Car finance VS mortgage

Charliiee

So long story short, before meeting my now partner 18 months ago I’d taken out new finance on my car - Blackhorse (merc) - £2k deposit and £370 a month for 4 years... so back to now, I’m 18 months in and wanting to buy a house but struggling to find a decent rate as my outgoings are high but I can’t give the car back till 50% paid and can even sell it to a dealer as the trade cut off for it is £16k as they’ve dropped in price (obviously) and the settlement for it is £21k and don’t really have the spare cash to pay off any lump sums, anybody else been in a similar situation and can offer any advice?!

[Deleted User]

Save hard, so you can either pay off the finance or increase your deposit.

A good broker will guide you as to your chances.

foxy-stoat

So £370 x 48 = £17,760 + £2,000 - £19,760

Is this a PCP deal as the settlement is higher than your contracted payments so that doesn't sound right if its a HP deal.

fiisch

If it's PCP, you could look to repay a lump sum to reduce the monthly payments to improve how your fare on mortgage affordability calculators....

E.g.: Ignoring interest (so it'll actually be a bit better than this), if you £3k reduces payments by £100/month...