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Uni student struggling
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arr2000
Posts: 3 Newbie
I’m a uni student with another 2 years to pay off my car at 163 a month with 10.9% interest. I’m starting to struggle with not being able to work as much with placements etc..
I have £6610 in an ISA account which is me saving for a house after finishing uni in a few years. I was thinking of withdrawing money to pay my car settlement, which would leave me with £2000 in the ISA account.
I have £6610 in an ISA account which is me saving for a house after finishing uni in a few years. I was thinking of withdrawing money to pay my car settlement, which would leave me with £2000 in the ISA account.
I don’t know what I should do😣
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Comments
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Can you sell the car? Do you need the car?
I ask, as the costs of running a car - MOT / Tax / insurance can also be hefty - not Student budget friendly0 -
Good that you are thinking of this before it's a huge problem.
I don't know much about ISAs but wonder if you can make a series of withdrawals to cover the payments while you think things through?
Have you asked for a settlement figure for the car loan? If you settle it sooner rather than later it should be less than £163 x 24 months as there should be less interest to pay.I’m a Forum Ambassador and I support the Forum Team on Debt Free Wannabe, Old Style Money Saving and Pensions boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com. All views are my own and not the official line of MoneySavingExpert.
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⭐️🏅😇0 -
I definitely need the car for commuting to and from university, my placements and my work. The tax on the car is free and my insurance isn’t too bad either. It’s just the payment for my actual car that I would be struggling with - not running the carEmmia said:Can you sell the car? Do you need the car?
I ask, as the costs of running a car - MOT / Tax / insurance can also be hefty - not Student budget friendly0 -
So the settlement amount is £3400, but if I was to pay it monthly I would have £3800Brie said:Good that you are thinking of this before it's a huge problem.
I don't know much about ISAs but wonder if you can make a series of withdrawals to cover the payments while you think things through?
Have you asked for a settlement figure for the car loan? If you settle it sooner rather than later it should be less than £163 x 24 months as there should be less interest to pay.0 -
Unless you you are getting a return of
10% on the ISA - for me it’s a bit of a no brainer
Be disciplined though and put what you can back in
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