20k Loan

Apples2

I agree there are lots of harsh posts but......

Anyone helping a 20yr old on £1k a Month get himself £20,000 in debt for a car is going against the whole ethos of MSE.


BAD BAD BAD move....

Happytogetdebtfree

i dont think anyones encouraging himn to get a loan he wants the loan but hes looking to see if he can get a better intrest than then one he was offered from his bank... the problem here is that we cant not make him get the loan it was obvious from the start he was getting loan with or without advice all we can do is give constructive guidance and hope that he is sensible ... i admit 20 k is a lot for a car and i cant understand how you can get 20k on the wage but we shall see the outcome no doubt, the question here is whats the best loan for him he doesnt say he has debt i know its not good because ive learned but its hard to tell someone whos not in debt and wants to be 20k in debt not to do it i wouldnt have listend back then so all we can do is advise

surreybased

crampo wrote: »

Yes it does seem very crazy that im doing this, but ive worked out what it will cost, My corsa is coming up for its second service in june and will probably need new tyres , brakes etc. It does 30 miles to gallon If that. Ive lost around 5K on my corsa in just over a year and its only done 13k miles from new. I dont won't to hold onto something that by the end of this year will be literally worthless. At least i know that in a mustang i know it will hold its value for a while.

Think you need to reflect on this - You bought a new car (despite people telling you not to). You recognise that you've lost £5k already but still want to buy a new car?? 5k gets you alot, holidays, decent savings

I struggle with the long term committment - 5 years to pay off a debt for a car if really, really long. Think how much you've changed since you were 15? You'll go through similar changes up to 25 (actually think growing up for most people is clsoer to 30).

General advice from people here is: Focus on your income, get it increased, start paying living costs and when you have greater disposable income yourself the reward with a car..please don't do it now.

Coveredinbees!!!!

don't be a !!!!!!

covmutley

Blimey, there are some very harsh posts. The OP obviously loves cars, so I say go and spend your (banks) money. However, I do think your choice of car is wrong and the amount your looking to spend, too much. I know what you mean about boxsters but my point is you can get an awesome 'drivers' car for 10 grand or less and with far lower running costs than a mustang..

Dont fully agree with posts saying this goes against the MSE grain, wasnt the OP looking for advice on best value loans?. Each to their own. It is clear some on this forum enjoy living a miser lifestyle. Me, I am more interested in value for money. Why suggest a 5k run around? that isnt what the OP wants at all.

OP, you have low wage but presumably have high disposable income and you like cars and families etc may get in the way of owning a nice in a few years time, so get yourself a nice car. But i still agree with others that spending 20k is just too much

CashRequired

It seems your set on a fast car. However 20k is alot to borrow for a car at 20.

You can a quick car for 5k. 20k seems a little excessive. But good luck with whatever you chose. I'd get something like an e36 m3 or classic impreza for the 5k mark. Just my 2p.

ravh84

hi



i have no comment on wether you should or shouldn't take this loan out but somewhere you might get a better rate is 'zopa won't let me post the website do a search on g00gle

Raggs_2

How exactly did buying a new car pay off? Serious question there. Your mates that bought 2nd hand cars for 5k, how much did they have to pay for repairs etc and also insurance? You say you lost 5k in the first year of owning your car (the value of theirs).

Is it really that important to buy new?

kai666

crampo wrote: »

Im not doing this to impress no-one.

I always like a good double negative!

jw2003

Can you hold off a year or two? And why is your Corsa so uneconomic?

I do kind of know where your coming from, I couldn't settle with a car I'm no happy with but at 20 you seriously do need to get a few more driving years under your belt before you look at a car for pleasures purposes. Many people borrow money to buy a car - I have done so myself, fortunately when the credit boom was riding high on an interest rate of 5%. I have 2 kids so drive a fairly sensible car - have just downgraded a Toyota mpv to an Astra but my other car is a classic Porsche 944 (and I'm not old yet honest )

In response to your original question - We borrowed the same amount from NatWest at a lower interest rate but repaying it over a significantly shorted period if time