19 Year old - Car finance

ryan86uk

Mxttz0r wrote: »

That seems fair. Admittedly, you're only trying to stop me do something I apparently will soon regret. I asked for the advice and a response I got.

Many thanks to all of the above, no more patronising comments necessary I think.

Sure!

You may or may not regret it but either way you will be locked into until it's paid back. I am simply trying to put across the ramifications of getting a car on finance to you. If you take our advice then happy days (it's the right one) if you don't... it's a learning curve.

I hope you make the right decision, keep us informed!

dgtazzman

Here's some more maths:
- 200 a month for the repayments
- 75 a month for the insurance
- 125 a month for the petrol
- Roadtax, MOT, maintenance...
You're looking at the 400 - 500 pounds a month region, 1/3rd of your income. Do you really want to be spending that big a chunk of your income on what basicly sounds like a fashion accessory to you?

Malky

Mxttz0r wrote: »

it is well within my means to afford one.

How so? You put down a £500 deposit using a credit card and you're relying on a bonus that you don't have in your hands yet. What if you don't get your bonus? It will be goodbye to your £500 that's for sure.
You've had some excellent advice from others but whether you act on it or not then that's up to you. You should be glad that so many strangers are looking out for you rather than seeing them as patronising.

gjs6385

To try and get this a bit more back on topic, the OP (Mxttz0r) has come on asking for answers to two questions:

• What is the likelihood of being accepted for the car finance from the dealer for £4740 over 3 years?
• Does the fact that the £500 deposit he has already made on his credit card impact on his chances of the above?

At the end of the day, it's his money and if he does end up on the DFW board a few years down the line, then you can all say "I told you so".

Reading through the thread, most people on here are regular posters and read a variety of debt situations everyday (and a fair share have personal experience of debt) so their concerns are well founded.

However, the OP has already been advised that his chances of being accepted are fairly high:

You will probably get it.

I don't see an answer to his second point though, and although I am unable to advise either way (I am no expert), this is what the OP would like answering if anyone has any thoughts....

ryan86uk

Sorry....

- No.

The fact they have taken a deposit I would assume they have taken any action in order to check the financial status of the OP i.e. credit check.

yorkshire-lad

ryan86uk wrote: »

Sorry....

- No.

The fact they have taken a deposit I would assume they have taken any action in order to check the financial status of the OP i.e. credit check.

Not always.
I paid my (small) deposit when I first looked at it, then he applied after I had gone and I was told I was accepted a few days later.
Looking back it was abit stupid,but I have learnt the hard way.

With regards to the OP,I wish I had more cash to save up,ye it's nice to have a newish car,but I would much rather be putting my money aside for a mortgage.

pjcox2005

I find these threads a bit repetitive and unhelpful for posters. Why do people get so worked up about a car, quoting references to houses and then not use the same analysis there.

Yes the OP doesn't need a new car, just like I would imagine most homeowners don't need the number of rooms they have in their house (one bedroom for a couple, two with children would be easily manageable) but people choose to spend their earnings on what they enjoy (little point working otherwise).

The OP clearly is fairly responsible with the caring he gives, is not moving out so the car payment can effectively be rent for a while.

OP - my suggestions:

- You are likely to be accepted but put a plan into action to make sure you repay. Shorter the life of the finance the better as you don't want to be left with the finance but the car becoming two old/unused before hand. Make sure that you understand the rate of interest you'll be paying and shop around to see if anyone will offer cheaper. Banks, car finance, Zoopla could all be possible searches.

- Saving would be better but understand sometimes people want to get on with life.

- Not sure you're income would be sufficient (I haven't looked) but I think I saw M&S are doing a 18 month interest free credit card which if you got could reduce your borrowing costs.

lincoln-potter

I think a few on here have been a little OTT in their response.

I remember buying my first car and the hefty insurance I paid on it and looking back (with my logical head on) it does seem like a waste of money but you know what? At the time i enjoyed it completely. If at 19 you can't have a little endulgence when can you? As long as he is sensible and doesn't end up going to the bank for a loan left right and centre then he will be just fine.

PursuitOfHappiness

The only problem I see with you getting the car is you put the deposit for the car on your credit card.You'll have to add the cost of that deposit to your monthyl finance package if you get accepted.If you can afford it, guessing you get about £1000 a month then go for it.What car is it?

screamer

Think Martin's Money Mantra

http://blog.moneysavingexpert.com/2010/10/12/money-mantras-never-leave-home-without-them/

So don't be patronising towards moneysavers. We are mostly here to SAVE money not spend it. You are being extremely unwise and you are about to get into something that you can't get out of for 3 years. And the fact that part of the deposit was paid on your credit card should say all you need to know. Get the car if you really want it, it's no skin off our noses, but don't throw it back in our faces if we give you extremely good advice and YOU don't like it! Don't ask for an opinion if the only opinion you're interested in is your own!