Help and Advice on getting a used car plz

BarringtonLevyFan

Hi All

Need advice desperately please!!!

I had an accident last month and car was a total loss and got a £2000 cheque. Now I want to get a new car which is £8000, and I’m looking to finance or borrow. Now the car dealer won’t accept full payment on to my credit card, they’re only allowing 50% on to a CC and the rest on finance or cash (of which I can only afford £2000). I don’t want to be tied into a 5 years HP agreement, because I want to be able to sell the car in a year or two.

These are my options, which one do you think I should go for? Bearing in mind the car is £8000.

Option 1. £500 cash.
£7500 to finance, car deal is offering £172/month for 60 months (Total repayment £10320! So will be paying £2820 interest)


Option 2. £4000 by one credit card, then do a balance transfer on to another card which is offering 5.9% for the life of balance with no trnx fee. Can afford to pay £150/month towards that, but not sure how much interest I will incur on this balance?)
So remaining £4000 will be on finance at £200/month for 24 months (total repayment is £4800). But at least then after 2 years I can sell the car and pay the CC.

Option 3. £2000 cash
£6000 on finance at £166/month for 48 months (total repayment £7968)


Thank you in advance!