Smart Financial Decisions Beat Big Risks

Okay, today's question comes from Kelly in Tennessee.

She says, "In my area, all the cars at very low prices have rebuilt titles, which means they can't be fully insured.

My husband wants to purchase a car with a rebuilt title for him to drive, but I'm not sure it's a great idea.

What is the Ramsey opinion on cars with rebuilt titles?"

Woof.

So what, this car has been completely totaled out, and they've done what they need to do to fix it.

That-

They can legally give you a clear title for it, but-

Yeah

...

it tells you some things have happened.

It, it's been-

There's been some trauma

... it's been busted is what we're n- we're talking about here.

Oof.

Yeah, that could involve damage to the frame, suspension, airbags-

Total loss

... flood exposure.

And so I don't think that's where I'm trying to save a buck.

Absolutely not, 'cause you're not gonna save it.

If you have to get a rebuilt title, you can't afford that car.

Yeah.

And it's not gonna be a savings, 'cause there's gonna be something that pops up wrong with this car, it's, I gotta believe, over time.

Yeah, and insurance is, like, the number one factor here.

Yes.

Okay, today's question comes from Kelly in Tennessee.

She says, "In my area, all the cars at very low prices have rebuilt titles, which means they can't be fully insured.

My husband wants to purchase a car with a rebuilt title for him to drive, but I'm not sure it's a great idea.

What is the Ramsey opinion on cars with rebuilt titles?"

Woof.

So what, this car has been completely totaled out, and they've done what they need to do to fix it.

That-

They can legally give you a clear title for it, but-

Yeah

...

it tells you some things have happened.

It, it's been-

There's been some trauma

... it's been busted is what we're n- we're talking about here.

Oof.

Yeah, that could involve damage to the frame, suspension, airbags-

Total loss

... flood exposure.

And so I don't think that's where I'm trying to save a buck.

Absolutely not, 'cause you're not gonna save it.

If you have to get a rebuilt title, you can't afford that car.

Yeah.

And it's not gonna be a savings, 'cause there's gonna be something that pops up wrong with this car, it's, I gotta believe, over time.

Yeah, and insurance is, like, the number one factor here.

Yes.