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0xDEADBEEF

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I don't want to pollute the thread (even more), but it really doesn't have anything to do with investment performance. High net worth people usually don't pay cash because most of their wealth is usually tied up in businesses or investments that are not liquid. If you sell some assets to cover an expense there are taxes to pay.

It's actually cheaper to get a loan and pay it off over time than it is to pay cash because of the tax code.
 

johnckhall

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I don't want to pollute the thread (even more), but it really doesn't have anything to do with investment performance. High net worth people usually don't pay cash because most of their wealth is usually tied up in businesses or investments that are not liquid. If you sell some assets to cover an expense there are taxes to pay.

It's actually cheaper to get a loan and pay it off over time than it is to pay cash because of the tax code.
Valid point entirely. Hey, if the guy has it to spend then more power to him. We are a bunch of folks that have some '90's era trucks (some very nice and others that are projects), so I would assume that the majority will never have a 2K plus payment on a 140K car. I personally wouldn't finance that much of an auto, but I'm not going to knock the guy that does.
 
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