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Car Finance-Negative Equity
Sorry not been on here for a while but have a quick question if someone who knows a bit about it could possibly answer:
So here goes:
basically I bought a car on finance in 2006 from stoneacres (lincoln), I then changed it approx 6months later to a car of a higher value which yes I understood increased monthly payments - stated to the sales guy was worried about the repayments and he advised don't worry if you can't afford it and want to downgrade in a years time - come back and we will downgrade.
ok I thought - so being abit dim and thinking I like the car but monthly payments (although could afford them ish!) saw another car on the forecourt which I thought would be more practical and would be better in the long run (diesel etc....)and decided to test drive and get some figures, to my horror the monthly repayments had only dropped by £40, so basically in the 6months that I had the car I had lost nearly £6000 on it, I did go ahead and change the car as felt it was better in the long run but quite cross at the fact that I wasn't advised on negative equity etc (I was none the wiser and I know people will think everyone knows but I genuinely did not - although now I do!!), the finance guy also said that he would have to mess about with figures so they looked right on the agreement (with gap insurance etc...)so now im thinking why would he have to mess about with the figures?
please don't mis-understand me - I am happy with the car that I have and am repaying this every month but can't help but think that something isn't quite right, are they obliged to inform you on negative equity?
Thanks in advance for any advice
xxx
So here goes:
basically I bought a car on finance in 2006 from stoneacres (lincoln), I then changed it approx 6months later to a car of a higher value which yes I understood increased monthly payments - stated to the sales guy was worried about the repayments and he advised don't worry if you can't afford it and want to downgrade in a years time - come back and we will downgrade.
ok I thought - so being abit dim and thinking I like the car but monthly payments (although could afford them ish!) saw another car on the forecourt which I thought would be more practical and would be better in the long run (diesel etc....)and decided to test drive and get some figures, to my horror the monthly repayments had only dropped by £40, so basically in the 6months that I had the car I had lost nearly £6000 on it, I did go ahead and change the car as felt it was better in the long run but quite cross at the fact that I wasn't advised on negative equity etc (I was none the wiser and I know people will think everyone knows but I genuinely did not - although now I do!!), the finance guy also said that he would have to mess about with figures so they looked right on the agreement (with gap insurance etc...)so now im thinking why would he have to mess about with the figures?
please don't mis-understand me - I am happy with the car that I have and am repaying this every month but can't help but think that something isn't quite right, are they obliged to inform you on negative equity?
Thanks in advance for any advice
xxx
0
Comments
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a ferrari I wish!!0
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I in some respects understand - all car loans are negative equity just didn't realise that I would loose nearly £6000 in six months and then have to repay that £6000 on top of the car the new car amount - the issue I have is the flipant attitude of the salesman who didn't advise me on the amount until I was sat in the finance office ready to sign, I realise I had the option of keeping the original car but to be honest I don't think it would have lasted the finance term hence changing to a more robust car which was built like a tank0
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