new car finance

donna1984

Hi folks. new here, been looking around the forums for a while though.
Got a couple of questions about obtaining car finance. Iam after a new car. the present car has been outgrown by the family, it is on a fixed sum loan agreement that was set up by a dealership over 2 years ago. I know we are in negative equity by 2200, but have £1000 saved up as a deposit, would we able to roll this into a new finance deal deal we want brand new. next question is. i am currently on maternity leave due back end of the year, would this effect getting any finance? thanks for any info.

Donna.

paddyrg

This will depend on the finance company, your salary, any partners salary, so so many things.

But if I were a lender, I would be cautious adding ~£1200 on top of the cost of a new car and financing charges to someone who *may* not return to work.

Is there a reason why you can't buy a secondhand car for the grand you have?

donna1984

I am going back to work, no if no buts, child care arranged. I earn £13000 per annum, partner 22000. question is, is it possible ?

Donna

paddyrg

Hmmm neither are huge salaries, and you may be 'going back no ifs no buts', but the lender can't force you to do that, so will probably err on the side of caution. Depending on what other debts you have (credit cards, store cards, etc) you may find it close-to-difficult to be honest.

Apples2

It will effect their decision, yes.

You have to demonstrate you can comfortably afford the repayments now, not on a promise of employment.

lawrie28

What sthe car and why have you outgrown it? An extra kid I guess from the maternity leave! can you put up with it? It is unlikely that you can roll up the negative equity, but anything is possible. I would not buy new, but used, as you will pay a large premium for a new car - you are already £2200 behind on the car you bought 2 years ago, and rolling up the equity or buying a new car will only increase this negative equity figure.

Can you wait? the further you go into the current agreement, the less you will be in negative equity. And if you could wait until you were back at work properly, then you are more likly to get a loan. It will also give you a chance to save more to put towards the car.

smitchy73

I got a Golf Bluemotion on VW Solutions and carried over about £1700 from a shortfall on my previous car. Watch the dealers, one I went to didn't offer the VW service offer, but their own, and didnt think vw would put the shortfall on to my new finance agreement.

I'll only add make sure this is the right decision see what the others have said as I can't fault anything they've said, but from my experiences yes it is possible, affordability is the big thing they look at, but get some nice staff and finance organisers and anything is possible.

donna1984

Apples2 wrote: »

not on a promise of employment.

I have a job. just presently on maternity leave from it!