Advice for partner

[Kinggizz]

My partner is looking to upgrade her car, looking for advice on the options available in terms of finance/lease/bank loan/cash payment. She does a lot of daily motorway miles approx 20000 miles per year, and looking for a medium size/SUV/cross back style car. She has always gone down cash payment route, but wondering if this is still the best method in this day in age.

Cheers

[georgeyboy12345]

Depends.

What is the budget?

[Belle427]

Depends on the value of the car but some bank loans have decent rates over 5 years and that’s what I prefer to do.
Don’t mind paying the little extra over the term personally.

[Kinggizz]

georgeyboy12345 said:

Depends.

What is the budget?

So we would be looking to put down a deposit of 6 grand and then doing monthly payments. Monthly payments of around 300 - 400 mark

[georgeyboy12345]

For how long?

[Decky_Q]

This is purely my opinion and everyone will have their own. That is my usual budget for family car too, over 4 years that should give you a budget of around £15-16k going with a personal unsecured loan (my own choice).

She is doing more than average miles so will likely be penalised by PCP etc to the point that it will become expensive, and with those extra miles she will be hitting the service times more frequently too.

With a personal loan not connected to the car the rates will be a bit higher, maybe 8% but if you kerb a wheel it's not the end of the world, if you want to sell up and swap cars it's not a problem, the car is entirely yours on day one, mileage isnt a problem, independent servicing no problem etc.

The difference in monthly payment is pretty small between 4 and 5 year loan so I wouldn't stretch it out too long, similarly the interest rate drops when it's over 3 years so 4 was the sweet spot for me on my last 4 cars.

[Kinggizz]

georgeyboy12345 said:

For how long?

Ideally 3 years

[Mammasaid]

You could lease a Kia Sportage for £2500 down and £243/month over 3 years;

https://www.leaseloco.com/car-leasing/kia/sportage...

You'd have no equity, however you'd only be paying £11k over the 3 years.

[Kinggizz]

Mammasaid said:

You could lease a Kia Sportage for £2500 down and £243/month over 3 years;

https://www.leaseloco.com/car-leasing/kia/sportage...

You'd have no equity, however you'd only be paying £11k over the 3 years.

Thank you
But Mileage is the issue with this.

[ZX10R NIN]

Kinggizz said:

My partner is looking to upgrade her car, looking for advice on the options available in terms of finance/lease/bank loan/cash payment. She does a lot of daily motorway miles approx 20000 miles per year, and looking for a medium size/SUV/cross back style car. She has always gone down cash payment route, but wondering if this is still the best method in this day in age.

Cheers

I'd look at personal finance because your partners mileage will hurt whatever you buy in terms of depreciation or cost you more if you go for a lease/PCP.

Take a look at the Infinit EX you'll get a low mileage one for sensible money & the drivetrain is ULEZ/CAZ compliant:

https://www.autotrader.co.uk/car-details/202110088...

[georgeyboy12345]

You could get a personal loan at 2.8 % APR over 3 years, the monthly payment would be just under £400 and you'd get £13,500. Add your £6000 to this and you are looking at around £20,000 for a car.

One of these electric SUVs could be a good shout on PCP, cheap to run and should be very much in demand in a few years time, so actual ownership cost over the three years could be very little

Mazda MX-30
https://www.autotrader.co.uk/car-details/202203304...

Kia Soul
https://www.autotrader.co.uk/car-details/202203263...

MG ZS
https://www.autotrader.co.uk/car-details/202203314...

[Kinggizz]

georgeyboy12345 said:

You could get a personal loan at 2.8 % APR over 3 years, the monthly payment would be just under £400 and you'd get £13,500. Add your £6000 to this and you are looking at around £20,000 for a car.

One of these electric SUVs could be a good shout on PCP, cheap to run and should be very much in demand in a few years time, so actual ownership cost over the three years could be very little

Mazda MX-30
https://www.autotrader.co.uk/car-details/202203304...

Kia Soul
https://www.autotrader.co.uk/car-details/202203263...

MG ZS
https://www.autotrader.co.uk/car-details/202203314...

Not feeling electric with the amount of miles daily. We don’t have a drive either so no home charging makes it a pain.

[Kinggizz]

ZX10R NIN said:

I'd look at personal finance because your partners mileage will hurt whatever you buy in terms of depreciation or cost you more if you go for a lease/PCP.

Take a look at the Infinit EX you'll get a low mileage one for sensible money & the drivetrain is ULEZ/CAZ compliant:

https://www.autotrader.co.uk/car-details/202110088...

Yes it does seem the way to go down but still going to go to a few garages and see what they can offer. Not bothered about keeping the car at the end wouldn’t mind just keep swapping it for something new.

[ZX10R NIN]

Kinggizz said:

Yes it does seem the way to go down but still going to go to a few garages and see what they can offer. Not bothered about keeping the car at the end wouldn’t mind just keep swapping it for something new.

You can still change for something newer in 3 years time it will have just cost you less, keep an eye out for the facelift QX50 they're a rare find but worth seeking out.

https://www.ebay.co.uk/itm/313696033139?hash=item4...

[Mammasaid]

Kinggizz said:

Mammasaid said:

You could lease a Kia Sportage for £2500 down and £243/month over 3 years;

https://www.leaseloco.com/car-leasing/kia/sportage...

You'd have no equity, however you'd only be paying £11k over the 3 years.

Thank you
But Mileage is the issue with this.

That is for 20k per annum

[georgeyboy12345]

Kinggizz said:

georgeyboy12345 said:

You could get a personal loan at 2.8 % APR over 3 years, the monthly payment would be just under £400 and you'd get £13,500. Add your £6000 to this and you are looking at around £20,000 for a car.

One of these electric SUVs could be a good shout on PCP, cheap to run and should be very much in demand in a few years time, so actual ownership cost over the three years could be very little

Mazda MX-30
https://www.autotrader.co.uk/car-details/202203304...

Kia Soul
https://www.autotrader.co.uk/car-details/202203263...

MG ZS
https://www.autotrader.co.uk/car-details/202203314...

Not feeling electric with the amount of miles daily. We don’t have a drive either so no home charging makes it a pain.

That's a shame as you'd make loads of savings - you'd save over £1800 a year on diesel, plus a couple of hundred a year on tax, servicing, and less depreciation.

Here are some diesel powered SUVs if you decide to PCP

Alfa Romeo Stelvio 2.2 Diesel 16V
https://www.autotrader.co.uk/car-details/202203043...


BMW X1 XDrive18d
https://www.autotrader.co.uk/car-details/202112150...


Audi Q3 S-Line TDI
https://www.autotrader.co.uk/car-details/202203223...


Ford Kuga 1.5 EcoBlue
https://www.autotrader.co.uk/car-details/202204054...


Jaguar E-Pace D150
https://www.autotrader.co.uk/car-details/202203023...


Honda CR-V 1.6 i-DTEC
https://www.autotrader.co.uk/car-details/202203304...


Mercedes GLA200d Sport
https://www.autotrader.co.uk/car-details/202107285...


Range Rover Evoque 2.0 ED4
https://www.autotrader.co.uk/car-details/202203183...

[ZX10R NIN]

georgeyboy12345 said:

That's a shame as you'd make loads of savings - you'd save over £1800 a year on diesel, plus a couple of hundred a year on tax, servicing, and less depreciation.

Here are some diesel powered SUVs if you decide to PCP

Alfa Romeo Stelvio 2.2 Diesel 16V
https://www.autotrader.co.uk/car-details/202203043...


BMW X1 XDrive18d
https://www.autotrader.co.uk/car-details/202112150...


Audi Q3 S-Line TDI
https://www.autotrader.co.uk/car-details/202203223...


Ford Kuga 1.5 EcoBlue
https://www.autotrader.co.uk/car-details/202204054...


Jaguar E-Pace D150
https://www.autotrader.co.uk/car-details/202203023...


Honda CR-V 1.6 i-DTEC
https://www.autotrader.co.uk/car-details/202203304...


Mercedes GLA200d Sport
https://www.autotrader.co.uk/car-details/202107285...


Range Rover Evoque 2.0 ED4
https://www.autotrader.co.uk/car-details/202203183...

Real world petrol hybrids aren't better on fuel then a diesel, a diesel hybrid could make more sense when doing 20k a year but I'd still just go with a regular diesel.

[ChrisH72]

What car does she currently have?

How much cash would you have with her old car plus your 6k?

I'd go personal loan if I had to finance. But right now I'd be looking at cars at least 5 years old as anything newer is almost as much money as a brand new car due to supply shortages. I'm often checking fairly new SUVs as possible family car replacements but the prices just aren't dropping at all so it can wait.

[georgeyboy12345]

ZX10R NIN said:

Real world petrol hybrids aren't better on fuel then a diesel, a diesel hybrid could make more sense when doing 20k a year but I'd still just go with a regular diesel.

Wake up ZX, they are not hybrids, they are full EV's.

[ZX10R NIN]

georgeyboy12345 said:

Wake up ZX, they are not hybrids, they are full EV's.

Awake now

Full EV's really don't make sense for people like myself who do over 20k a year I don't have the time to wasting charging an EV vs 600-700 miles from a tank of diesel.

The best mileage I've got from an EV was 239 miles from a Mach e 220 miles from various Tesla's & with the cost of charging out on the road isn't far off filling up a tank of petrol but a lot slower.