Saver needs help to spend Serious cash

topscotsaver

After saving for a while, the time has come for me to buy a new car (hole in fuel tank!!) I have a student overdraft of £1400 0% for another 5 years, £2000 in a savings account, £2000 cash. I earn around £400 pm,

Im looking to buy the best car I can get for around £7000 max,(taking insurance etc into consideration) so I would need to borrow around £2000,

I have never borrowed before, no credit cards, so I am unsure of how to obtain the money and how to repay it. (ie the cheapest way)

Any help would be most appreciated thanks

Phil

missprint

Why on earth would you want to spend so much on a car in your present financial situation? We buy disposable cars on eBay, never spend more than £500 and get two or three years use out of them. Our present car is an excellent vehicle with probably four years life in it yet and we paid £285 for it. A car is a money pit, just think what better use you could be putting your cash to!

finallydebtfree!!

finance for a car is what started my debt! its entirely up to you but I would say instead of borrowing another £2000 look at what you could get without taking out any form of finance/loan/credit card.

I got my car in 2002 and became debt free at the end of last year (because of early repayment, would have been jan 2008) then once the £2000 from the car finance was paid off I thought oh well Ive lived without £xxx per month and took out a loan for a fantastic holiday and carried on paying £xxx + a little bit more. If I hadnt have seen sense I would still be paying this and no doubt doing it again next jan. now that monthy payment is a direct debit into my isa! and my new motto is if I cant afford it I dont have it!