Car Buying Cost Cutting System Article Discussion Area

BROOKROADBABE

My daughter just got stung by same company to cut a long story short an £8.000 car has a repayment of over£15.000. The verbal information by the salesman doesn't match the agreement. We tried to cancel the hp agreement the next day but was told there was no cooling off period-Any suggestions for a worried mother.

ludotherussian

:money: remember to whip off the tax disc and send it off to the DVLA for a refund. You'll need to fill in a form from the post office, but it's worth it if you've got a few months left.

peanutthedog

Got a dilema and need some sound advice.

I have a car I love but it is costing me £239 a month. However due to a large deposit I put down on the car I could sell it and have some money left after clearing the finance, which I was planning to put into a savings account untill next year when I should have saved enough to clear a larger loan (which has 4 years to run, but I have been saving to try and clear this early).

I was then planning on leasing a car for 2 years at around £149 a month.

Should I hang onto the car I love (2yrs & 7months to go to clear this) ?

And is anyone buying cars at the moment?

Help!

AdrianHi

peanutthedog wrote: »

Got a dilema and need some sound advice.

I have a car I love but it is costing me £239 a month. However due to a large deposit I put down on the car I could sell it and have some money left after clearing the finance, which I was planning to put into a savings account untill next year when I should have saved enough to clear a larger loan (which has 4 years to run, but I have been saving to try and clear this early).

I was then planning on leasing a car for 2 years at around £149 a month.

Should I hang onto the car I love (2yrs & 7months to go to clear this) ?

And is anyone buying cars at the moment?

Help!

I would suggest changing the way you analyse what the car you have now is really costing you rather than just focusing on the loan payments you have to make. The answer might still be sell it and lease something cheaper as you are suggesting. It would also depend on what you can really sell the car you have got for, You might have lost so much on it (cars depreciating at double speed over the last year) that you feel the need to keep it longet to get your moneys worth.
Measure real cost by what you are loosing on it in depreciation, plus the interest charges on the loan (not the whole loan repayment itself) plus what ever it costs you in lost interest on the money you have tied up in the car. Then add all those other running costs, fuel, tyres, servicing, breakdown cover, tax, repairs and see what the numbers look like.

A £149 a month lease is a hard figure to beat and reducing debt can only be a good thing, now more than ever.

showerdance

Hi Folks, I have posted this in another section mistakenly so I thought I'd put it on this thread as I noticed the person two posts before mine in a kind of similar dilemma.

I have a car on a personal contract plan currently paying £129 a month which ends in February 2010. I have already paid over half of the plan so can hand the car back if I want without any further penalty to myself and ending the agreement and I do have enough saved approx £3k to buy myself a car. However I can't decide whether to keep paying the £129 a month til the agreement ends then hand the car back or to buy a car now and hand the car back so I have that extra £129 a month.

So as you can see I am in a quandry and keep going back and forth on what to do so thought I'd throw it open to everyone for their help!

Thanks in advance

Chris

gazboy7

Hi there,

I am fairly new at moneysaving, but here goes.
We just bought a new peugeot 307 sw for about £260 pm. (they gave us this car paying £20 less per month and three months free) I have got an old Nissan Micra P Reg with 70k on the clock for part-exchange.

I would like to go to the dealer and say I want exactly the same car, for me, for say, in total £325 per month, taking mine as PE. That way it would be a small difference per month.

Would this be possible, or is it too late now that we have already bought one car?

Any help would be most appreciated.
Thanks,
Gary.

gazboy7

:j Hi there,

I am fairly new at moneysaving, but here goes.
We just bought a new peugeot 307 sw for about £260 pm. (they gave us this car paying £20 less per month and three months free) I have got an old Nissan Micra P Reg with 70k on the clock for part-exchange.

I would like to go to the dealer and say I want exactly the same car, for me, for say, in total £325 per month, taking mine as PE. That way it would be a small difference per month.

Would this be possible, or is it too late now that we have already bought one car?

Any help would be most appreciated.
Thanks,
Gary.

CalGem

Hi,
As someone who is tied into a PCP, I've come across various articles and posts that state "once you've paid 50% of the term, you can hand the car back to the leasing/manufacturer without any further payments or penalties". Does anyone actually know if this is legitimate, without any come back?

Thanks
CalGem

Lemonade_Pockets

CalGem wrote: »

Hi,
As someone who is tied into a PCP, I've come across various articles and posts that state "once you've paid 50% of the term, you can hand the car back to the leasing/manufacturer without any further payments or penalties". Does anyone actually know if this is legitimate, without any come back?

Thanks
CalGem

It is legit but its 50% of the total amount payable which is not the same as 50% of the term. It should give details of this on your finance docs.

There is no damage to your credit rating as such but in future if you try to get a loan for a car you may find it more difficult to get a motor loan. Or they may lend you the money but insist that it done as a personal loan (i.e. no 1/2's and 1/3's and probably at a higher rate).

lilsuths

Hi

I'm currently looking to buy a new car. I'm really interested in the new Fiat Punto. They currently have a £2000 off retail price offer on which leaves the total price at roughly £7500. I don't really have any savings and wondered if anyone can offer me some step by step advice about what to do now?

Thank you in anticipation

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