Car finance help!

Charlotte1994_2

Hello,
My partner has a BMW on finance.
He has got around another 3 years left to pay on it.
Unfortunately his car is currently broken and after a few weeks of investigation it turns out he will require a whole new engine (which will be second hand). Costing around £3000 with fitting etc. The bill for investigating/trying to fix his car is already at around £1000.

My partner does not have £3000 to spend to get a new engine. Also does not have the £7000 (settlement figure) to pay the rest of his car finance off. I believe that he cannot get rid of his car until he has paid the settlement fiqure off on his finance.

He is considering getting a run around car for around £500 while he waits for his car to be fixed/ saving for it to be fixed. We are currently paying £140 a week for a hire car which we can’t keep paying now we have to save a good few thousand to repair his car etc.

We have thought about maybe getting a credit card and putting the engine cost on the credit card and then paying it off over the next few months/year etc. However, we are worried that this may also his credit score as we are thinking about buying our first home in the next few years.

Please help!!
Has anyone got any suggestions, or if anyone knows if you can sell/scrap the car etc but keep paying the finance?? We are just not sure where to start with it all or what to do for the best.

Thank you in advance

daveyjp

Whether he gets the car fixed, or leaves it and finds an alternative is down to him.

The finance does still have to be paid.

I assume this is a used BMW. If so it highlights to others the risk of buying a used car on a lengthy finance contract. The older they get the more chance of expensive repairs.

MEM62

Cam chain failure?

What is the model and year? Also what would the value be if the car was in working condition?

Was the car not covered by a warranty?

To offer some comfort, credit cards, when properly used, do not have a negative impact on your credit standing. Also, you do not have a credit score (other than the made-up number that CRA's try to convince you has some meaning)

foxy-stoat

Buy a cheap runabout - you don't need to be spending £140 a week on transport.

Get the BMW fixed when you can afford to and sell the run about and hope it lasts as long as the finance.

If you get a credit card it wont affect your ability to get a mortgage in a few years if you never miss a payment and get it cleared before.

Maybe sell it when the settlement figure is the same as the value and drive a cheaper car.

lopsyfa

Charlotte1994 wrote: »

Hello,
My partner has a BMW on finance.
He has got around another 3 years left to pay on it.
Unfortunately his car is currently broken and after a few weeks of investigation it turns out he will require a whole new engine (which will be second hand). Costing around £3000 with fitting etc. The bill for investigating/trying to fix his car is already at around £1000.

My partner does not have £3000 to spend to get a new engine. Also does not have the £7000 (settlement figure) to pay the rest of his car finance off. I believe that he cannot get rid of his car until he has paid the settlement fiqure off on his finance.

He is considering getting a run around car for around £500 while he waits for his car to be fixed/ saving for it to be fixed. We are currently paying £140 a week for a hire car which we can’t keep paying now we have to save a good few thousand to repair his car etc.

We have thought about maybe getting a credit card and putting the engine cost on the credit card and then paying it off over the next few months/year etc. However, we are worried that this may also his credit score as we are thinking about buying our first home in the next few years.

Please help!!
Has anyone got any suggestions, or if anyone knows if you can sell/scrap the car etc but keep paying the finance?? We are just not sure where to start with it all or what to do for the best.

Thank you in advance

Or check how much will require to reach 50% of the total finance cost so he can voluntarily terminate the agreement. If this amount is less than £4000 (£7000 - repair cost), then this option will be better but he wont have use of the car. I'm not sure whether you may be able to VT without fixing the fault. Legalbeagles will have more details (https://legalbeagles.info/forums/forum/legal-forums/motoring-parking/vehicle-finance-and-issues/98663-voluntary-termination-if-car-is-damaged).

MEM62

lopsyfa wrote: »

I'm not sure whether you may be able to VT without fixing the fault.

Errrrr........ No! You cannot send a car back in pieces. It has to go back in good, roadworthy condition.

Herzlos

It has to be in reasonable condition, so if you VT'd something without an engine expect a bill for a new engine + main dealer labour (probably £7k+ on it's own).


You're probably best finding a funding source for the replacement engine (loan or credit card - if the garage will take a payment that size on credit card), and get the car back on the road quickly. You'll spend a lot of time and money getting a runabout on the road if it's only going to be for a few months.

Felix11

I work in the automotive industry, with another brand. Dependent on age/mileage and your loyalty to the brand, the brand are often willing to contribute toward costs of repairs, even out of warranty. Example case recently: vehicle 4.5 years old 40k miles, auto gearbox failure, full service history WITH the brand. The brand contributed 50% towards costs, we charged the customer the rest. Worth thinking about if you feel that failure to the engine is premature.

DoaM

On the subject of a CC ... having an outstanding balance but with a history of paying it (and the interest) off is probably actually good for your credit "score".

lopsyfa

MEM62 wrote: »

Errrrr........ No! You cannot sent a car back in pieces. It has to go back in good, roadworthy condition.

That is why i said i am not sure. In the other link in my post, a poster on legalbeagles said a finance company accepted it subject to a payment of £60. I guess it will depend on the finance company, what the fault is and its cause.

No harm in asking though - worst they will say no.