Car Loan - To help or not to help

BaileyMoselle

Jenniefour wrote: »

Does she plan/want to buy her council flat? If so, buying a brand new car on finance is the equivalent of shooting herself in the foot - it's going to seriously reduce how much a mortgage lender would be willing to offer.

That's a great point. Thank you. Yes she has expressed an interest in buying the property.

kuohu

I'd suggest spending £2k on a nice used car for her, wrapping a ribbon around it and giving it to her on Christmas day.

gycraig_2

I would question the fact someone with a track rd odd of not paying debts back wants to borrow money from you as a deposit for an 11k car.

I would also question why someone on the lowest legal wage feels the need to have 11k of debt, and with the low earnings is there not far better things she could be doing with that money.

I earn a decent wage and drive a 3k car girlfriend earns similair and drives a 5k car.

If you go ahead and do it just accept the money is probably gone and you ain't seeing it again how will she pay you back when she has an empty bank now and is taking on debt

misiek404

gycraig wrote: »

I would also question why someone on the lowest legal wage feels the need to have 11k of debt,t

As someone mentioned before, she doesn't need it, she wants it. Like a child in a sweet shop.

BaileyMoselle

misiek404 wrote: »

As someone mentioned before, she doesn't need it, she wants it. Like a child in a sweet shop.

Yes - for some people a car is a status symbol, similar to a gold necklace. She was decided on a second hand car (12k but still too expensive imho) but then a slick salesman said he could provide her with a brand new car for just a little extra each month. I am not sure exactly what she was told. I suspect the emphasis from the salesman was very much on the pros with summary attention to the cons.

BaileyMoselle

gycraig wrote: »

I would question the fact someone with a track rd odd of not paying debts back wants to borrow money from you as a deposit for an 11k car.

I would also question why someone on the lowest legal wage feels the need to have 11k of debt, and with the low earnings is there not far better things she could be doing with that money.

I earn a decent wage and drive a 3k car girlfriend earns similair and drives a 5k car.

If you go ahead and do it just accept the money is probably gone and you ain't seeing it again how will she pay you back when she has an empty bank now and is taking on debt

I do agree with you. I drive an eight year old little care with zero street cred. It has low mileage, full service history and never breaks down. I also paid cash for it and own it outright. But I would rather forfeit a loan and have 200-300 quid available for personal expenditure and quality of life each month. I don't care what car I drive as long as it is reliable. Others are bit more vain than me. Nothing wrong with that, but a flash car doesn't do it for me. Everyone is different. A flashy motorbike is a different thing....

BaileyMoselle

I relayed the information about pcp posters kindly provided on this thread. Armed with this information my partner confirmed with the car dealer that yes, indeed, there would be a balloon payment at the end of four years. Not to worry, said the salesman -'you can simply sign up for a new car after four years'. Hmmm - thankfully my partner has realised now that a new car will be much more expensive than she realised. Thanks everyone.

leespot

BaileyMoselle wrote: »

I relayed the information about pcp posters kindly provided on this thread. Armed with this information my partner confirmed with the car dealer that yes, indeed, there would be a balloon payment at the end of four years. Not to worry, said the salesman -'you can simply sign up for a new car after four years'. Hmmm - thankfully my partner has realised now that a new car will be much more expensive than she realised. Thanks everyone.

Good news! :beer:

Robisere

BaileyMoselle wrote: »

I relayed the information about pcp posters kindly provided on this thread. Armed with this information my partner confirmed with the car dealer that yes, indeed, there would be a balloon payment at the end of four years. Not to worry, said the salesman -'you can simply sign up for a new car after four years'. Hmmm - thankfully my partner has realised now that a new car will be much more expensive than she realised. Thanks everyone.

- and she listened to your commonsense advice! That is a definite bonus!

gycraig_2

Genuine congratulations mate so many people chuck thousands a year away on a car they don't need, "you can just finance another one" brilliant chuck 10k away over 5 years then get in another deal and do it again.

2 years in it becomes just a car and there is still a payment going out for it