“This Is How Life Feels With My $6,000 1997 Toyota Corolla With 78K Miles and No Car Payment”

Do you want to be debt-free and have financial security?

It's easy, but it's difficult too. Here is a young woman who understands the difference between want and need. Everyone wants a brand-new Toyota Corolla, but few need one. Rissa is an example of getting what you need, and it pays off in significant ways.

As I was searching for stories that go against the flow, I found her inspiring story. Rissa (@222rissa) is not your typical young car buyer today. She owns a 28-year-old car that's still running great. 

With only 78,000 miles on it, the 1997 Toyota Corolla Rissa purchased is a testament to the financial benefits of buying used. The previous owner's care for the vehicle is evident, and Rissa's decision to buy it has brought her more happiness than a brand-new car could. 

Rissa's words, "This is how life feels with my $6,000 1997 Toyota Corolla With 78,000 Miles and no car payment," echo the financial freedom she has achieved with her car choice.

She doesn't have to say much in her TikTok video (@222rissa). But I can hear her saying, "Check this out, people. It's not new, but I don't have a car payment; my Corolla runs and looks great, and I feel free."

Remember What It Feels Like to Be Free?

There was a time when everyone was free of debt, you didn't owe anyone a penny (well, a nickel now), and you slept well at night because you didn't have a huge car payment hanging over your head. 

Here is the way to financial freedom. Don't drive an expensive new car; save money for things that will appreciate, not depreciate. Cars only go down in value unless you own a rare car that will cost hundreds of thousands. 

Here Is the Way to Financial Insecurity

The opposite is true of many new Toyota Corolla and other new model car buyers today. They want a brand new car that will cost about $30,000, and they have a 6% car loan for 60 months with a $570 car payment. 

Tack on new license plates ($450 per year) and insurance ($176 per month), and you have the recipe to stay in debt for a long time. It's the predicament many car buyers find themselves in. 

Here Is a Real Story Of What Not To Do

I found this unbelievable post while I was researching the 2025 Honda Civic. A young woman, Jime (@_menalicious), posted this on her TikTok, saying she purchased a 2025 Honda Civic Sport because she wanted Apple CarPlay. 

The young woman clearly cannot afford the new Honda because she needed a co-signer, which is a red flag; she only put $1,000 down and has a car payment of $558. 

And that's not the worst part. Jime will be paying for this car for the next seven years. She bought the car with an 84-month car note from the bank. 

It Gets Worse

Jime says, "Oh yeah, and my parents pay my insurance because they love me. It's my decision, and I wouldn't have gotten it if I couldn't afford it." Check out her story here.

Here Is Another Story Of Success

"My car is ten years old, I'm making six figures, and I refuse to pay for something I don't need." 

That is what Michael Rusli shares with others who are willing to listen. He owns a 2015 Honda CR-V, and he couldn't be happier. 

He says, 

"I had an older Honda CR-V, sold that for a profit, and got another CR-V with that same money; if it ain't broke, don't fix it."  

Michael is a financial wealth management advisor who is wiser than his years. He's a Millennial who "practices what he preaches." He lives a no-car-payment life and keeps his paid-off Honda CR-V as long as possible.

He proudly states, "I'm driving a paid-off ten-year-old car because it costs nothing to run, and who wants a $500 per month car payment?" 

Michael's financial freedom and control over his expenses are things he wouldn't trade for the world. This sense of empowerment, knowing that a hefty car payment does not tie him down, is a key benefit of driving a paid-off car.

I found this story on Reddit:

ferociouswanderer123 says, "I sold my car that I was making a payment on, now driving a paid off car."

About 18 months ago, I got a loan for a very nice car (2021 Platinum Highlander Hybrid). I have never had a car loan or driven anything that nice. I decided to sell the car and drive my other, paid-off car (2015 Honda Accord).

Even though the Honda is much older than the Toyota, it only has 20k more miles on it. I am missing the Highlander, but the relief of not having a big car payment anymore is immense. The Honda is a quality car that should last me a while. I plan to save that money, pay off my student debt, and save for graduate school. Once my student debt is gone, I will be completely debt-free.

nonymous_camry says, "Wise decision. I did this same thing five years ago: I sold a financed Ram truck and kept driving the 2002 Camry that I already owned. Now, instead of having $20k saved for retirement, I have $250k."

Another Reddit user says, "Not saying you couldn't afford it, but I work for a credit union, and more specifically, I deal with past due loans of any type and the amount of repossessions of vehicles I have to do all the time is out of control because people end up not being able to pay for them one way or another and about 70% of them are taken out within the last 18 months. It's crazy."

Final Thoughts and Questions for You

As you consider your own car-buying decisions, remember the words of financial guru Dave Ramsey, "If you will live like no one else, later you can live like no one else." 

It's hard to go against the flow and drive an older, paid-off car. However, living with a bad decision that affects you for five or six years with a high car payment is more challenging in the long run. 

Do You Agree or Disagree?

Do you drive a paid-off car? If so, click the red Add New Comment link below and let us know.

Check out my Toyota Corolla story titled; Toyota Serviced My Corolla Transmission and Used the Wrong Fluid, They Said It May Cause Issues In the Long Run, But Don’t Worry, We’re Getting It Fixed Up Right Now

I am Denis Flierl, a Senior Torque News Reporter since 2012. My 30+ year tenure in the automotive industry, initially in a consulting role with every major car brand and later as a freelance journalist test-driving new vehicles, has equipped me with a wealth of knowledge. I specialize in reporting the latest automotive news and providing expert analysis on Subaru, which you'll find here, ensuring that you, as a reader, are always well-informed and up-to-date. Follow me on my X SubaruReport, All Subaru, WRXSTI, @DenisFlierl, Facebook, and Instagram.

Photo credit: Denis Flierl via Rissa