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Financing vs. Leasing A Car: A Breakdown From Douglas Eze of Largo Financial Services

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If you’re interested in buying a car anytime soon, you may be wondering whether it’s best to finance it or lease it. There are many things to consider before making a decision that suits your lifestyle.

Here’s your guide to financing and leasing a car from wealth strategist Douglas Eze.

Leasing A Car

Leasing a car is good for people who don’t drive much or for people who have multiple cars.

For a middle-income American, there’s a lot to consider including out-of-pocket costs, mileage, and monthly payments.

While leasing may offer lower monthly payments, you’re still buying the car for the value of the car. If the car is $50,000, you’re leasing it for that same price. The major downside? You’re not receiving any discounts. Yes the finance guy will tell you that you will be paying lower because of the expected depreciation during the lease period and a possible benefit is that you can take it in for maintenance anytime you want, but, at the end of the day, when you lease a car, you’re not only paying more out-of-pocket each month, you’re also restricted by mileage.

Financing a car allows you to invest your money elsewhere. Your dollar today is more valuable than your dollar in the future. Your dollar today needs to be working for you and making you money.

Financing A Car

When financing a car, you own the car and get to keep it for as long as you want. If this is the option you choose, think about your financing options. Where do you want to finance it? How long do you want to finance the car?

Remember, a car cannot give you any equity. It’s more of a liability than it is an asset. Financing a car strategically offers you the opportunity to invest money elsewhere.

You may think that someone with a credit score of 850 whose income is over 7 figures would buy a car mostly or all up front. But, if they are wise, they won’t do this. Rather, they will finance for the longest term possible or allowed by the finance company. Again, it’s not that they can’t take a short loan term, because they most likely could, they do this because they are looking at the monthly out of pocket money. Here’s an example.

If someone purchases a $30,000 car, they are often presented with two loan options; 36 or 60 months. The 36 months option has an auto loan rate of 1.79%, resulting in a monthly payment of $857 and the total interest amount of $835 paid. The 60 months option, with a higher interest rate of 2.19%, results in a monthly payment of $528 and the total interest amount of $1700 paid.

Many will pick the 36 month option because of its low interest rate. However, the smarter decision would be to choose the 60 month one. Although you end up paying $865 more in interest total ($1700 minus $835), if you take the difference in the monthly payment, which is $329 a month ($857 minus $528), and save it, you will have $19,740 saved. Better yet, if you put it in an account that pays a 4% guaranteed interest, then the value will be $21,812. That’s WITH a $2072 interest earned.

The key is having access and control of your hard earned money. Keeping this example in mind, Douglas Eze can still show you how to pay off the car in 3 years without even making an extra payment.

Build Your Wealth Strategy With Financial Expert Douglas Eze

20 years ago, Douglas Eze founded Largo Financial Services. His calling is to equip individuals and families with the education and resources to build generational wealth. Douglas’ primary mission is to identify the areas his clients may be unknowingly throwing away money and empower them with the tools to begin saving for their future.

Largo Financial Services is Licensed in 50 states and the District of Columbia. To inquire about insurance, annuities, college plans, and tax-free retirement, schedule a free consultation with Douglas Eze and his team.

Rosario is from New York and has worked with leading companies like Microsoft as a copy-writer in the past. Now he spends his time writing for readers of BigtimeDaily.com

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Turning Tragedy into Triumph Through Walking With Anthony

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On the morning of February 6, 2010, Anthony Purcell took a moment to admire the churning surf before plunging into the waves off Miami Beach. Though he had made the dive numerous times before, that morning was destined to be different when he crashed into a hidden sandbar, sustaining bruises to his C5 and C6 vertebrae and breaking his neck.

“I was completely submerged and unable to rise to the surface,” Purcell recalls. “Fortunately, my cousin Bernie saw what was happening and came to my rescue. He saved my life, but things would never be the same after that dive.”

Like thousands of others who are confronted with a spinal cord injury (SCI), Purcell plunged headlong into long months of hopelessness and despair. Eventually, however, he learned to turn personal tragedy into triumph as he reached out to fellow SCI victims by launching Walking With Anthony.

Living with SCI: the first dark days

Initial rehabilitation for those with SCIs takes an average of three to six months, during which time they must relearn hundreds of fundamental skills and adjust to what feels like an entirely new body. Unfortunately, after 21 days, Purcell’s insurance stopped paying for this essential treatment, even though he had made only minimal improvement in such a short time.

“Insurance companies cover rehab costs for people with back injuries, but not for people with spinal cord injuries,” explains Purcell. “We were practically thrown to the curb. At that time, I was so immobile that I couldn’t even raise my arms to feed myself.”

Instead of giving up, Purcell’s mother chose to battle his SCI with long-term rehab. She enrolled Purcell in Project Walk, a rehabilitation facility located in Carlsbad, California, but one that came with an annual cost of over $100,000.

“My parents paid for rehabilitation treatment for over three years,” says Purcell. “Throughout that time, they taught me the importance of patience, compassion, and unconditional love.”

Yet despite his family’s support, Purcell still struggled. “Those were dark days when I couldn’t bring myself to accept the bleak prognosis ahead of me,” he says. “I faced life in a wheelchair and the never-ending struggle for healthcare access, coverage, and advocacy. I hit my share of low points, and there were times when I seriously contemplated giving up on life altogether.”

Purcell finds a new purpose in helping others with SCIs

After long months of depression and self-doubt, Purcell’s mother determined it was time for her son to find purpose beyond rehabilitation.

“My mom suggested I start Walking With Anthony to show people with spinal cord injuries that they were not alone,” Purcell remarks. “When I began to focus on other people besides myself, I realized that people all around the world with spinal cord injuries were suffering because of restrictions on coverage and healthcare access. The question that plagued me most was, ‘What about the people with spinal cord injuries who cannot afford the cost of rehabilitation?’ I had no idea how they were managing.”

Purcell and his mother knew they wanted to make a difference for other people with SCIs, starting with the creation of grants to help cover essentials like assistive technology and emergency finances. To date, they have helped over 100 SCI patients get back on their feet after suffering a similar life-altering accident.

Purcell demonstrates the power and necessity of rehab for people with SCIs

After targeted rehab, Purcell’s physical and mental health improved drastically. Today, he is able to care for himself, drive his own car, and has even returned to work.

“Thanks to my family’s financial and emotional support, I am making amazing physical improvement,” Purcell comments. “I mustered the strength to rebuild my life and even found the nerve to message Karen, a high school classmate I’d always had a thing for. We reconnected, our friendship evolved into love, and we tied the knot in 2017.”

After all that, Purcell found the drive to push toward one further personal triumph. He married but did not believe a family was in his future. Regardless of his remarkable progress, physicians told him biological children were not an option.

Despite being paralyzed from the chest down, Purcell continued to look for hope. Finally, Dr. Jesse Mills of UCLA Health’s Male Reproductive Medicine department assured Purcell and his wife that the right medical care and in vitro fertilization could make their dream of becoming parents a reality.

“Payton joined our family in the spring of 2023,” Purcell reports. “For so long, I believed my spinal cord injury had taken everything I cared about, but now I am grateful every day. I work to help other people with spinal cord injuries find the same joy and hope. We provide them with access to specialists, funding to pay for innovative treatments, and the desire to move forward with a focus on the future.”

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