Downgrade your car to become debt-free?

[Dave200]

HeatonNorris said:

In this case he's not just paying for it from salary, but also out of expense claims.

I thought that the expenses were just covering running costs, rather than purchase?

[C.A.R.]

Just browsing the classifieds for a reliable diesel and found a 1.8 petrol. Granted, this will only get about 35mpg, but my thinking is-

I've owned 2 cars with this engine in the past
It has lower mileage than similar diesel models of the same age
There's less to go wrong and - when/if it does - it will be cheaper to fix?
Tax is the same as is the insurance.

Now I'm not sure. It's a £600 car because it has a dent in the side, which isn't too bad. I would know the car inside-out, but it could end up costing me around £400 a year more in fuel - would that be so bad? I'm looking at 13,000ish miles per annum. A diesel isn't 100% necessary in my opinion, but convincing myself a 1.8 is a wise choice is tough... I don't want to be crippled by fuel bills.

[miln0039]

C.A.R. said:

Just browsing the classifieds for a reliable diesel and found a 1.8 petrol. Granted, this will only get about 35mpg, but my thinking is-

I've owned 2 cars with this engine in the past
It has lower mileage than similar diesel models of the same age
There's less to go wrong and - when/if it does - it will be cheaper to fix?
Tax is the same as is the insurance.

Now I'm not sure. It's a £600 car because it has a dent in the side, which isn't too bad. I would know the car inside-out, but it could end up costing me around £400 a year more in fuel - would that be so bad? I'm looking at 13,000ish miles per annum. A diesel isn't 100% necessary in my opinion, but convincing myself a 1.8 is a wise choice is tough... I don't want to be crippled by fuel bills.

13,000 @ 35mpg and (AA average) 1.338/lite = £2,236 (or £186 per month)
13,000 @ 50mpg and (AA average) 1.393/lite = £1,630 (or £136 per month)

Extra £50 then OP. What does that number say to you?

[jatinder]

Selling the focus would make sense, I know you said you know your way around a 306 but still.

Something a little more modern and reliable would be a better bet. you can pick up some great cars for under a grand.

[Tonberry]

My 306 is still available.

Put it in the classifieds last night.

[bakerstreet]

C.A.R. said:

The £1700 is...

£1000 credit card with my bank account. Had got this down to £800 last year but only been able to make minimum payments since and it's gone up again after a couple of purchases (bad ideas)
£350 overdraft
£300 on a store card (stupid, stupid thing)

Obviously the best answer is to be more disciplined with my income. Trouble is, I need every spare quid I can get my hands on right now, it would make life feel a lot easier without these debts hanging over me.

As it stands, here today, right now, I have no money on me whatsoever and that which is in my account is all spoken for. If something went wrong now I'd be phoning around my family asking for financial help. That's what scares me.

As per most other people's advice. Sell Focus, buy pug 306 and pay off debt. Simples. I'm guessing the next two pages will say a similar thing. Let us know when you have actually done it!

Have you thought about cycling to work for the summer months. This can save you a lot of money.

[C.A.R.]

bakerstreet said:

As per most other people's advice. Sell Focus, buy pug 306 and pay off debt. Simples. I'm guessing the next two pages will say a similar thing. Let us know when you have actually done it!

Have you thought about cycling to work for the summer months. This can save you a lot of money.

It's in motion buddy! Against my fathers advice the Focus is in our classified ads and on Gumtree / owners clubs. I'm yet to 'pay' to advertise it though.

I think it would also kill me to cycle. I've not ridden a bike for about 6 years and my route (all 18 miles of it) is not all well suited to cycling, so it'd be even further than that!

[Welshbeef]

bakerstreet said:

As per most other people's advice. Sell Focus, buy pug 306 and pay off debt. Simples. I'm guessing the next two pages will say a similar thing. Let us know when you have actually done it!

Have you thought about cycling to work for the summer months. This can save you a lot of money.

He has not answered when questioned how far the work place is from his home.
Also has not answered how much rent is within walking distance from the work place

It may well be that a car is simply a nice to have currently in which case sell it clear the debt and walk to work. When you really do NEED a car then look at it again.

Do not underestimate how expensive babies are I put into a budget what I thought a fair and reasonable cost was but NO I was way off.

Your wife may want to breast feed but for whatever reason (doesn't produce enough nipple cracking etc) you will then have to buy formula which will be £10 per week as you'll have to buy special baby milk if she can breast feed then she will need nipple cream that's £9.25 per tube!!! And no it doesn't last long
You then need maternity bras yep you guessed it they are a good £20 a pop
If she Brest feeds she will need breast feeding tops to enable her to easily "get them out " so let's say at a bare min 6"5 tops £15 min each and yes they will be covered in puke etc so need a supply plus of course if she only has two how great is that two tops only until she stops feeding.
Breast pads well £6 a box they absorb leaking nipples else your lady wil have two wet patches on her top easily Bryn through two boxes a month. Breast pumps yep electric pump £70 hand pump £25. Hand pump can take 500+ grips per boob that's hand cramp territory - your lady may gush out then again she may not (and boob size makes no difference to ability to produce enough mile or the extraction of it. )

Baby bottle teats were burning through I'd say £12 a month on these reason being they start small hole and gradually get bigger and no you cannot make more holes yourself

Seteralizing kit it's a must have and get one for the microwave so much easier £35

Feeding bottles £15 a time Mann make I think.

Baby clothes... Yes they grow quickly very quickly. Buy used from NCT if you can or used online but invariably you will have to buy some kit and it's expensive.

Nursing pillow makes breast feeding easier £30 plus for a cover which you have to have else it gets ruined with puke and milk

Baby bath changing mats nappies muslins drying towels snow jackets pushchair car seat jogger stroller baby oils napkins to stop them soaking their tops changing bag post pregnancy clothing as her shape will be different and can take months to years to get anywhere like it was if ever.
Car mirror to see them
Toys they need to play touch feel crunchy sparkly sounds etc play mat with things hanging down
Moses basket
Cot
Mattress for Moses basket and cot
Audio system so when they are asleep and you downstairs you can hear them
Birth Certificates
Passport fees
Baby medication non prescription as they get sick
Some kind of baby biorn a sling to hold them ideal for walking when a pram isn't needed or for a change

Baby groupes you'd be mad not to take it ad mother to them two three times a week. They sing and interact with other babies vital probably £5 a week but again adds up.

Need I continue...

But forget all that as when you come home from work they see you and the baby goes you a big smile (12weeka onwards) nothing feels better than that well when they start giggling or trying to laugh at you making a tit of yourself playing with them.

.

[C.A.R.]

Fortunately we have most of the items on your list already, so we are as prepared as we possibly can be.

When baby actually arrives I think Mrs C.A.R. will be entitled to more support from the government, I just have to get my budgeting right by that time too!

[shiftydave]

Is there anything you can do to increase your pay? Managers can sometimes by sympathetic and taking home an extra £2/day would be something in the region of £500/year. Is the overdraft interest free? A meeting with the bank requesting 12 months at 0% isn't an unreasonable request, and if that frees up a bit of useable cash for a few months then that could potentially be used to clear the store card which I assume is at a ridiculous rate. It sounds like whatever option you go for there is a compromise unfortunately, and I've been in a similar situation for a while, but getting a bit of luck/being intelligent with the debt is a starting point.

Personally if I had a kid on the way I'd much rather have a safe, modern car than something older. Good luck with it all though, at least you're taking responsibility for it all and trying to improve the situation.

[Efbe]

C.A.R. said:

Fortunately we have most of the items on your list already, so we are as prepared as we possibly can be.

When baby actually arrives I think Mrs C.A.R. will be entitled to more support from the government, I just have to get my budgeting right by that time too!

have you looked into benefits yet?

they won't tell you about child tax benefit, grants etc, you have to find them out for yourself.

[djfaulkner]

OP - I've been in a simlair situation.

We made changes, some small, some large but they are making a difference.

Check out Utility Warehouse, they do seem to be cheaper than the rest.
If not, Do you pay a fix monthly amount for your gas/electric, that would make it easier to budget.

Shop at Aldi? Food and other bits are cheaper, 12 or 18 pack of bog roll - £1.99.
Take your own lunch to work - Its a bit of a pain making it each day, but it saves me £4-5 a day.

If you and the OH have smartphones and are able to connect to wifi, download WhatsApp or Viber, free text and calls.
To other users.

Easier said than done - But try to chill out. Babies can be stressful at the best of times.

I read somewhere, if you have CC debt setup a direct debt for the minimun(sp?) amount.
That way the cards gets a payment each month, so if you find yourself up, make another one, if not then dont.

As long as you dont miss any payments

[C.A.R.]

Stage 1 is complete - the car has sold. First car I've sold which I wasn't sad to see the back of!

Now on the hunt for a nice little runaround at half the cost of the Ford. I'm viewing one on Friday night and potentially viewing one on Saturday morning, depending on how the phonecall goes later on today!

Also, further to my other thread "3doors vs 5-4doors" both cars I'm viewing have 3-doors Decided that if I'm going to be the one tasked with getting the little person in and out of the car the ultimate decision should be a car which makes me happy!

Now just to find one which isn't a complete dog...

[Scootersp]

my advice for the lowest costs for your needs is a 1998/9 1.3 Corolla, not so old to be a complete tin can or too flakey. Simple frugal petrol, lower tax, reliable and unlikely to have had undesirable owners.

Ticks no pistonhead boxes! but at sub £1000 with some tax and 12 months MOT I think it's worth considering.

[Efbe]

C.A.R. said:

Stage 1 is complete - the car has sold. First car I've sold which I wasn't sad to see the back of!

Now on the hunt for a nice little runaround at half the cost of the Ford. I'm viewing one on Friday night and potentially viewing one on Saturday morning, depending on how the phonecall goes later on today!

Also, further to my other thread "3doors vs 5-4doors" both cars I'm viewing have 3-doors Decided that if I'm going to be the one tasked with getting the little person in and out of the car the ultimate decision should be a car which makes me happy!

Now just to find one which isn't a complete dog...

what you looking at. seriously don't just buy whatever you can afford, think about it. you will need it to be reliable, able to take a baby and shopping, frugal and exciting enough to not get bored of

[northandy]

Dont discount nissan almeras, drive well, reliable, chain driven engine so no cambelt to worry about!

[HeatonNorris]

northandy said:

Dont discount nissan almeras, drive well, reliable, chain driven engine so no cambelt to worry about!

I'd probably agree with this - although I'd be more likely to recommend a Primera.

[C.A.R.]

Thought I would follow this up (as hardly any threads on PH have a conclusion!)

I sold the Focus last week and then chatted up someone who had a nice 306 HDi. He wasn't interested in selling it but I am still a member of the 306 forum, so I emailed him to see if he was interested in selling.

Picked this up on Monday night -



Really, really comprehensive service history folder and a huge wad of receipts. It's a Y-plate so it has the cheaper tax (usually £220 per year prior to this reg date). It has 11 months MOT and Tax. Paid a little more for it, but it's incredibly clean and tidy.

I'm now debt-free, in a car which I love, which drives beautifully (if a little bit of a tractor) and a happy Mrs C.A.R. has subsequently ordered the buggy she wanted from Mothercare for our baby girl!

Thanks for everybody's encouragement to doing this!

Please don't hold back on comments regarding the cars practicality, reliability or appearance!

[nosittap]

I been following this thread from the original post, really great to see a good outcome!

Looks like you've made the right choice, debt free and a great handling car which looks like it's been looked after. Sounds like you have no regrets.

Smart choice IMO, sounds like you'll be a great dad with making choices like that!

[C.A.R.]

Thankyou, made me smile haha.

I'm looking forward to becoming a dad, but really scared at the same time.

Now I just have to show the Mrs how easy it is to fit a child seat in the back...!