broke. SUV’s are some of the priciest on the market.

And Americans LOVE their SUV’s.

They are willing to SHELL out the big bucks here and dealers know it. Why do you think they stopped making Mitsubishi’s, GM stooped making Pontiac’s, and Ford stopped making compact cars? It is because they are not making money on moderately priced vehicles.

According to Business Insider, Ford made a game-changing decision in April when the company announced it would dissolve its entire line of sedans and compact cars that includes Focus, Fusion, Fiesta, and Taurus by 2020. Other cars that will be discontinued this year and beyond include the Alfa Romeo 4C Coupe, Chevrolet Sonic, and Cadillac ATS.

Maybe this is why Aston Martin has rolled out its latest car with a pricetag of this: New $189,000 SUV.

You could wind up spending $2500 a month just to own this luxury monster!

Let’s do a little math

I’m going to pull back the curtain on this and show you why you need to take off your BMW rose-colored glasses.

Buying a 2020 BMW truck will cost you about $176,000 after all is said and done.

You get to basically drive to work, the grocery store, gym, and Pottery Barn for the low, low price of almost the cost of a house in Georgia.

20 Marietta St NW Unit 6B Atlanta, GA 30303

$179,000 Price 2 Beds 2Baths 1,156 Sq. Ft.$155 / Sq. Ft. Redfin Estimate: $175,558 On Redfin: 70 days Status:  Active

That is also more than three times the median salary of an American adult making $56,000. Even Rappers are buying into this crap before the ink is even dry on that million-dollar deal they just signed!

This is a clip from way back in 2003 from Dame Dash (who has his own money issues; he can’t afford and is too cash poor to pay $2400 in a lawsuit due to his paychecks being garnished by creditors to pay off debt).

Dame Dash explaining how rappers go broke after signing million-dollar deals, 2003. pic.twitter.com/QIdneSS4RL

— DailyRapPics (@DailyRapPics) June 27, 2018

That video came out the same year I bought my car.

Maybe if I had seen this, I would have done something different.

Hopefully seeing this here will help all of you out there.

Put that money into Mr. Market

I know this is the part where your eyes glaze over but please bear with me.

Here’s my story. In 2003, I decided I needed a new car. BIG MISTAKE! I previously had an Nissan Altima that cost about $8k and I was paying $229 per month for it. Then it started having problems so I decided to trade it in for a new Ford Explorer.

Original MSRP was $30k, but I got it on sale for $24,000. Stupid. I had a negative equity balance on the Altima so I rolled it over onto the new loan. I went from owing $6k to $32k in the span of 5 hours at a car dealership from the time I walked in until I signed the papers.

The payment on the Explorer was $448.65 a month for about 5-6 years. Therefore, from 2003-2009 I was paying on this car instead of investing that money in Mr. Market. DUMB!!!! For 6 whole years, I could not do much of anything because the car payment was always due.

Want to go on that trip to Dominican Republic? Sorry guys, can’t do it. The gas guzzler has got to get paid.

Want to buy new socks and clothes because yours are worn out and have holes in them? Sorry, no can do. The car note is due on the first, which is same time as the rent. Sucker! They got me good.

I was even paying over the phone for faster processing at the tune of $5 a pop!

All that changed once I paid it off. I got down to $1500 and just paid it off. I was free b#tche$!! Can’t nobody hold me down…oh no…I got to keep on moving!!!

I haven’t had a car payment in over 10 years! Not since Steph Curry was selected as a draft pick in the NBA.

I took that money and started investing in stocks. Before I know it, I had like a couple hundred grand in Mr. Market just from rejecting new car ownership.

How would you feel having $200,000 working for you everyday 365/24/7 in the market paying you just for having a pulse?