Weekend Open Forum: Do you use ride-hailing services like Uber and Lyft?

[SirDigby]

Due to disability I'm not allowed to drive, and mostly rely on public transport. Living in London this usually isn't a problem but I live on two very unreliable bus routes so going from my house to my fiancée's, its much easier to get £7 Uber than spend an hour on 2 busses.

 

[Carmaine]

We've been leaning on Uber for quite some time now. There's a bunch of occasions where we would go bar hopping or clubbing and no one wants to be DD. Lol. That being said, there's been many times in the past where taxis would completely miss where we are and just leave. With Uber, we Haven't had that problem with after using it at least 80 - 100 times. At least here where we live anyway.

Spends $100's a week clubbing and bar hopping, can't afford vehicle. Makes sense.

You automatically came to the conclusion that nethier of us owns a vehicle after reading that?

Hahahahahahahaha!!!!!

 

[erickmendes]

I have a son, 2 daughters and a wife. Imagine trying to put 3 car seats in whatever pulls up in front of us? How many Ubers or Lyfts can seat 6 (including the driver)?

Be an adult - buy a car.

Some people don't have the income to 'be an adult' and have two cars. I think this is outside most people reality.

 

[davislane1]

For everyone who said who have a vehicle... I got one too... But I'm married and got a son. Our house income don't allow us to have/keep 2 cars, still I work 2km from my workplace and the only thing I bring to work is my cellphone.
My wife work close to our home too, but where we live it's still safer for her to get back to home by car. So juggling one car sometimes get's easier with the occasional Uber.

I have a son, 2 daughters and a wife. Imagine trying to put 3 car seats in whatever pulls up in front of us? How many Ubers or Lyfts can seat 6 (including the driver)?

Be an adult - buy a car.

Yes, because if you can't afford a car or don't actually need a car (or another one in this case), you aren't an adult because you don't fork over hundreds of dollars a month in lease/financing, insurance expenses, and gas. How childish it is for people to save their money!

Seriously, do you guys hear yourselves?

 

[davislane1]

Some people don't have the income to 'be an adult' and have two cars. I think this is outside most people reality.

Debt. I guarantee you he uses debt to be an 'adult.'

 

[OcelotRex]

Debt. I guarantee you he uses debt to be an 'adult.'

Responsible financing is not "debt." While my money grows for our retirement I have a sub 1% car loan and a low 3% 15 year mortgage on a house well below our families means. Thanks to this current run I'm +10% over the last 60 months and +14% on the last 36 on our personal retirement accounts. We have no credit card or short term debt.

 

[OcelotRex]

You automatically came to the conclusion that nethier of us owns a vehicle after reading that?

Hahahahahahahaha!!!!!

No - I was pointing out how drastically poor a financial decision it is to go clubbing or even need a DD. I assume you can't afford a car because of how you spell "nethier."

 

[OcelotRex]

Yes, because if you can't afford a car or don't actually need a car (or another one in this case), you aren't an adult because you don't fork over hundreds of dollars a month in lease/financing, insurance expenses, and gas. How childish it is for people to save their money!

Seriously, do you guys hear yourselves?

Where is the world is insurance $100's of dollars a month? The cost of the vehicle is in your control; the first 5 years I worked I drove a $1,200 VW Golf and spent maybe $2,500 on repairs and maintenance (all cash) making my monthly "leasing/financing" charge $62. I put 50-60k on it; Uber costs about $1 per mile so I think you're right that $50,000 less than what I spent on my Golf for 5 years.

 

[davislane1]

Ladies and gentlemen, I'm here 'til noon:

Debt. I guarantee you he uses debt to be an 'adult.'

Responsible financing is not "debt." While my money grows for our retirement I have a sub 1% car loan and a low 3% 15 year mortgage on a house well below our families means.

A car loan and mortgage aren't debt? That's news to... everybody, really.

You should get this information to your bank, ASAP. They are over-charging you. You have, after all, a debt to income ratio of zero, which is phenomenal for a person with a car loan and a mortgage.

Where is the world is insurance $100's of dollars a month? The cost of the vehicle is in your control; the first 5 years I worked I drove a $1,200 VW Golf and spent maybe $2,500 on repairs and maintenance (all cash) making my monthly "leasing/financing" charge $62. I put 50-60k on it; Uber costs about $1 per mile so I think you're right that $50,000 less than what I spent on my Golf for 5 years.

1. Depends on the coverage, provider, and location. Where I am, basic insurance for a $5,000 car runs approx $120/mo. Somewhere in the ballpark of 70-80 if I were to drop certain levels of liability coverage and accept a massive deductible.

2. And what did you pay for in gas and tag fees over that period?

3. Your situation isn't everyone else's situation, which is what makes your comment about "being an adult" so ridiculously immature. Believe it or not, not everyone economically benefits from owning or leasing a vehicle. Owning a car isn't being an adult. Properly managing your finances is, which sometimes involves not purchasing a vehicle (or another one, in Erick's case). This is where services like Uber/Lyft/Taxis come into play.

Edit: Also, regarding my insurance comment, in the post you quoted I was referencing total ownership costs per month (as indicated by the list), not insurance alone. All total, it costs "hundreds" of dollars a month and "thousands" of dollars a year to own a vehicle.

 

[rvnwlfdroid]

I live in a smaller town (which roll's up the streets by 8pm) in Maine so no. The state does not have a lot of "civilization" features. Hell, I think there may only be a half dozen Walmart's that are even open 24 hours.

 

[davislane1]

I live in a smaller town (which roll's up the streets by 8pm) in Maine so no. The state does not have a lot of "civilization" features. Hell, I think there may only be a half dozen Walmart's that are even open 24 hours.

"Only"

 

[RevD14]

I drive for ubereats and can make 60-70 in four hours with tips included in the more wealthy areas of Orlando, FL. I've gotten food from ubereats but only when I can get free delivery.

 

[erickmendes]

Where is the world is insurance $100's of dollars a month? The cost of the vehicle is in your control; the first 5 years I worked I drove a $1,200 VW Golf and spent maybe $2,500 on repairs and maintenance (all cash) making my monthly "leasing/financing" charge $62. I put 50-60k on it; Uber costs about $1 per mile so I think you're right that $50,000 less than what I spent on my Golf for 5 years.

So that's your reallity. Where I live nobody can afford a car with that money. And yes, insurance is 100 dollars a month.

 

[Brock Kane]

I drive my car. But where driving can be more cumbersome than letting someone else drive for you, at least have choices.

Just think more choices is a good thing for all.

 

[OcelotRex]

So that's your reallity. Where I live nobody can afford a car with that money. And yes, insurance is 100 dollars a month.

Mine was over $100 a month as well when I was 16. Now comp, collision, roadside and many times the state requirements for liability and medical coverage on a car valued over $25k (which I paid less than $20k for) costs me less than $900 per year (I think it's about $775). I guess driving for near 20 years without an accident, moving violation, or filing a claim makes your insurance a lot cheaper. I pay less than $1k for both my vehicles all with full coverage all everything else above.

 

[OcelotRex]

Ladies and gentlemen, I'm here 'til noon:





A car loan and mortgage aren't debt? That's news to... everybody, really.

You should get this information to your bank, ASAP. They are over-charging you. You have, after all, a debt to income ratio of zero, which is phenomenal for a person with a car loan and a mortgage.

If someone has to explain to why securing a low interest mortgage and investing the money for your home (assuming you have cash to buy the home) is a good thing it's no wonder you cannot understand how I could afford a car much less than using a service. If one were to buy a $250,000 home (20% down, 200,000 mortgage at my rate 3.125% for a 15 year mortgage) they'd end up spending $50,800 in interest over 15 years. If you took that same $200,000 and invested it with simple compounding monthly interest at a 5% return rate, reinvesting the proceeds each year you'd earn that $50,800 in less than 5 years giving you 10 years of growth (a net proceed of over $70k even taking into account the lost $50k in interest).

Pedantically you're correct - mortgages and car loans are debt. If you're earning more each year than you're spending in interest expense you're coming out ahead.

1. Depends on the coverage, provider, and location. Where I am, basic insurance for a $5,000 car runs approx $120/mo. Somewhere in the ballpark of 70-80 if I were to drop certain levels of liability coverage and accept a massive deductible.

2. And what did you pay for in gas and tag fees over that period?

$2-3.50 a gallon. It's a 4 cylinder VW Golf. I spent less than $100 a year in gas to and from work then and now. 30+ MPG and a commute under 10 miles. The rest of the gas was spent with the freedom to go wherever I want when I wanted since I owned a car.

3. Your situation isn't everyone else's situation, which is what makes your comment about "being an adult" so ridiculously immature. Believe it or not, not everyone economically benefits from owning or leasing a vehicle. Owning a car isn't being an adult. Properly managing your finances is, which sometimes involves not purchasing a vehicle (or another one, in Erick's case). This is where services like Uber/Lyft/Taxis come into play.

Edit: Also, regarding my insurance comment, in the post you quoted I was referencing total ownership costs per month (as indicated by the list), not insurance alone. All total, it costs "hundreds" of dollars a month and "thousands" of dollars a year to own a vehicle.

Your edit contradicts your own supposed point that my experience isn't everyone's It's quite easy for car ownership to not cost $1,000's per year as millions of Americans are living that reality. You're also missing the fundamental flaw in your argument - if a person actually makes money driving for either service by charging you an expense to take you places then you are overpaying for transportation. There's no economy of scale for Uber and Lyft drivers. The only way one comes out ahead is if they use transportation infrequently. That requires one to live in a large city with mass transit which is a trade off in and of itself (freedom, privacy, safety, etc.) So for the majority of people who don't live in those cities I reiterate to get a car.

Also the be an adult part was a funny advert from Top Gear. Untwist thine panties.

 

[davislane1]

If someone has to explain to why securing a low interest mortgage and investing the money for your home (assuming you have cash to buy the home) is a good thing it's no wonder you cannot understand how I could afford a car much less than using a service. If one were to buy a $250,000 home (20% down, 200,000 mortgage at my rate 3.125% for a 15 year mortgage) they'd end up spending $50,800 in interest over 15 years. If you took that same $200,000 and invested it with simple compounding monthly interest at a 5% return rate, reinvesting the proceeds each year you'd earn that $50,800 in less than 5 years giving you 10 years of growth (a net proceed of over $70k even taking into account the lost $50k in interest).

Shifting the goal posts, buddy. I said you use debt to buy big ticket items, and you do.

You're also missing the fundamental flaw in your argument - if a person actually makes money driving for either service by charging you an expense to take you places then you are overpaying for transportation.

This is nonsensical. If you are using Uber or Lyft, by definition you are doing so to avoid another larger expense or risk.

See: cheaper to left the wife have the car (Erick), non-financial costs of public transport (your example). That's not overpaying. That's prudent financial management and paying for luxury, respectively.

Even if we assume your statement is true, "overpaying" would a smart play if the "fair market value" results in needless costs in excess of the premium. That is, if you are paying for a vehicle that is underutilized. Which it seems would be the case if Erick were to purchase a second vehicle.

X being a "reality for millions of Americans" is also a truism. We can say that about literally anything in America.

Also the be an adult part was a funny advert from Top Gear. Untwist thine panties.

Ah, yes, the "it was just a joke" defense...several posts after I initially called it out.

Last point aside, we're going to have to agree to disagree on the benefits of using ride sharing services vs vehicle ownership. Simply put, it is a financially sound move for some people while being a poor one for others, all depending on their unique situation.

 

[Carmaine]

No - I was pointing out how drastically poor a financial decision it is to go clubbing or even need a DD.

Wow.....so much hate.......or jealousy???

I think if you got your $hit together and priorities in order, I don't think going out with many friends and loved ones in the form of drinks and dancing is a bad idea.

I assume you can't afford a car because of how you spell "nethier."

LOL....I can't.......I just can't anymore.

 

[ET3D]

I have no use for these newfangled services. My horse and carriage serve me well.

Seriously, I hardly use any public transportation.