To buy or not to buy... (inc.SOA)

edited 30 November -1 at 1:00AM in Marriage, Relationships & Families
22 replies 1.6K views
Staciep88Staciep88 Forumite
590 Posts
edited 30 November -1 at 1:00AM in Marriage, Relationships & Families
Hi everyone,

I have been looking at purchasing a car as I have just sold mine. I am looking at buying an Audi A3 on an 05 plate, my last car was 8 years old and caused nothing but trouble! I would be getting it on finance over 3 years at £216.60 p/month and then at the end of the 3 years I am left with a balloon amount of £6000 - which I would then get a newer car and finance it over 3 years and then buy it outright as I wouldnt want to be in this scheme forever!

As a rule me and OH have always kept our money seperate as he owes on credit cards a loan.

I can afford this car as from my signature I only owe approx £450 on 2 credit cards and I have got the money to pay that off in full for the next statment.

Now the problem is that I feel guilty/worried as OH has to pay alot of his money on debts atm, and even though he pays £325 into my account a month for rent and bills etc I always like to keep my money back 'just in case we dont have enough' but then sometimes I think... Why-Why do I do that? If our money is seperate then why do I always end up subsidising what I want for OH's sake. Dont get me wrong - I dont pay his debts so I dont physically hand over money just like to have it put back incase we need it.

I was hoping for some opinions from others. I have included my SOA, and a joint SOA just to make it clear whos money is what.

I have included what the car would cost in my SOA to show what I would be left with p/month

MY SOA

Statement of Affairs and Personal Balance Sheet

Monthly Income Details
Monthly income after tax................ 780
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 69
Total monthly income.................... 849

Monthly Expense Details
Mortgage................................ 0 N/A
Secured loan repayments................. 0 N/A
Rent.................................... 250 OH payes £250 also
Management charge (leasehold property).. 0 N/A
Council tax............................. 0 inc. in rent
Electricity............................. 0 inc. in rent
Gas..................................... 0 inc. in rent
Oil..................................... 0 N/A
Water rates............................. 0 inc. in rent
Telephone (land line)................... 0 inc. in rent
Mobile phone............................ 30 This is the lowest tarriff I can have
TV Licence.............................. 0 inc. in rent
Satellite/Cable TV...................... 0 N/A
Internet Services....................... 0 inc. in rent
Groceries etc. ......................... 100 I am looking into cutting this
Clothing................................ 0
Petrol/diesel........................... 30
Road tax................................ 14.17
Car Insurance........................... 0 some1 else paying for this
Car maintenance (including MOT)......... 7.50 inc. yearly service & MOT
Car parking............................. 0 N/A
Other travel............................ 0 N/A
Childcare/nursery....................... 0 N/A
Other child related expenses............ 0 N/A
Medical (prescriptions, dentist etc).... 0 N/A
Pet insurance/vet bills................. 0 N/A
Buildings insurance..................... 0 N/A
Contents insurance...................... 0 inc. in rent
Life assurance ......................... 0 N/A
Other insurance......................... 0 N/A
Presents (birthday, christmas etc)...... 5 Don't do this at moment but will
Haircuts................................ 0 Take this out of £100 saved p/month
Entertainment........................... 0 N/A
Holiday................................. 0 Take this out of £100 saved p/month
Emergency fund.......................... 100
Total monthly expenses.................. 536.67

Assets
Cash.................................... 650
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 0
Other assets............................ 0
Total Assets............................ 650

No Secured Debt

Unsecured Debts
Description....................Debt......Monthly...APR
Car Finance....................7797.6....216.6.....0
Total unsecured debts..........7797.6....216.6.....-

Monthly Budget Summary
Total monthly income.................... 849
Expenses (including secured debts)....... 536.67
Available for debt repayments........... 312.33
Monthly UNsecured debt repayments....... 216.6
Surplus(deficit if negative)............ 95.73

Personal Balance Sheet Summary
Total assets (things you own)........... 650
Total Secured debt...................... -0
Total Unsecured debt.................... -7,797.6
Net Assets.............................. -7,147.6


JOINT SOA


Statement of Affairs and Personal Balance Sheet

Monthly Income Details
Monthly income after tax................ 780
Partners monthly income after tax....... 930
Benefits................................ 0
Other income............................ 329
Total monthly income.................... 2039

Monthly Expense Details
Mortgage................................ 0 N/A
Secured loan repayments................. 0 N/A
Rent.................................... 500 £250 each
Management charge (leasehold property).. 0 N/A
Council tax............................. 0 inc. in rent
Electricity............................. 0 inc. in rent
Gas..................................... 0 inc. in rent
Oil..................................... 0 N/A
Water rates............................. 0 inc. in rent
Telephone (land line)................... 0 inc. in rent
Mobile phone............................ 60 2 m/phones on lowest Tariffs
TV Licence.............................. 0 inc. in rent
Satellite/Cable TV...................... 0 N/A
Internet Services....................... 0 inc. in rent
Groceries etc. ......................... 200 am looking into cutting this back
Clothing................................ 0
Petrol/diesel........................... 60 2 cars - we dont go out much!
Road tax................................ 31 2 cars - cost of yearly tax/12months
Car Insurance........................... 30 OH insurance
Car maintenance (including MOT)......... 15 Yearly MOT and Services x2
Car parking............................. 0 N/A
Other travel............................ 0 N/A
Childcare/nursery....................... 0 N/A
Other child related expenses............ 0 N/A
Medical (prescriptions, dentist etc).... 0 N/A
Pet insurance/vet bills................. 0 N/A
Buildings insurance..................... 0 N/A
Contents insurance...................... 0 inc. in rent
Life assurance ......................... 0 N/A
Other insurance......................... 0 N/A
Presents (birthday, christmas etc)...... 5 Don't do this at min but should
Haircuts................................ 0 I cut OH hair, dont have mine done often
Entertainment........................... 0 N/A
Holiday................................. 0 Would come of £100 saved p/month
Emergency fund.......................... 100
Total monthly expenses.................. 1001

Assets
Cash.................................... 650
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 800
Other assets............................ 0
Total Assets............................ 1450

No Secured Debt

Unsecured Debts
Description....................Debt......Monthly...APR
Virgin Credit Card.............926.82....66.5......0
Egg............................463.5.....46.5......0
Barclaycard....................3202.72...250.......26.48
Barclays Loan..................1477.63...219.......0
Car Finance....................7797.6....216.6.....0
Total unsecured debts..........13868.27..798.6.....-

Monthly Budget Summary
Total monthly income.................... 2,039
Expenses (including secured debts)....... 1,001
Available for debt repayments........... 1,038
Monthly UNsecured debt repayments....... 798.6
Surplus(deficit if negative)............ 239.4

Personal Balance Sheet Summary
Total assets (things you own)........... 1,450
Total Secured debt...................... -0
Total Unsecured debt.................... -13,868.27
Net Assets.............................. -12,418.27

Sorry that the post is so long. I know that the Net Assets on the joint is a minus but it would be wouldnt it. My Net Assets is £93.73 p/month, and joint is £239.40 so as you can see we are not struggling so do you think I should go for it and stop worrying?

Thanks
xXx
«13

Replies

  • ancasta_2ancasta_2 Forumite
    951 Posts
    Personally, id buy it, but then again im an absolute car fanatic. True girly petrol head, but i wouldnt pay the £8k for it, id look at buying a slightly older one to cut the costs, as not only does a newer one cost more (obviously) id be concerned about how the new tax banding will affect it, emmisions wise etc.

    Something to think about.
  • Staciep88Staciep88 Forumite
    590 Posts
    ancasta wrote: »
    Personally, id buy it, but then again im an absolute car fanatic. True girly petrol head, but i wouldnt pay the £8k for it, id look at buying a slightly older one to cut the costs, as not only does a newer one cost more (obviously) id be concerned about how the new tax banding will affect it, emmisions wise etc.

    Something to think about.


    Thanks for that, I am also a car fanatic! I can see what you mean about buying a cheaper car but I still that it may not be cheaper in the long run when it comes to MOT and servicing. I personally dont think that 8k for an 05 top of the range Audi is a bad price - they are lovely cars. There is also the fact that this one has all the extras on it that I would want, so even if I found a cheaper one, it wouldnt be cheaper by the time the extras were added. Also I have asked about the tax and have been told that it wont be going up - obviously I would get a def. answer on that before I go ahead with it.
    xXx
  • PssstPssst Forumite
    4.8K Posts
    Part of the Furniture 1,000 Posts
    ✭✭✭✭
    Hi Stacie,,

    The first thing that strikes me is that,unless i've misread it,you are both on the lower end of the spectrum with regard to income.

    The other thing is,its great that you keep your finances separate. It saves a lot of problems and clarifies that your BF is up to his neck in it and maybe doesnt handle money as well as you.

    You do not need to feel guilty about that.

    As well as the luvvy duvvy stuff your partnership is also..

    Stacie & BF Ltd

    You have a personal and business relationship. money and financial matches are just as important as romantic matches. His debt is firmyl his to manage and not yours.


    Having said that,I'd say that you need to be slightly more conservative with regard to your choice of car and finance deal! Spending lots of money on a car does not necessarily mean better>more reliable.

    Sorry to be boring but checkout annual road tax,theres a website for this. Did you know that there is a model of VW polo that doesnt require any road tax? Yes thats right £0 or that you cvan get a ford focus 16 TDCI for £35 tax a year?

    See
    http://www.dft.gov.uk/ActOnCO2/index.php?q=best_on_co2_rankings

    Sometimes there is a compromise to be made between image,practicality and cost !
  • Staciep88Staciep88 Forumite
    590 Posts
    Pssst...

    Thanks for that, its good to hear that I shouldnt be feeling how I do. Thanks for that link I will have a look. Not to sound cheeky but there's no way im owning a ford :p I will look into the Polo though! Thanks again
    xXx
  • PssstPssst Forumite
    4.8K Posts
    Part of the Furniture 1,000 Posts
    ✭✭✭✭
    Staciep88 wrote: »
    Pssst...

    Thanks for that, its good to hear that I shouldnt be feeling how I do. Thanks for that link I will have a look. Not to sound cheeky but there's no way im owning a ford :p I will look into the Polo though! Thanks again


    OK Stacie,,i know ford on the bonnet doesnt quite have the same cache as Audi but they have improved immeasurably and the Ford Focus is highly rated. I got given one as a hire car a year ago. It was a focus diesel TDCI and i was very impressed with it.

    Having said that the 1400 TDCI Polo with zero or £35 tax(??) i think shares the same engine as certain Audi A3 s
  • Staciep88Staciep88 Forumite
    590 Posts
    Im sure that Fords have come on alot and I am thankful that you mentioned it too me, I still however stand by the fact that I would never have one, I dont like the way they look, the way they are or anything. Just my personal opinion. I have just sold my 2.5ltr BMW so ill be honest, im used to nice high powered cars and I think it would be hard for me to change this. I am looking on the VW website now though. I'll let ya know if something takes my fancy.
    xXx
  • PssstPssst Forumite
    4.8K Posts
    Part of the Furniture 1,000 Posts
    ✭✭✭✭
    Hmmm.i know what you mean. Having had a 2.5 Beemer it might be difficult to adjust to more economical steeds. I have been looking at Volvos myself. I am thinking C70, V50 or S60 but a lot of people think they are old boys cars. Maybe I'm an old boy? Volvos have moved on a bit also. you can get a lot of car for not a lot of dosh and their reliability is legendary.


    Could you see yourself in a C70 with your top down on a hot summer day?
  • Staciep88Staciep88 Forumite
    590 Posts
    No, your as young as you feel! Im only 19 so gotta maintain my 'street-cred' :D I cannot see myself in that car no, however - I do like the look of that new Volvo thats on the advert - that white one- looks gorgeous - I think I will just have a look into that! I prefer smaller cars tbh
    xXx
  • pamelab21pamelab21 Forumite
    338 Posts
    Part of the Furniture 100 Posts Combo Breaker
    ✭✭
    Hiya

    Not really posting to advise on money side but have a look on here to see road tax and imminent increases if the rises go ahead, as far as I know most cars are affected in some way
    http://www.parkers.co.uk/cars/road-tax/

    I am currently considering selling my Mini Cooper S and going for a VW Golf TDI, I feel the Polo would be too small for reasons I am looking to change but I know that they do and diesel Polo GT TDI version its a 140bhp I think.

    All the best for whatever you chose.
  • ancasta_2ancasta_2 Forumite
    951 Posts
    Is it shameful to say we're trading both of ours in for a mini cooper S and a skyline? :o

    Bye bye fuel economy, helloo horsepower :j :j :j
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