Should I finance a car at 8.9% or keep driving my beater?

Unpopular opinion but fix the Camry. Math time: - ,500 in repairs for a car that could run another 50-100k miles - k car at 8.9% for 60 months = /month = ,840 total - Plus full coverage insurance required (add -100/month more than liability) That Camry with maintenance is probably -150/month in insurance. **Your k salary = ~,800/month take home** + increased insurance = ~/month = 13% of take home just for transportation. Thats rough. **My advice:** 1. Fix the Camry 2. Take that youd be paying and save it monthly 3. In 2 years youll have k+ for a solid down payment 4. Your credit might improve, getting better rates 5. Car prices might come down Timing belts are maintenance, not a sign the car is dying. Camrys regularly hit 300k. Drive that thing into the ground while you build savings.

That Camry will run forever if you maintain it. Timing belt is expensive but its a one time thing. Ive got a 2006 Accord with 240k miles still going strong. Fix it and bank the car payment.

Also check credit unions for better rates before giving up. 8.9% is dealer financing which is usually marked up. My credit union gave me 5.9% with similar credit score.