After I totaled my first car, I bought a 14-year-old Honda Civic with 144,000 miles for about $5,200. I could have taken out a loan to buy a nicer or newer car, but instead I made do with the Civic while making a"car payment" into a high-yield savings account for the next three years. By the time the Civic died, I'd made about $360 and saved about $11,000 for my next car, a Honda Fit.
After I totaled my first car, I bought a 14-year-old Honda Civic with 144,000 miles for about $5,200. I could have taken out a loan to buy a nicer or newer car, but instead I made do with the Civic while making a"car payment" into a high-yield savings account for the next three years. By the time the Civic died, I'd made about $360 and saved about $11,000 for my next car, a Honda Fit.
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