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  • FIRST POST
    • MissSJL
    • By MissSJL 9th Sep 17, 9:47 AM
    • 108Posts
    • 4Thanks
    MissSJL
    Car finance handing me a loan on a plate....
    • #1
    • 9th Sep 17, 9:47 AM
    Car finance handing me a loan on a plate.... 9th Sep 17 at 9:47 AM
    Just trying to abe extra cautious before I consider a loan from this particular firm...

    So basically I have a bit of adverse history but we are desperate to replace our old car before it conks out completely. I enquired with a rather well known car finance broker who found me a deal straight away. The rate was horrendous however so I parked the idea. They've called me back a week later and said they've found a much better deal. Still not main stream rates but almost half less than the firstborn rate, affordable repayments and zero deposit.

    Why am I getting car finance handed to me on a plate when I can't even get a credit card at the moment?? Are these scams or is it just because it's high interest rate? Is there a clause that I need to know about? Any advice would be greatly appreciated as I'm a bit wary at the moment. A friend said it's easier to get a car on finance than a mobile phone contract these days.
Page 1
    • YorkshireBoy
    • By YorkshireBoy 9th Sep 17, 10:02 AM
    • 29,394 Posts
    • 17,174 Thanks
    YorkshireBoy
    • #2
    • 9th Sep 17, 10:02 AM
    • #2
    • 9th Sep 17, 10:02 AM
    Why am I getting car finance handed to me on a plate when I can't even get a credit card at the moment??
    Originally posted by MissSJL
    The car finance provider will repossess the car if you default/fall behind with payments.

    What will the credit card company repossess if you fall behind with your payments?

    In other words, you're not comparing like with like. One is 'secured' lending, whereas the other is 'unsecured' lending.
    • MissSJL
    • By MissSJL 9th Sep 17, 10:05 AM
    • 108 Posts
    • 4 Thanks
    MissSJL
    • #3
    • 9th Sep 17, 10:05 AM
    • #3
    • 9th Sep 17, 10:05 AM
    Thanks for your reply. Well that seems straight forward enough, I'd expect to lose the car if I didn't pay for it. I don't think I'd get accepted by a dealer though would I? Such as Vauxhall or Ford if I went directly.
    • PeacefulWaters
    • By PeacefulWaters 9th Sep 17, 12:21 PM
    • 6,851 Posts
    • 8,437 Thanks
    PeacefulWaters
    • #4
    • 9th Sep 17, 12:21 PM
    • #4
    • 9th Sep 17, 12:21 PM
    What's the APR?
    • MissSJL
    • By MissSJL 9th Sep 17, 12:35 PM
    • 108 Posts
    • 4 Thanks
    MissSJL
    • #5
    • 9th Sep 17, 12:35 PM
    • #5
    • 9th Sep 17, 12:35 PM
    New deal is 17%. First deal was 32%!!
    • Nebulous2
    • By Nebulous2 9th Sep 17, 1:49 PM
    • 1,567 Posts
    • 953 Thanks
    Nebulous2
    • #6
    • 9th Sep 17, 1:49 PM
    • #6
    • 9th Sep 17, 1:49 PM
    Some car loans are tied to overpriced cars from specific places, so you could be paying quite a bit more than 17% when you factor that in.

    The only way to know if you would be accepted for manufacturer finance is to try. A decent deposit would help.
    • somethingcorporate
    • By somethingcorporate 11th Sep 17, 2:34 PM
    • 8,808 Posts
    • 8,498 Thanks
    somethingcorporate
    • #7
    • 11th Sep 17, 2:34 PM
    • #7
    • 11th Sep 17, 2:34 PM
    Are you comparing APR to APR? A common "trick" in the car industry is to quote flat rate, which is roughly half the APR value. 17% interest could be flat rate which would be almost identical to your first finance quote.
    Thinking critically since 1996....
    • MissSJL
    • By MissSJL 11th Sep 17, 2:44 PM
    • 108 Posts
    • 4 Thanks
    MissSJL
    • #8
    • 11th Sep 17, 2:44 PM
    • #8
    • 11th Sep 17, 2:44 PM
    Oh I'm not sure to be honest. I was looking at the monthly payments and the total paid back over the term and it was a lot less.
    • AndyPix
    • By AndyPix 12th Sep 17, 11:25 AM
    • 2,697 Posts
    • 1,821 Thanks
    AndyPix
    • #9
    • 12th Sep 17, 11:25 AM
    • #9
    • 12th Sep 17, 11:25 AM
    As mentioned above, ensure you are able to pick your car from the garage of your choosing.


    Companies such as fowlers etc wil lend to anyone,but you have to buy from them and they sell cars fresh from auction, that are falling apart, for 10x their value
    Running with scissors since 1978
    • MissSJL
    • By MissSJL 12th Sep 17, 11:28 AM
    • 108 Posts
    • 4 Thanks
    MissSJL
    Yes I can choose my own dealership, they have a requirement however that they have 20+ cars for sale and that the car is under x amount of miles. But they seem like legitimate conditions.
    • TrustyOven
    • By TrustyOven 12th Sep 17, 12:16 PM
    • 606 Posts
    • 639 Thanks
    TrustyOven
    What's wrong with your current car?

    Why not actually fix it?
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    • loskie
    • By loskie 12th Sep 17, 12:40 PM
    • 1,097 Posts
    • 661 Thanks
    loskie
    The car finance provider will repossess the car if you default/fall behind with payments.

    What will the credit card company repossess if you fall behind with your payments?

    In other words, you're not comparing like with like. One is 'secured' lending, whereas the other is 'unsecured' lending.
    Originally posted by YorkshireBoy

    You forgot to add that the car will also be being sold at an inflated price as these dealers target the desperate. Car likely to be of poorer quality too.
    • AndyPix
    • By AndyPix 12th Sep 17, 2:31 PM
    • 2,697 Posts
    • 1,821 Thanks
    AndyPix
    You forgot to add that the car will also be being sold at an inflated price as these dealers target the desperate. Car likely to be of poorer quality too.
    Originally posted by loskie

    See above .. OP can use any dealer
    Running with scissors since 1978
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