Looking to buy a car - loan advise please

o2bfree

Hi,
My husband is looking at buying a new car.

I am wondering what the chances are of us getting a loan.

Situation is as follows:

Husband:
Self employed drawings of £30k this past year and into current year.
2 x CC - 1 with £1k on it and limit of £3.5k, 1 with £1700 on it with a limit of £12000
Never default but a couple of late payment charges due to not paying on the right day
Homeowner with £80k equity

Me:
Part-time employed earning £8k
3 x CC - 1 with £500 on it limit of £6500, 1 with £5500 on it limit of £9000 and 1 with £8000 on it limit of £9000.
Never defaulted and no late payments have been overpaying on these for the last 18 months as had a lot more debt than this.
Have closed accounts as I have paid them off.

£3000 in savings

Looking to borrow £20k for a brand new car.

Advice please.

bryanb

Oh to be free, You won't get free by borrowing more.

Tixy

What are his profits before tax? its that that you will need to enter as his income not his drawings figure (of if a partnership then his share of profits).

Are you financially associated on your credit files?

He might well be able to obtain secured finance on the car, if he has a deposit. I suspect he will struggle to get a £20k unsecured loan.

I am sure others will comment as to whether its really a good idea to buy a brand new £20k car when you both have outstanding debts, so I'll just ask has he considered and looked at cars that are around 2 years old? Some really good prices around at that sort of age car. Or considered waiting until at least his debts are cleared (or better still until both your debts are cleared)

supermanjo

^^ What Tixy said!

£9,995 will buy you a sweet 2008+ 4.2 V8 TDI Audi A8. And that's dealer prices. Autotrader have them for around 7-8k.

Loads of better one owner cars to be had then crappy new cars with poverty trim. You've saved £10,000 from just that purchase, put it torwards the £20 a week extra fuel you'll burn, and it should outweigh the depreciation of a new car.

Plus, an Audi A8 is class...

XXSCOTSLASSXX

u have already with borrowings and available credit 40K of credit ....... on a joint income of £38k ....... and ur looking to borrow an other 20k ..... at the very least I think ud have to request the credit card companies reduce all limits before you start looking at borrowing more....

[Deleted User]

supermanjo wrote: »

^^ What Tixy said!

£9,995 will buy you a sweet 2008+ 4.2 V8 TDI Audi A8. And that's dealer prices. Autotrader have them for around 7-8k.

I dont think so. Might want to add another £10000 onto that number for the car you mention. Unless its been to the moon and back of course!

drbesty

Are you crazy? On what planet does this sound like a good idea? You don't need a new car