Help -buying a car should I buy new with finance or old with cash?

Ectophile

If you're thinking of buying anything on finance, first add up the total amount of interest you will end up paying over the course of the loan. At that point you'll realise why many of us prefer to buy a second-hand car with the money we can afford, rather than buying a shiny new one on finance.

In the long run, if you can avoid ever buying anything on finance (except a mortgage for most people), you'll have more and more money compared with people who just keep borrowing money for everything.

gilbert_and_sullivan

Ectophile wrote: »

In the long run, if you can avoid ever buying anything on finance (except a mortgage for most people), you'll have more and more money compared with people who just keep borrowing money for everything.

Couldn't agree more, but the never never junkies will be along in a while to bring this notion of only buying what you can afford into their surreal 21st century...the events of the last 5 years in the western credit addict world should be enough evidence they are wrong, but some people can only learn the hard way.

Stooby2

Before you do anything, run a few cars through some insurance comparison sites (just get a few reg numbers and car details off Autotrader) to give you an idea what you will be spending on insurance as that's going to put a largeish dent in your available funds.

Personally I'd be looking at a Corsa, Micra, Fiesta, Ka, that kind of motor - plenty of cheap ones around, parts are cheap and they're easy to work on. Or for something a little different, a mate of mine just picked up a Suzuki Jimny for £500 for his daughter and it's a cracking little car.

Whatever you get, the ability to do basic servicing will save you a lot of money.

Hintza

Buying a banger is fine when you are young enough, have some knowledge and still have the inclination to to crawl under the car and spend hours hammering off a seized brake calliper in the pi$$ing rain without the right tools.

Having a new car once or twice in your life is a great pleasure.

Far too many folk are too polarised about cars, your wants and needs change throughout your life, normally with life's great events; leaving school, first job, marriage etc...

Sometimes you just want a new car just to get rid of that itch.

Ultrasonic

Hintza wrote: »

Sometimes you just want a new car just to get rid of that itch.

Sure, but the OP only has £1200.