Feel fleeced by a 'nice'car salesman at arnold clark!!!!

photome

londonTiger wrote: »

completely different thing, car depreciates in value. There is little difference between a 2k car and a 7k car. If you just want to use it for transport then there's no reason to get financing to buy a 7k car. you're better off buying a 2k car for cash.

House is different, almost nobody can afford to buy a house for cash. Plus a house is an investment - it won't depreciate in value, if it's in London it will only go up.

A car is just a luxury item that you don't need to buy if you can't afford it. People just buy a expensive car they can't afford to "keep up with the Jones's".

I bet in most cases when you buy a car on credit, just 6 months after getting it you start to hate the car, but you've got to keep paying for it for 2.5+ years. OTOH the more of your mortgage you clear the happier you get and it's something you look forward to.

Another ridiculous post.

Are you saying that all cars on the road should be 2k runabouts, i guess the manufacturers and everyone associated would beg to differ

As for houses all going up in value (we dont all live in London) tell that to my brother who bought a house around 1990 only to see it halve in value over the next few years.

Why if someone has bought a car for more than 2k will they start to hate it after 6 months, I cant remember ever hating a car I have owned...well maybe the scenic but none of the others.

It can be cheaper to buy on credit with interest free deals and or low interest and leave your cash in an ISA

londonTiger

photome wrote: »

Another ridiculous post.

Are you saying that all cars on the road should be 2k runabouts, i guess the manufacturers and everyone associated would beg to differ

And I'm accused of writing a ridiculous post! :T

If you're alturistic enough to think about the car makers profit and livlihood and "everyone associated" then keep on going. But don't complained when you get fleeced by car dealers. Because I'm sure their profit is more important than you getting a reasonable deal.

photome wrote: »

As for houses all going up in value (we dont all live in London) tell that to my brother who bought a house around 1990 only to see it halve in value over the next few years.

Most people who buy homes retain in value or appreciate (with the exception of houses bought during the bubble which have been over-inflated at time of purchase). It's rare for house prices to plummet, and you can avoid that with good planning. Do your homework - make surte the council isn't planning to throw up council houses nearby, make sure it's not in low-land areas prone to flooding etc.

having said that owning a home is a necessity rather than a luxury. Whether you like it or not you have a minimum amount of space you need to live. If you don't own a home you need to pay rent. Provided you buy a house a suitable size to your needs - it can be cheaper to buy than to rent.

A car is jsut a utility. A £2K gives roundabout the same value as a £7K car. if you want the newer mod cons and stuff a £7K is preferable. But if you can't afford one then a £2K car will do the job.

photome wrote: »

Why if someone has bought a car for more than 2k will they start to hate it after 6 months, I cant remember ever hating a car I have owned...well maybe the scenic but none of the others.

It can be cheaper to buy on credit with interest free deals and or low interest and leave your cash in an ISA

Not specifically hatign the car. But when you fall out of love with the car and it starts to get a bit old. The fact that you're still paying for the car will leave you with some resentment.

To your latter point. If you can truly get a car interest free and at a reasonable price. Plus you have the cash saved up but you just want to earn interest on it. Then maybe that is a smart thing to do. But I bet the vast majority of people who buy cars on credit aren't in that position.

he's the crux of the matter. Never ever ever will you get something free for nothing. The interest free period is likely to be for part of the loan period and then gets hiked up to credit card levels of interest afterwards. Or if you miss a payment the interest free offer gets removed.

Even if all that is legit, you're probably buying the car at above market rates. A normal dealer will probably sell the car for 6500. But the dealer that's offering interest free credit is probably selling the car for 7000 or something.

If they are offering the credit themselves, they will have cash flow issues and that will hurt their business because they need to reinvest and buy new cars. If they are subcontracting the finace to a third party, there will almost certainly be a commision at play which would mean that it increases the cost of the car.

You may find that your 3% ISA probably doesn't pay much.. and the beenfit of having cash in your ISA is probably minuscule compared to the price premium yuo will pay to buy a car on 0% credit.

steve-L

photome wrote: »

Another ridiculous post.

Are you saying that all cars on the road should be 2k runabouts, i guess the manufacturers and everyone associated would beg to differ

As for houses all going up in value (we dont all live in London) tell that to my brother who bought a house around 1990 only to see it halve in value over the next few years.

Why if someone has bought a car for more than 2k will they start to hate it after 6 months, I cant remember ever hating a car I have owned...well maybe the scenic but none of the others.

It can be cheaper to buy on credit with interest free deals and or low interest and leave your cash in an ISA

The housing market is another thread entirely.... suffice to say it's not real... or as someone once said, there is a whole generation that owe money to the later generation.
Back in my parents day you saved up before buying a house. Only the UK's vastly inflated market and unsecured borrowing combined with the lack of spare land created some increase in value...

Buying a new car is pointless unless your point is you want to own a new car. It won't get you from A to B faster or more economically than a 3 month or 6 month old car on average. (Yes some newer model may come out with better fuel economy but hardly significant over 2-3 years)

In most cases a 5 yr old car will be as reliable.... and when you look at depreciation a lot cheaper.

With a few rare exceptions (non of which are economical to run) cars depreciate and do so rapidly....

If you buy a new car because it smells nice.... is shiny then you are paying a lot of money for something that is no longer new in 3 months... or 6 months... that you could have purchased for 70% of the price....