Old car is dead, need a replacement car and help please

H-I

Hi all!

My old banger died on me on the way to work few days ago and I now require a car, nothing brand new but something decent which will last me a good 3-5 years.

However, I have no money to go and buy a car outright, so I have been looking at monthly payments, finance and all that. I have contacted a company called carfinance247.co.uk, who have had some good reviews from review-centre. Would you recommend these guys and also what should I do?

Im after something around the 5K mark, maybe more but don't know if I could afford it. VW gold, Audi A4, something along the lines a saloon and diesel too since I do motorway mileage. Please help guys and girls, much appreciated.

Im new to all this new car malarky and want a good one, been buying old bangers past 7 years.

:money::money::money::money:

H-I

cheers for help

forgotmyname

Impatient arn't we. You need an answer within the hour?

Looks like 59 reviews from the same person to me.

Im sure they will sell you the car of your dreams and im sure they will make a lot of money out of you.


I dont see you getting finance for 7% though if you have bad credit. You will be passed down the line to the
bad credit lenders and eventually end up paying for 30%+.

Loans only work for those that dont need them.

OOhhh nice little calculator on the site, £5000 loan = £101 = good credit risk, £124 = Fair credit risk, £158 for those with poor credit.

I think £158 is more than 20%.

OK i just found a site and its about 30% interest.... Bargain.

Foxy-Stoat_3

I think you ought to buy a car that you can afford as at those interest rates will be a sure path to misery!

So you buy a car on their forecourt for £5,000 at todays prices. You realise that the car probably wont be worth £5,000 in the open market.

You have to pay £158 for the next 60 months = £9,480 total whether it is problem free for the next 5 years or not which is highly unlikey. You will need to factor in a budget for servicing and mechanical repairs depending on the mileage you do each year. I do 15,000 miles a year and allow myself a budget of at least £1200 a year which I save £100+ a month for, plus insurance of course and road tax. If they make you take out a worthless waranty for "piece of mind" then good luck, still save as if/when you need to claim they will do their best not to pay out and you will be left with a car that is broken and STILL have to pay the loan.

I would also find out what would happen if you were involved in a total loss accident say 1 or 2 years down the line, get a copy of their terms and conditions and READ and UNDERSTAND them. If the interest for the remaining part of the loan will be written off or early repayment charges. Say 2 years down the line someone hits you or you hit someone else and its a total loss, its worth say £3000-£3500 less any excess. You would of paid back £3792 of the £9480 loan, so you would have around £2500 left to pay back and still have no car to drive.

Buying secondhand cars that you end up paying back nearly double the original purchase price that you cant afford in the first place is a terriable idea. If you can save up £1000-£1500 or get an interest free credit card for the same amount you should be able to get yourself moving as long as you cut the card up and pay it back within 12 months. If you can afford the £158 a month then you should easily be able to do that and it may go a little way to give you some positive credit history.

Good luck and dont rush into anything!

Limey

Howabout an older car for less? As long as it's well maintained it'll last for at least 5 years. Summat like a 2002 (ish) d4d Avensis?

Hiya Wayne!

Foxy-Stoat_3

:cool: ....

forgotmyname

OP not replied yet. TUT.

Foxy-Stoat_3

forgotmyname wrote: »

OP not replied yet. TUT.

Well it did take over 24 hours to answer his question

H-I

Thanks folks for the replies, yes was being a tad impatient...

Ok so what about finance deals from private independent dealers?

And Barclay card offered me a credit card with 1200 on it, should I go with that and purchase a car around 1K? Thanks people, I appreciate all replies

Foxy-Stoat_3

Get the £1,000+ interest free cash and make sure you pay £83.33 back every month, you will lose the interest free deal if you are a day late in paying. Its important that you dont spend on the card either as you will want to go into a new finance deal in a years time with no other debts and be in the habit of making the monthly payments.

With your £1,000+ you should be able to get a Mondeo/Octavia/Fabia/306/Astra/Vectra/Golf diesel, check the tax groups before you choose as some of the later cars will get you on the £110 a year tax group.

I drove an Octavia diesel for 3 years and it was costing me £110 a year to tax, group 9 insurance and £0.12 a mile to run on diesel and I didnt really care that the goverment put 5p a litre on the price of the tax and it only ment an extra £2.00 a tank to fill up, bearing in mind I was getting 550 miles to £62 it didnt put the pence per mile up at all.

Put by £100 a month in a seperate account and only touch it for vital repairs/servicing. Keep in mind that your plan is to keep alive for a year so choose the cheapest tyres, do your own oil changes, brake pads/discs if needed and other simple repairs.

So 12 months later if you have paid the credit card on time every month and the car hasnt exploded on you, you should be able to drive it to a trader/dealer who offers a minimum trade-in of say £500-£1000 and some of your servicing fund to put down and should be able to give you a sensible finance deal if you still think you want a newer car.

If you dont have the £100 and the £83 a month spare on top of the mot/tax/insurance costs then I think you should stick with the £300 bangers !!

Greenthumb

Foxy-Stoat wrote: »

Get the £1,000+ interest free cash and make sure you pay £83.33 back every month, you will lose the interest free deal if you are a day late in paying. Its important that you dont spend on the card either as you will want to go into a new finance deal in a years time with no other debts and be in the habit of making the monthly payments.

With your £1,000+ you should be able to get a Mondeo/Octavia/Fabia/306/Astra/Vectra/Golf diesel, check the tax groups before you choose as some of the later cars will get you on the £110 a year tax group.

I drove an Octavia diesel for 3 years and it was costing me £110 a year to tax, group 9 insurance and £0.12 a mile to run on diesel and I didnt really care that the goverment put 5p a litre on the price of the tax and it only ment an extra £2.00 a tank to fill up, bearing in mind I was getting 550 miles to £62 it didnt put the pence per mile up at all.

Put by £100 a month in a seperate account and only touch it for vital repairs/servicing. Keep in mind that your plan is to keep alive for a year so choose the cheapest tyres, do your own oil changes, brake pads/discs if needed and other simple repairs.

So 12 months later if you have paid the credit card on time every month and the car hasnt exploded on you, you should be able to drive it to a trader/dealer who offers a minimum trade-in of say £500-£1000 and some of your servicing fund to put down and should be able to give you a sensible finance deal if you still think you want a newer car.

If you dont have the £100 and the £83 a month spare on top of the mot/tax/insurance costs then I think you should stick with the £300 bangers !!

Great post. Skoda you say hmmmmm:beer: