Reducing monthly payments

al86

Hi there

Really need some help!
I need to reduce my monthly payments across the board, always in the red at the end of the month, so....

I have a car on finance with GE Capital, 2 years left to repay.
I ideally want to get rid of this car, for something that costs less on insurance and petrol. Also reducing my repayments on finance of 188 a month.
What advice can you guys give me on this?

Am I right in saying I cant sell the car on, whilst there is finance on it?



Really need help.
would be much appreciated!

Thanks
Alex

peterg1965

You can sell the car with finance outstanding on it, you just have to make sure that you inform your finance company that you are selling it and will repay the o/s amount and also YOU MUST inform any potential purchasers. You will be best taking it to a car dealer who may down size your car for you by taking it in exchange for a new one and settle the outstanding finance for you. This is only if the car is on HP of course. If it was bought with a personal loan the loan is not secured/tied to the vehicle.

The million dollar question - is your car worth more than the outstanding finance? What sort of car / model is it? how many miles? what is the settlement figure for you loan?

mboro

hello and welcome,

On Friday I sold my car that I bought on finance with GE Capital to my local garage. I informed both parties of what I was doing, the garage phoned GE C and told them how much he had bought the car for, that money was then taken of the out standing owing balance, then a monthly payment wqas aggreed for the outstanding balance, It got the balance down but didnt clear it and all parties were happy.


So it can be done .

al86

not sure on amount on loan
Car is a Hyundai Coupe 2.0SE with 101k on the clock.
Not worth the outstanding balance i dont think.

Really dont know what to do????

al86

can anyone offer some advice on this please??

desperate!

CLAPTON

i would suggest you post a full Statement of Affairs here as there may be lots of ways of reducing your outgoings other than the car
however in relation to the car, is the loan a Hire Purchase arrangement, or simply a loan you used to buy the car:
can you get a quote (and ask for it in writing) for the cost of paying off the loan:
also get a quote for how much the car is worth
if you post a SoAs perhaps you could be specific about how much you spend on the car, tax, insurance, petrol, MOT, servicing etc etc.



If you browse the bulletin board you will see examples of SoAs but the general format is

: statement of income:

: statement of expenditure
this should be quite detailed but excluding debt repayment
: a subtotal to save us all having to add it up

: statement of all debts including
outstanding amount, monthly repayment , APR
a subtotal of the total debt and of the total repayments, to save us having to add it up

also add a brief details of you situation, partner, any children, rent or own property, value of house and mortgage, any special circumstances that are relevant

al86

ok well:

Income - 1400 a month (NET)

Exp -
220/month insurance
200/month petrol
410/month rent + bills
210/month child support
TOTAL = 1040

Debts -
CC outstanding 2000
188/month car loan - outstanding 4500
Car is worth 3000 now

I live in a rented apartment with my partner, both bringing in a fairly decent wage, joint just over 44,000pa.

I just really need to lower my own personal outgoings each month, moving house isnt an option, incase that were to be suggested.

thanks again!
alex

peterg1965

If you go to http://www.parkers.co.uk/pricing/?frommenu=true and insert car details this will give a rough indication of car value. Then, as has been said, ring GE for a settlement figure.

al86

3000 = car value

wigginsmum

Your insurance seems very high. Can you do a breakdown of the household bills? How much are you paying off the bills every month?

al86

insurance is high..

household bills are:
Rent £225
Water £20
Electric £20
Gas £20
Council tax £40
TV/net/phone £20
Food £80 ish

Thats my personal outgoings, usually i pay half, so does the missus.
so the above is pretty much half of our bills.

Thanks
alex