Negative equity in new car finance?

motorguy

Strider590 wrote: »

Doesn't really help in the OPs predicament, but none of this would happen if people took the "only spend what I can afford in cash" approach to life.

I suppose it's easy for me to say?

Yes its very easy said, and not hard to achieve if your measure of success in meeting your goal of "only ever buying my car for cash" is an 04 Vectra 1.8.

Strider590

gilbert_and_sullivan wrote: »

Don't know about you Strider but i know that paying off your mortgage and not owing a bean to anyone is a damn sight more liberating and more fun than living outside your means wondering where the next payment is coming from.

It's all part of that system of debt, it's the new religion, the new form of control, debt creates debt.

It was largely pushed into our lives in the 1980's, giving working class people credit cards and then leading them to believe that spending money can buy higher social class (which is impossible), it's made the rich SUPER RICH and created a new breed of self serving pretenders who add absolutely nothing to British society.

It's no surprise that debt is the number one problem that the Citizens Advice Bureau have to deal with.

motorguy

gilbert_and_sullivan wrote: »

Don't know about you Strider but i know that paying off your mortgage and not owing a bean to anyone is a damn sight more liberating and more fun than living outside your means wondering where the next payment is coming from.

As long as its understood that not being in the former position does not mean by default you're in the latter position.

Hintza

Strider590 wrote: »

Doesn't really help in the OPs predicament, but none of this would happen if people took the "only spend what I can afford in cash" approach to life.

I suppose it's easy for me to say?

How do you deal with mobile phones? Contract or not?

motorguy

Hintza wrote: »

How do you deal with mobile phones? Contract or not?

+1

Plus it depends on your measure of success doesnt it?

Which is better, running an older car with higher maintenance costs, or a newer car on finance but with no maintenance costs?

Which is better, having a £100,000 house and being mortgage free, or having a mortgage of £150,000 on a house worth £350,000?

All about affordability.

It would wrong of me to assume that the person in the £1000 car 'cant afford better', and it is equally wrong to assume someone with a new car on finance is 'living beyong their means.' just because they have some form of finance.

Strider590

Hintza wrote: »

How do you deal with mobile phones? Contract or not?

I had a contract years ago, I now have my own phone and the contract period has expired, so i'm effectively paying SIM only prices, but without being tied to an actual contract. Removing the phone from the contract reduced my bills from £24 to £12.

People don't seem to realise that the reason they offer you "free upgrades" is so that they can trap you into another 12/24 month contract.

I could stop my account tomorrow and wouldn't have to pay a cancellation fee because i'm not breaking any contract terms.
Thing is, it took for them to forget to offer me an upgrade for me to realise how all this worked.

gilbert_and_sullivan

motorguy wrote: »

It always bemuses me that these threads attract so many people who say they have no debts, drive cars they've bought for cash and live in mortgage free homes and who can therefore take some moral high ground on an internet forum about how "if you have to finance it you cant afford it"

Much like over on Pistonheads there is the documented phenomenon of the Powerfully Built Company Director as a much higher than average amount of posters over there say they are Porsche / Ferrari driving company directors.

I would say in both cases the reality is somewhat different to the internet persona.

Not interested in your opinion of me, so say whatever you like.

Some of us have lived our lives differently to the credit generation, we avoided debt as much as possible, we didn't buy into must have the latest shiny car to keep grinning shark car dealers and their trophy wives in nice estate clone homes, or their finance backers in mansions in Iver and Sunningdale.

We worked all hours possible didn't claim on the state and didn't pay interest if it could be avoided and are able to reap the benefits, there is another way.

Those who can't live within their means will never know that feeling of true liberation, well until their parents (unless they lived on the never never too and haven't got a pot to p in) kick the bucket.

People like Strider and i post not because we want to gloat, but to try and offer as kindly as can be put another route for those who have become addicted to life on spiralling out of control credit.

Telling people how to get out of one mess without advising them to avoid another one is totally irresponsible.

Those who make a lucrative living out of encouraging other peoples weaknesses are the true villains here.

motorguy

gilbert_and_sullivan wrote: »

Not interested in your opinion of me, so say whatever you like.

But interested enough to read it and comment?

gilbert_and_sullivan wrote: »

Some of us have lived our lives differently to the credit generation, we avoided debt as much as possible, we didn't buy into must have the latest shiny car to keep grinning shark car dealers and their trophy wives in nice estate clone homes, or their finance backers in mansions in Iver and Sunningdale.

We worked all hours possible didn't claim on the state and didn't pay interest if it could be avoided and are able to reap the benefits, there is another way.

Those who can't live within their means will never know that feeling of true liberation, well until their parents (unless they lived on the never never too and haven't got a pot to p in) kick the bucket.

Sorry but this is pretentious holier than thou balls.

gilbert_and_sullivan wrote: »

Telling people how to get out of one mess without advising them to avoid another one is totally irresponsible.

Indeed, though taking a "one can only comment on this from a holier than thou perspective" approach and doesnt really help much?

gilbert_and_sullivan wrote: »

Those who make a lucrative living out of encouraging other peoples weaknesses are the true villains here.

Indeed they are.

motorguy

Strider590 wrote: »

I had a contract years ago, I now have my own phone and the contract period has expired, so i'm effectively paying SIM only prices, but without being tied to an actual contract. Removing the phone from the contract reduced my bills from £24 to £12.

People don't seem to realise that the reason they offer you "free upgrades" is so that they can trap you into another 12/24 month contract.

I could stop my account tomorrow and wouldn't have to pay a cancellation fee because i'm not breaking any contract terms.
Thing is, it took for them to forget to offer me an upgrade for me to realise how all this worked.

Hardly "trapping you" if they tell you up front that its a 12/24 month contract?

You do know that its not some evil plan to enslave us all, it is just a mobile phone contract dont you?

marlot

motorguy wrote: »

Yes its very easy said, and not hard to achieve if your measure of success is an 04 Vectra 1.8.

Who would really care if that was your car?

People spend all their money, including money they don't have, creating an image. I can't be bothered with it all.

I went to a speech by Anne Widdecombe recently, and she observed that people who compared themselves with those who had more than them seemed remarkably less happy than those who compared themselves with those who had less (and tried to help them).

We're fortunate enough to have several cars, but I don't feel the need to replace the Honda Jazz because its now eight years old. No more than I feel the need to replace the washing machine because its not a current model. I'll replace them when they break and are uneconomical to repair, or when my needs change.

One of my neighbours drives a 20 year old, decrepit merc. The other drives an almost new merc SLS. Each to their own - I don't mind.