Car Finace Woes

thebritishbloke

sk065 wrote: »

I suppose I am justifying it by thinking that the ~2K interest I'll pay will nullify itself with the inference that the car will be worth around 2K at the end of the loan - I can then go on and use that as equity for another car so Im not sure how I would be out of pocket effectively?

My head is burst so my logic might be all wrong :P

2k interest on a 7.5K loan is insane. If you could afford to pay it off much quicker, say 24 months, it wouldn't be as much of an issue.

I'd shop around and see what other cars you can get before you make a decision.

sk065

I phoned ford finance and had it confirmed that the I can go to any dealer and any manufacturer as suggested here. Have to say, Im really not impressed with my current dealer telling me that I had to part ex the car with them after the contract ended.......

At least my options are not so limited now.

Thanks all

aphill24

Hi, I am a ford employee and quite experienced in this scenario as I work in a factory with most colleagues buying and selling cars on a daily basis. What you have is options and the ford finance would normally be below 12% if you wanted to buy the car outright. I personally have never bought a car on options I have always financed it with a personal loan for the very reason you find yourself in now. Not that I am preaching I am right it's just I dont trust the dealers. my wife has bought her last 3 cars on options and it has worked out okay when they ave been changed after 9 months (the time we have to keep them with a discounted price)

The problem with fords is that they depreciate so much. The secret with options is not to put any of your money down as a deposit and see if you can afford the monthly payments, if not don't bank on getting it back at the two years. Also when you buy the car go for a basic model such as a zetec with no extras and solid paint. You will never recoup the extras when it comes to gfv or very little anyway. The good thing about options is you have little in the way of maintenance especially if you trade it in after 9 months as you dont have to keep it the full two years,

PM if you want to discuss further if buying another ford as I have friends who are salesmen