The Financial Decision of Car Ownership

This is a continuation of Should I Sell My Car?. After a lot of thinking, I have decided NOT to sell my car. Why?

1) I bought this car NEW four years ago. Sticker price of the car was $24,100. Current value is realistically $8,000 or so. I have owned this vehicle throughout its major depreciative years. If I were to buy a car in a year or so, it wouldn't really benefit me to sell my current vehicle right now, because it will not depreciate that much over the next year or so.
2) I know the history of my car. I know that it hasn't been in an accident. It's been garaged most of its life. The engine and transmission have been regularly maintained. This is pretty important knowledge in my opinion.
3) I found a garage about 4 blocks away that will cost about $40 a month. I can park/store it there and we can still use my girlfriend's car (still under warranty), and split the costs for operating her car. This is what I would be doing if I sold my car anyways. Therefore, I am saving money on major maintanence and gas (two of the major costs of my car). I can also lower my insurance by informing them that it is not a daily driver and will have less than 5,000 miles put on it a year.

Because I am not going to sell my car I won't have a large amount of money to pay my debt off. Therefore, I have constructed a plan to spend less than what I earn and make sure every dollar is allocated to something before my paycheck comes in. More to come on this later...

Let me know...do you think my decision makes sense?


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