Recession Watch: $1,000 a month for a new minivan? No way
Filed under: Shopping, Transportation, Recession
This post is part of a series about real-life signs we're in a recession. It has been fun for the past year, since my son was born, driving around in a 1999 Ford Taurus with three kids crammed into the back seat. But the plan has long been to buy a minivan.
The only one my eight-year-old daughter, who loves our Taurus almost as much as my husband, would consent to is the new Dodge Grand Caravan, for 2008. That's because it is the one with the seats that spin and face backwards and the little pop-in table for in-van picnicking.
Am I a sucker for swivel and go seating? Yes! I thought we had an easy decision and I even joined Costco (more on that decision) to take advantage of their no-haggle car buying program. I had my special incentives and zero percent financing deals all lined up when I went to the nearest participating dealer, ready to buy.
Only problem: I thought I could buy a car for about $22,000. But when I got done talking to the salesman, he had me convinced I needed a model that cost $36,000. With my cheap financing deal, that was still $1,000 a month.
In more optimistic times, I might have rationalized the purchase. I mean, we'd probably have the van for 10 years. Maybe I'd let him convince me to lease one. Or take out a five year loan. But this year? When we're trying to cut back on evenings out, new clothes, vacations, anywhere we can, to suddenly take on that kind of expense? All I could think of was all the things I could do with that $1,000 a month.
Owning a Dodge Caravan paled in comparison. I decided to swivel and go myself -- right out of that dealership.
I talked it over with my wise and frugal colleague Sarah Gilbert. She advised waiting a year when I can buy one used at hopefully about half the price.
See, I'm still a sucker for swivel and go seating -- just not at a $36,000 price tag.
How much is your mom worth?
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Reader Comments (Page 1 of 1)
5-08-2008 @ 12:40PM
tripletsmom said...
I currently own a 1999 Ford Windstar but my husband and I need a second car because I work too far and I currently borrow a car from my parents. At first I was going to go down that path of new mini-van-hood, paved with swivel and go seating and dual screen dvd entertainment. But reality kicked in and instead I'm buying a newer used mini-van (I'm in search for 2001-2003 model) to buy cash. With the way things are right now, the only payment anyone should have is a mortgage and the regular household bills. Car payments aren't worth it in the long run.
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5-08-2008 @ 12:48PM
Marti said...
Since when do we depend on children to help make such large (financial) decisions? If you need a minivan - and it sounds like you do - I'd suggest that you quit asking your 8-year old what she would approve of and look at what will fit, comfortably, in your budget. Will you get all of the lovely little options like swivel seating and a pop-in table? Probably not, but do you REALLY need them anyway? And, c'mon! Who picnics in their car? The point of a picnic is to be outdoors. It's great that you want to include your child in family decision making, but there have to be other, less financially burdensome, decsions she can help with.
I'd also suggest that you quit listening to the salesmen -remember that their purpose is to make as big a sale as possible. They are not there to "help" us, they are there to make money.
I'm not saying that you need to go with a low end piece of junk that barely has enough cup holders for everyone, but there has to be something else out there that would suit your needs without costing $1000/mo. When your daughter sees how nice it is not to be squished in the back seat, I think she'll get over the non-swivel issue.
And maybe you could even sit down with your kids and explain to them what is going on with our economy (if you haven't already and if they are old enough - I believe the 8 year old is) and why you have to make more financially sound decisions - and why you have to give up the swiveling seats and in-van picnic.
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5-08-2008 @ 2:31PM
SW said...
I agree completely!
5-08-2008 @ 7:24PM
Ann said...
Geez Marti, you took a look at Ms. Stone's article and read everything into backwards that you could. First of all, I get my son's opinion and I always have. It's called a LEARNING experience. Because afterwards, you sit down and explain the pros and cons of every decision. It doesn't matter how old your child is. Second, this was an article that pointed out how you can get suckered into a large vehicle purchase all too easily Me thinks that you have a negative attitude and keep a headache all of the time. Lighten up! If you read all of her article.....She didn't buy the damn van!
5-09-2008 @ 8:28PM
cjm said...
AMEN!!!!
She needs a mini-van but NOT some 36k platinum edition
A town and country (Chrysler version of a Dodge caravan) touring at 22-26k, is ALL that she needs.
My dealer is trying to talk me into a Platinum model at 36k... I told he is insane...
Who nees 2 dvd players/screens in a car...?
Who NEEDS a 40g hard drive in their radio?
Who need a gas sucking 3.8 liter engine?
The swivel seats can be justified for comfort as even consumer reports has noted that the swivel seats are better padded and WAY more confortable than the Stow & go's, (which have to be compact so that they can fit in the floor)
5-11-2008 @ 2:00PM
PatM said...
To Triplets mom...
If you are located in Massachusetts, I have a 2003 Dodge Caravan in good condition which I am looking to sell for about $5,000
My kids are grown and I need a much smaller car.
If you want more info.. or CONSTRUCTIVE ideas, please contact me directly.
Warmest regards
and HAPPY Mother's Day
5-08-2008 @ 1:41PM
ALD said...
I too desperately wanted a 2008 Dodge Grand Caravan minivan. I went to the dealers to look at them. Fell in love with it, it's design was so crisp and fresh, I felt I just had to have it! Then I looked closer. It was a sea of the cheapest plastic ever produced by mankind. Offended, and insulted that Chrysler offer such deplorable product to the public. I walked away. My new Toyota Sienna is hot!
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5-09-2008 @ 11:15AM
Stephanie said...
I completely agree ALD - our family thought the Grand Caravan would be a perfect fit as well and ended up with a Toyota Sienna. I whined about getting a mini van for months (I just turned 30... who wants to think mini van?) but the Sienna is hot and it makes me feel like one fierce soccer mom.
5-09-2008 @ 1:03PM
Andy said...
I am a Dodge salesperson and we can get you a swivel n go Grand Caravan that is not as well equipped and much less than $36,000.... Also did you provide them with credit info? They may have quoted you a worst case scenario... And what was the term? How much were you putting down? All these things come into play... With 20% down (suggested) and a 60mo loan and good credit they should have been in the $600 range....
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5-10-2008 @ 1:00AM
jay said...
Hey, Andy the salesman I agree,that the 1k a month payment was way too high a payment. We traded in a van w/negative equity of $3500 and very little down payment, for a brand new 08 Chry T&C Touring loaded similer to the Limited; and our payments are not close to a grand per month. And to you Toyota lovers, you continue to look a Dodge for its cheaper price and complain about how cheap it looks. Instead of looking at the Chrysler version. The differance is very noticeable
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5-10-2008 @ 8:50AM
Sarah said...
$600 a month car payment? That is a lot of money, in addition to your mortgage and regular household bills. I would never pay that much for a car! Instead, I would get a newer used car. I'll never buy a new car again!
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