Student Car Loan

Christinemcl68

My 20 year old daughter is returning to University as a Student Nurse. She had previously failed her 2nd year and had to take a year out and is now going back. She gets a bursary of around £550 a month and is looking for a loan to buy a car. I can't help her out as guarantor or even in getting a loan on her behalf as my affordability is too high.

Any advice woudl be much appreciated!

Thanks

C x:)

TurnUpForTheBooks_2

Christinemcl68 wrote: »

My 20 year old daughter is returning to University as a Student Nurse. She had previously failed her 2nd year and had to take a year out and is now going back. She gets a bursary of around £550 a month and is looking for a loan to buy a car. I can't help her out as guarantor or even in getting a loan on her behalf as my affordability is too high.

Any advice woudl be much appreciated!

Thanks

C x:)

Generally I think many people would say it is not logical to take a loan for a car if you have a low income unless you really need it. Sure, lots of 20y olds would like the use of a car but does it make sense? I take it your daughter needs regularly to travel home to you or to a friend away from university or is at a university in the middle of nowhere-land?

The insurance will no doubt cost more than the car each year. Unless you have a mechanic in the family it will likely give a nasty three figure mechanical surprise bill at some stage plus fuel might cost double the price of a train ticket or bus ticket on a long journey.

I appreciate student nurses work hard in stressful situations and need to be able to let their hair down ... maybe a car is the best way to be able to stay sane in some geographical situations. It would be sad if it sat around not being used.

Even a creditworthy personal loan customer might have to pay 20%pa interest. Do you not have someone in the extended family who can offer a low interest loan instead?

[Deleted User]

TUFTB - i suspect that as part of a nursing course, you have to get to placements (often at silly times of the day), and it is necessary to have some form of personal transportation for that

Dunroamin

I have to say that, if she's had a year out and yet hasn't managed to save enough to buy herself at least a banger, her chances of repaying a loan when back to living on an NHS bursary don't look good.

davecooper71

i have bought a few 2nd hand cars before but always had bad experiences (something has gone wrong or over paid)despite doing checks/ getting mot'd etc. is there a check list out there? any advice? are there people who do this for you, on your behalf? to take the pain factor out.

rodders65

Its an absolute mine field. This clip is useful from that guy from Top Gear of old Quentin something, how to haggle:- might save you a few quid

http://www.hitachipersonalfinance.co.uk/car-loan/be-prepared-to-haggle/

TurnUpForTheBooks_2

I know so many people who have absolutely no idea what to look for when buying, and even if they get away problem free for a bit, they have no idea what might be happening when something looks to have gone wrong and are immediately at the total mercy of their local mechanic.

It woiuld usually be a crazy thing for a 20 year old to do unless they have really knowledgeable help in first choosing the make/model (low insurance group) then choosing a reliable second-hand example.

If however, like ringo says, the role requires it, I guess she'll just have to go into it with both eyes fully open ... also if ringo is right, she should check that the insurance "type of use" clause is more than social domestic and pleasure and extends to cover the journeys to and from placements / any callouts. That is not a simple question these days and might need an insurance broker to handle.