Finance options for 13 year old banger

Legacy_user
Legacy_user Posts: 0 Newbie
in Motoring
Hi everyone

I own outright a 13 year old hatchback, middle of the 1.0l range
Do you know what my finance options are or where I could go for a secured loan on it? I'd like to make a pension topup. I expect that because it depreciates slower than a new car it must be better security for what I do borrow

Thank you in advance
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Comments

  • worried_jim
    worried_jim Posts: 11,631 Forumite
    Combo Breaker First Post
    I’ll give you £25.
  • force_ten
    force_ten Posts: 1,931 Forumite
    First Anniversary Combo Breaker First Post
    are you talking about a log book loan?

    if you are then I dont think you will get any decent loan against a thirteen year old car that you describe as a banger
  • System
    System Posts: 178,093 Community Admin
    Photogenic Name Dropper First Post
    Yea, it doesn't have to be much, it just has to be at a lower rate of interest than the average return on Vanguard lifestrategy 100. A margin loan would be marked to market, this wouldn't be...
  • AdrianC
    AdrianC Posts: 42,189 Forumite
    First Anniversary Name Dropper First Post
    MatthewAinsworth wrote: »
    I own outright a 13 year old hatchback, middle of the 1.0l range
    Do you know what my finance options are or where I could go for a secured loan on it? I'd like to make a pension topup. I expect that because it depreciates slower than a new car it must be better security for what I do borrow
    And what would you reckon this 13yo 1.0 hatchback "banger" is currently worth?

    Let's be honest, it's one decent bill from scrapping, isn't it? What sort of loan do you think anybody's going to give against it, and still be sure of getting their money back after the costs of repossession have been covered?
  • System
    System Posts: 178,093 Community Admin
    Photogenic Name Dropper First Post
    With its fresh mot I estimate value of about 4-500£, I am prepared to pay over its value in repairs if those repairs will give me more than a years worth of use. I reckon that as long as the loan is beneath scrap value by the end of this year's mot, the security's good. My friend recently got paid £50 with free collection for a scrap
  • debtdebt
    debtdebt Posts: 949 Forumite
    You're going to get nothing against it.
  • System
    System Posts: 178,093 Community Admin
    Photogenic Name Dropper First Post
    Might get a free laugh ;) if my garage ever tells me to scrap I could say it's on finance and see the look on their faces lol
  • force_ten
    force_ten Posts: 1,931 Forumite
    First Anniversary Combo Breaker First Post
    no main street lender will offer a loan secured against a 13 year old car, you may get an offer from a log book loan lender but the interest rates on a log book loan will be astronomical starting around 80% apr going up to around 450% apr so i dont think log book loans are where you should be looking
  • System
    System Posts: 178,093 Community Admin
    Photogenic Name Dropper First Post
    Thank you, I certainly wouldn't take anything more than 10% interest (aiming for 12% return), even the approx 8% rate of margin loans spooks me a little
  • worried_jim
    worried_jim Posts: 11,631 Forumite
    Combo Breaker First Post
    There is more profit to be had in looking for loose change down the sides of the sofa.
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