[central_va]

Sensible consumers pay off a relatively inexpensive car loan for their first car, then drive that car until they've saved monthly payments ahead of time so the next vehicle is paid for cash.

Would work except for maintenance costs, they are killer. Most used cars are trash because they are treated like crap. I will say this my 2001 camry has stopped depreciating and is worth about the same as last year. Hasn't need much in repairs either. Pretty good car. A quality car eventually stops depreciation.

[grania]

I got out from under with my first Hyundai. With that 100,000 mile warranty, it was insurance from major repairs for enough time to have cash + trade in to pay for the next car.

If someone isn't mechanical, a low cost new car can be cheaper than a used car with unknown longevity.