Need urgent advice for an 18 year old who needs a car loan

vardmac

My son needs finance to buy a car but is finding it impossible to get a loan as he only has a mobile phone contract and no other credit.

Anyone got any suggestions?

Cheers

MrsTinks

In the short term? buy a very cheap car... long term then get some high APR credit cards - use them regularly but ALWAYS pay them off before they charge him interest! He needs to build up his credit history before most reputable lenders will let him have a loan... or at least a loan that didn't have a sting in the tail...
best advice? tell him to save as much as he can for it bigger deposits = better deals...

ILW

Buy a £500 banger, he is only 18 and will probably wreck it anyway.

standupguy

vardmac wrote: »

My son needs finance to buy a car but is finding it impossible to get a loan as he only has a mobile phone contract and no other credit.

Anyone got any suggestions?

Cheers

Look at buying from a garage and using their HP finance - you will need to stand guarantor or as a "joint hirer" and the underwriting will then be more relevant to you but they will come to you for the monthly payments if he fails to make them.

hoggums

Tell him to walk or catch the bus.

Treadmill

Get down the auctions and buy an old banger like any normal 18 year old, let him spend the money on chasing women and getting drunk rather than loan repayments, you are only young once.

davetrousers

How much has he got saved up? And how much can he save up?

vardmac

The reason for trying to buy a decent car is he has had three old bangers in the last year, all have perished. The last one's gear box seized up last week. He has a low paying job so cannot save much but has joined the army unfortunately he does not start till next march (recession always boosts army numbers).

I am a discharged bankrupt so cannot act as guarantor.

PNPSUKNET

sounds like you should encourage him to avoid finance then, not so sure why its urgrent also. why not get him to buy a scooter. I agree with the rest 18 and high chance of w/o doubt a dealer will give finance

Lokolo

vardmac wrote: »

The reason for trying to buy a decent car is he has had three old bangers in the last year, all have perished. The last one's gear box seized up last week. He has a low paying job so cannot save much but has joined the army unfortunately he does not start till next march (recession always boosts army numbers).

I am a discharged bankrupt so cannot act as guarantor.

I don't want to sound rude, but surely as a person who has become bankrupt, you should realise what getting into unncessary debt does to people? And you should be trying to avoid putting your 18 year old son into this unncessary debt?

I honestly cannot believe people get loans at 18 for a car!

I have a 1991 ford fiesta. Bought it for £150.

Has lasted me 4 years so far, needed clutch changing about 1 year ago, and a new alternator a few months later. Other than that it worked perfectly.

vardmac

Thanks for all your help, except for the couple of planks who decided that their opinion was what I wanted instead of a helpful answer to my query.

I have advised him not to get a loan as any change of circumstance can ruin you for years. He will just have to go without for the time being.