Trying for a loan, what do they want from me?!

Actually have mine on a PCP and will buy outright, seemed like an easy way to buy as it was a 1.9% deal with finance discount which worked out better than I could achieve via paying outright or with a bank loan, you can use your cash in investments with higher earnings potential over term to offset the cost of the car, interest, inflation and depreciation, jobs a goodun' of course depends on your attitude to risk, can you tell what mine is

 

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Well unless you have a job where the car has a material impact on your prospects, just get somethign you can afford that doesn't have moneypit written all over it. A high milage/not too old car can be ok if the seller seems to be reliable and has a plausible reason for the milage. Driving up and down the M1 doesn't wreck a car that much after all.

 

I'm just about to have a new car on PCP --it actually worked out cheaper than buying a low-mileage one of the type I was looking for. High deposit, low depreciation model and the option to hand back and walk away at any time. I may keep it in the end, or I may hand it back and cash the equity in three years (I have a lower than average mileage). I may even downgrade if I decide it wasn't worth the cost after all. Thing is, a lot can change in one's living circumstances in three years and the car you want now may not be right for you by then.

 

Just show her this thread- the extremely knowledgeable folks with experience make a cast iron case for not spending silly-money on a new car.

To put it another way, us ~minimum wage peasants aren't allowed expensive things...

 

Pete* I know you're not going ahead with this - which is very good to hear - but just a general thing for you or anyone else to bear in mind, the depressing bit:

If you and your partner/wife/whatevertherelationshipis were to split up in say 2 years you would be the one stuck with the loan on a car that was worth probably about 50% of what you paid for it, without taking into account the interest payable. So you couldn't even sell it to pay off the debt. And asking for a signed agreement that in the event of ... is never a good conversation.

 

Just a quick input getting a bank loan to buy a car is never a good idea the normal car finance deals are far better although I try to buy cash when it come to cars.

Look around and you will see you can get some pretty nice cars for around 6k even less, one of the first places I look is these Trade centres occasionally there's some good deals to be had, you will at least get to see a good selection before going and looking for a cheaper deal

 

As Teelzebub said buy cash.... You can pick up a nice 3 year old car for a very good price. It will depreciate much less (probably lose half the value in 3-5 years depending on brand). Every car will need maintenance and Insurance. For example if I add insurance (high band), depreciation and maintenance for my car to the yearly expense it will still come under (£250) pm...

 

Cheers all.

Yeah, the loan is pretty much off the table (as far as I am concerned). I went to Halifax who i've been with for my whole life
to just talk to someone for financial advice and about the loan etc. and he was really helpful.
Essentially echoed everything everyone here has said (not that I didn't believe any of you! and said essentially, I could be
looking at a possible loan of about £3000 to "get me started" to enabling myself onto a larger loan etc. But said it simply
wouldn't be worth it right now for a car.

I have actually been looking around at cars. You see the original "budget" we had was about £6000.
But had no idea exactly what car we were looking for. Simply, great storage/space, not feeling "confined" while inside and not
low down (a ford mondeo is considered "far too low down") was OH's needs.
Mine are not be mega slow, and be at least a bit economical.
Then we saw the 3008 and OH was hooked. It is basically PERFECT in every respect but has to be the 2.0 engine for me. I test
drove both and the 1.6 felt sluggish and wobbly. The 2.0 comes with DRC.
Only problem is, they don't come cheap (under 7K) for the 1.6, let alone the 2.0 variants.

Essentially the cars that were on a shortlist to look at and test were Renault Captur, Kia Sportage, Nissan Qashqui, Peugeot 2008
, P 3008, and Mazda CX5.

I love the Sportage and OH loves 3008. ALL of above are way out of affordability. Which is why thebudget "crept" up and up.
Because we simply couldn't find a car that suited at lower price points.

So back to the drawing board!!

- Also another thing is buying newer, generally, you can expect it to be in decent nick, when it has had lower mileage etc - without too much worry.
When you buy older you just have no idea.
I wouldn't know a good deal for a car if it slapped me in the face and had "good deal" written on it. Haha.

But as it is, i'm looking to hopefully buy cash. I'll use some savings and pay myself back over a faster period. Just definitely
has to be under £6000 now. Slap some sense into the OH and get him on board with this s***.

Everyones been really helpful with suggestions and stuff so far.

 

Well what are your requirements. Why type of car do you like (saloon etc)? Low mileage does not mean a good nick. How much do you drive in a year (miles?). I bought cars which are ~40k miles on them and keep for around 3 years and replace.

 

Dude. these are cars I didn't even start aspiring to until recently. I'm 48 and earn just above £50000,-- pa. I feel I can just afford a Skoda Yeti now.

I'd be looking at an old model SUV, diesel, with 70000+ miles. Check out the 2006 model Honda CR-V for instance. Now they just introduced the 2014 model, you can pick these up for a song.

 

@shah 4x4/SUV (doesn't have to be 4x4) style is my own personal favourite. Basically, big stuff. But economical. Which is starting to happen.

@nexxo Well, the thing is, all the newer cars are MUCH cheaper to run/maintain than an older SUV such as the '06 CRV which is over £220 tax(almost double 3008), £1200(about 200 more, **** know why.) to insure, lower mpg, etc it is one of the reasons
I've gone for newer ones of those sorts of cars.
Although I do really like the CRV.

I'll just keep looking through them and visit some car show rooms in the next couple of weeks.

 

the cost of the tax and insurance bump is bugger all in the grand scheme of things, you could run that 06 CRV for years before you'd be worse off than paying more for a new motor.

Don't get me wrong I've nothing against new cars I buy loads but cheap tax as a justification, its such a small part of ownership, insurance, with work you'd get them down to similar levels.

New cars still need servicing which can be pricey and maintenance etc, not a lot different whether new or old like tyres, brakes etc. in fact new cars can be costlier due to expensive low profiles in weird sizes or special compound eco tyres etc that limit choice and therefore competition leading to higher price.

Its worth putting some numbers down in a spreadsheet to work out costs of every thing from tax, fuel insurance up against the list price and levels of interest you'll pay to fund purchase it can help focus the mind

I bought my missus a motor recently, we were looking at Sportage, CX5, Kuga 4x4s too for towing, have a pretty decent budget but looking at numbers I picked up something a lot cheaper with high tax and high fuel economy (26mpg in a diesel ) but end of the day for the money we saved we could run the car for 7 years before spending as much as some of the newer ( not even that much newer to be honest, 6 months in it) supposedly efficient stuff, the benefit of people baulking at things like high tax, cheap cars for those who don't care

 

Mercedes are doing some pretty good deals at the moment especially on pcp

If you're around London I can put you in touch with my mate at Mercedes Epsom, he'll sort you a good deal

Sent from my SM-T325 using Tapatalk

 

I've had a kia sportage auto deisel for a month tbh wasn't all that economical, I ended up with a 2007 Lugona 2litre diesel DCI turbo top spec, top condition with 2 years parts and labour warrantee all for 4k drives great and after a remap returns over 60 mpg at 125mph on the motorway cost only £300 ins full comp no excess protected ncb etc maybe not what you're looking for but bargains are out there

 

This definitely - very helpful. It's much better than judging things as a whole when there are multiple options avaliable when the facts are there in cold hard numbers. Thing is when it comes to cars it is very hard sometimes choosing the car you like/want/lust after when the figures have a negligable difference, let alone when you have your heart set on something. At the end of the day, it's a lot of money so should be seen as an asset and many cars depreciate too much (Kia unfortunately even though I actually quite like them).

All very good advice in this thread that you'd be mad not to take on board (partly why I like this forums - intelligent people with sufficent life experience to give such advice).

Just be careful and don't go too crazy; to paraphrase Carrie and Nexxo, you never know what can change in your life in the duration of ownership.

"Day by day, nothing seems to change, but pretty soon...everything's different" - Bill Watterson, Calvin and Hobbes.

 

http://www4.autotrader.co.uk/classi...fied/onesearchad/used,nearlynew,new?logcode=p

What about something like this Audi is a prestige brand (keep the OH happy), decent insurance costs, cheap tax, cheap to buy cheap to run (great mpg), very practical, diesel so plenty of grunt

OK, its not the sportiest thing ever, but that saves money and really, do you need to drive. that fast.

It sounds to me like your other half has dreams far beyond her means. I blame TV

If I find something else I will post it as I like looking for bargain cars. It would help though if you say what you like don`t like about my suggestions to help focus the search better.

Also, I would only ever buy a new car if I had money to burn, a nearly new is better 99% of the time.


Want something a bit faster, how about this:

http://www4.autotrader.co.uk/classi...e/up_to_50000_miles/make/mitsubishi?logcode=p

I don`t like the back but it`s another option.

Next up, my mum has one of these:

http://www4.autotrader.co.uk/classi...fied/onesearchad/used,nearlynew,new?logcode=p

its a decent car for the price, I drive it when I`m back in the UK and I have no complaints about it.

Next, as it appears you OH doesn`t mind peugeot, how about a 407:

http://www4.autotrader.co.uk/classi...chad/used,nearlynew,new/radius/1500?logcode=p

Just a few ideas to go on. Good luck.

Personally, I would buy something really cheap for a year or 2 and save up for something like this

http://www4.autotrader.co.uk/classi...ller-type/trade_adverts/radius/1500?logcode=p

 

Ultimately, it comes down to what's more important - the car, or everything else.

I have mates to whom their car is absolutely everything. They live with their parents, and don't go out, but they have a Porsche (albeit a budget-y one). It's their call, I'm not going to judge.

So last year, saving up for a big move, I needed a car, and started looking around. I really liked the look of the Cee'd, and was considering getting an approved used with the warranty still intact to give me 3 years or so of hassle free driving. However, it would've cost me a lot of money. Instead, I ploughed most of the money into savings/investments and picked up a well-worn rep car for £2400.

You know what? It rattles a fair bit, and the engine sucks. I realised this yesterday when I had my foot to the floor at 50mph and a 10 year old Renault Laguna launched past me like an exocet. I've probably spent £500 on repairs. The steering wheel is falling apart and I'm always left with black flakes on my hands when I get out. You get the picture.

I had the opportunity to drive a Golf with 10k on the clock a few days ago, and you know what? It didn't make much difference to me. Yeah, it was faster. Yeah, it rattled less. Yeah, the air-con works much more quickly and yeah, the bluetooth/SD card stereo is fantastic. But ultimately it only gets me from A to B, and I have just as much fun driving my car as I did driving that one - it's not as fast, but beating anything away from the lights in my hunk of junk feels like reaching the top of Everest. Yes, I've spent £100 more on insurance, and potentially £500 more on repairs, but I also saved £4,000-£8,000 on the capital outlay on the car. Also, depreciation over this period is probably about 20%, which on something this cheap is negligible - on a newer one it would've been much more important.

After all of that, I have two points I want to make:

Firstly, when I was looking to buy a car, I was obsessed with specs and trim levels and all the rest of it. Now, in retrospect, I realise it was nuts. Driving it, I really couldn't care less - as long as I've got a CD player and air-con I'm happy. I can't help wondering whether you would have a similar experience.

Secondly, it's a question of priorities. For me, my priority was moving, so right now I can look at my hunk of junk and think "I'm glad I bought that, and I'm several months closer to moving, rather than something shinier and delay what I really want to do." For one of my mates, having a new car that they love is all they want, and so why the heck not?

You too can do whatever you like - it sounds like this is going to be a massive investment for you, to get what you want. I would just think very carefully about whether you actually need all of the things that you want (because I was in exactly the same frame of mind as you), and whether this is the most important thing to you. If it isn't, then you're making a colossal commitment that would impact a lot of other things in your life.

 

Prestige, you say?

 

Nice. Alas you need 8.5 for the V10.