Author Topic: Downgrade car?  (Read 2804 times)

spaniard999

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Downgrade car?
« on: March 05, 2018, 09:22:42 AM »
Hi everyone.
So July 2016 I bought a used 2014 Ford Fiesta SE Hatchback from an official Ford dealer. I paid 10K.
Seems like the car had so many issues and within the same year I had to take it to the dealer 4 times.
There is a common transmission issue they told me they fixed but it just kept happening.

Found out there was a class action lawsuit against Ford for this so knowing I would get pennies on the dollar, I withdraw from it and sued Ford on my own.

Luckily I got 2K from Ford and never paid a dime for the repairs because the car was PRE-Owned so it was still under warranty.

On top of this I feel I'm paying an extreme amount ($100/month with $500 deductible) for insurance for such a shitty car that I feel it can break down any moment.

I'm considering trying to sell it, then buy something reliable, older and way cheaper (2009 Honda Fit?Mazda3?)

I just use the car for work (10 mile commute) and city errands so I almost never take highways.
About mileage, I average 30MPG which is pretty decent considering most of my miles are in the city of Chicago, where it takes me 30 min to do 10 miles.

Would it be worth to sell the car, buy something for 5k, and get a way cheaper insurance?

Thank you

chasesfish

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Re: Downgrade car?
« Reply #1 on: March 05, 2018, 07:10:15 PM »
Lots of information, do you have to have a car?  Chicago is a decent city to go without and there's a pile of hidden costs in owning a car in a northern city with high taxes and bad weather

Jeff K

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Re: Downgrade car?
« Reply #2 on: March 06, 2018, 06:43:51 AM »
That insurance does seem a little steep for that car.  Just as a comparison, my insurance when I owned a 2013 WRX that I bought new on a loan and needed collision was only a little over $100 a month.  While I know that there are regional differences in insurance costs, I can't imagine it's that much.  Do you have comprehensive coverage or speeding tickets that may be increasing the price?

lbmustache

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Re: Downgrade car?
« Reply #3 on: March 06, 2018, 03:04:52 PM »
If this was a different car I might have a different response, but the issue with some Ford's has been well-documented. Cut your losses and buy a reliable used car!

spaniard999

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Re: Downgrade car?
« Reply #4 on: April 12, 2018, 04:38:36 PM »
Well I'm still in the same situation.
I'm looking into cheap cars in order to do a switch but it will be hard to find someone to buy my car :S

Drew0311

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Re: Downgrade car?
« Reply #5 on: April 13, 2018, 07:19:55 AM »
A lot of people in Chi have ditched their personal vehicles...I would go this route, but if you have to have a car, buy a used Prius. You can get them dirt cheap and they last forever.

frugaliknowit

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Re: Downgrade car?
« Reply #6 on: April 13, 2018, 08:15:07 AM »
What is your 10 mile commute in Chicago (I live there)?  Why do you own a car?  Why not ditch it?

neo von retorch

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Re: Downgrade car?
« Reply #7 on: April 13, 2018, 11:08:43 AM »
Assuming you do continue with car ownership, how would things look after you've done the swap?

i.e. you sell the Fiesta for $6,000, buy another car for $5,000 - you pay ~$500 in taxes + fees. Your new insurance is $40/month w/ no collision or comprehensive coverage.

Or, given the choice between buying the Fiesta for $6k or a different car for $5500 (w/ tax/fees), which would you choose?

Do you think this car is going to fail/die? How much would insurance be if you just dropped collision?

Cranky

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Re: Downgrade car?
« Reply #8 on: April 13, 2018, 11:59:50 AM »
Insurance is expensive in Chicago, though (probably because people are crazy drivers there.)

We paid the insurance on a kid's car while she was in school, and it doubled when they moved to Chicago.

ChpBstrd

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Re: Downgrade car?
« Reply #9 on: April 13, 2018, 12:58:22 PM »
If you downgraded the insurance to liability-only, your financial outcome in most collisions would be the same as if you had comprehensive coverage. The other person's liability coverage would pay you and your liability insurance would pay them. Comprehensive only helps you if there is a hit-and-run, you collide with a uninsured motorist, you hit a lightpole, or your car is stolen/vandalized. If you hate your car already, and you can afford to gamble on the above contingencies, I'd just drop to liability only. If you drive relatively few miles a year, that would seal the deal.

405programmer

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Re: Downgrade car?
« Reply #10 on: April 13, 2018, 01:09:30 PM »
ChpBstrd the insurance situation you described is only true in "no-fault" states. Illinois is an "at-fault" state, so the person who caused the wreck is responsible for everyone's damages including their own. The collision portion of "full coverage" auto insurance is what protects you in this situation.

For the OP, sell the car and learn to love public transit. Even if you take a lot more ubers remember you're saving 100/ month in insurance + the other costs of just keeping your current car.

ChpBstrd

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Re: Downgrade car?
« Reply #11 on: April 13, 2018, 02:12:57 PM »
Good point 405!