BMW Finance Decline

Author
Discussion

RM88

82 posts

110 months

Thursday 22nd March 2018
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tannhauser said:
Well I for one am glad car companies and credit providers are being tough on doling out money for cars to be bought on the never never.

Far too many tossers driving around in cars they couldn't possibly afford. Perhaps tighter control will return some exclusivity to the premium brands?
I don't really care about what other people drive and if they can't afford the payments and it gets repossessed then more fool them. It'll come back to bite them in the future when they can't get a sim only £10 contract as they are now blacklisted for any form of finance wink

But I for one am happy that I can get a nice car on finance as if I'm honest I couldn't afford to buy a M3 etc outright. But I enjoy the search, negotiating a better apr rate etc and ultimately getting a good deal. But each to their own. Make expensive cars just available to cash buyers or only offer finance to the uber rich... I bet car manufactures would love that rolleyes

Jimmy Recard

17,540 posts

179 months

Thursday 22nd March 2018
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xjay1337 said:
How can you "forget" to pay when everything is on D/D?

I'd think you'd have to just wait or get a loan on the car if you can do that instead.
I’ve got four credit cards, none of them have direct debits set up. That said, this week I’ve planned to put them on minimum payment direct debits just in case I’m ill or something like that and forget to make the payment

coljoh148

1,689 posts

177 months

Thursday 22nd March 2018
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Derek 911 said:
I come on here looking for advice and I get called a tosser by tannhauser haha just kidding.

And ok so if I punt Porsche I reckon there’s about 3k in it any advice on buying a old runner never really done it I like Bmw obviously any suggestions or what to look for and do bear in mind I dont wanna spend much on it cos I’ll prob just trade it on the M3 comp pack anyway when time comes.
For the sake of a couple months just rent something.

Derek 911

Original Poster:

161 posts

77 months

Thursday 22nd March 2018
quotequote all
tannhauser said:
Derek 911 said:
I come on here looking for advice and I get called a tosser by tannhauser haha just kidding.
Not directed at you :-) and I have friends who have done the same - but it's ridiculous how things have got with finance - it's driven up car prices, devalued brands and exclusivity and enabled the unwashed to access cars they should never have been able to...
I kinda agree anyway but I don’t think its anyone fault other than the finance companies and car companies PCP since it gained popularity is what drove up the price of cars and the buy something you can’t afford trend. I personally would rather not do it but let’s take a little example from my car buying past I always stuck around 20k, always Bmw always HP I had nice stuff like 2-3 year old alpina d3 e92 & e46 330 clubsport decent cars decent money decent deal and bout 450-550 a month on the straight HP with 10% deposits.

Pcp rears it’s head and it’s f30 330d with all M performance kit 48k list price for 580 a month what you gonna do?

Same car today my old car went on Bmw approved used for 20k so to whoever bought it same monthly payment as me probably on the HP so it’s the finance products that are keeping prices high on retail of the cars but letting everyone get into them and charging double the cash on the price of the damn thing with the finance companies cos they all rub their hands together.

Derek 911

Original Poster:

161 posts

77 months

Thursday 22nd March 2018
quotequote all
coljoh148 said:
For the sake of a couple months just rent something.
What would I rent what websites are best for this?
I’ve hired cars for like a week and stuff in the past but not months any advice?

MDMA .

8,893 posts

101 months

Thursday 22nd March 2018
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Derek 911 said:
coljoh148 said:
For the sake of a couple months just rent something.
What would I rent what websites are best for this?
I’ve hired cars for like a week and stuff in the past but not months any advice?
Why don't you just use your 997 for a bit?

Derek 911

Original Poster:

161 posts

77 months

Thursday 22nd March 2018
quotequote all
One of the boys on the thread mentioned the 39k to another finance house was potentially something that might have put the Bmw lending off even thought it was expressly explained to them from the retailing garage

Pdelamare

659 posts

128 months

Thursday 22nd March 2018
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It'll be the £39k Porsche loan that's messing you up, been there in the same position also.

RM88

82 posts

110 months

Thursday 22nd March 2018
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Derek 911 said:
One of the boys on the thread mentioned the 39k to another finance house was potentially something that might have put the Bmw lending off even thought it was expressly explained to them from the retailing garage
Explained what? That it was going to be settled?

CzechItOut

2,154 posts

191 months

Thursday 22nd March 2018
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Derek 911 said:
One of the boys on the thread mentioned the 39k to another finance house was potentially something that might have put the Bmw lending off even thought it was expressly explained to them from the retailing garage
How was it explained to them?

AndStilliRise

2,295 posts

116 months

Thursday 22nd March 2018
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What's the difference between HP & PCP? I have only bought (cheap) cars for cash. I am in the market for another car so is it better I spend £20k cash/PCP/HP?

RM88

82 posts

110 months

Thursday 22nd March 2018
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AndStilliRise said:
What's the difference between HP & PCP? I have only bought (cheap) cars for cash. I am in the market for another car so is it better I spend £20k cash/PCP/HP?
PCP is when part of the amount owed is offset till the end of the agreement in the form of a balloon payment resulting in lower monthly payments. HP is a straight loan amount divided by the requested number of months.

Derek 911

Original Poster:

161 posts

77 months

Thursday 22nd March 2018
quotequote all
First garage and application it was explained to them in emails by the offer of a private Porsche specialist confirming he was chomping at the bit to buy it sent them the emails.

Second garage they were giving me a decent trade in price so it was gonna be cleared before I drove off the forecourt.

theboss

6,913 posts

219 months

Thursday 22nd March 2018
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xjay1337 said:
How can you "forget" to pay when everything is on D/D?

I'd think you'd have to just wait or get a loan on the car if you can do that instead.
I once bounced a direct debit payment to VWFS because of an administrative issue. Essentially I was using a joint account post-separation, was in the process of setting up a sole account and moving all the direct debits but the ex thought she would annoy me by having the account frozen just before I went on holiday. This caused the D/D to bounce. I realised immediately, phoned VWFS, paid by debit card and was assured it wouldn't affect my credit file - but it has remained on there ever since and drags my score down considerably.

Just pointing out that these things can happen.

RM88

82 posts

110 months

Thursday 22nd March 2018
quotequote all
Derek 911 said:
First garage and application it was explained to them in emails by the offer of a private Porsche specialist confirming he was chomping at the bit to buy it sent them the emails.

Second garage they were giving me a decent trade in price so it was gonna be cleared before I drove off the forecourt.
Ah right. As I said earlier although the dealership was aware that someone wanted to buy your Porsche but that's not the people lending you money. The finance company with respect probably wouldn't care that some chap was interested in buying it and would still see you as already having 39k of debt. It doesn't really work as them getting an email of intent of phone call, this is all done via computer yes or no and there's not much room for getting around that.

Would that guy just not buy your Porsche now, settle your finance and you buy a cheap car for a couple of months?

Derek 911

Original Poster:

161 posts

77 months

Thursday 22nd March 2018
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100% could sell the Porsche tomorrow and get a decent price

CzechItOut

2,154 posts

191 months

Thursday 22nd March 2018
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Derek 911 said:
100% could sell the Porsche tomorrow and get a decent price
That may be true, but it almost certainly won't be taken into account during an automated credit check.

MDMetal

2,775 posts

148 months

Thursday 22nd March 2018
quotequote all
Jimmy Recard said:
xjay1337 said:
How can you "forget" to pay when everything is on D/D?

I'd think you'd have to just wait or get a loan on the car if you can do that instead.
I’ve got four credit cards, none of them have direct debits set up. That said, this week I’ve planned to put them on minimum payment direct debits just in case I’m ill or something like that and forget to make the payment
Well indeed, how have you reached whatever age you are without sorting this? Every missed payment is a negative all for filling out some details online as well!

Jimmy Recard

17,540 posts

179 months

Thursday 22nd March 2018
quotequote all
MDMetal said:
Well indeed, how have you reached whatever age you are without sorting this? Every missed payment is a negative all for filling out some details online as well!
I know when all my payments are due and just make them. I’ve never missed one! (Yet...)

Limpet

6,309 posts

161 months

Thursday 22nd March 2018
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Toaster Pilot said:
How many finance applications have you made in the past few months? That hurts you too....
I signed up to the MSE Credit Club which shows your Experian credit score, and comments on various aspects of your credit file. I took out the finance on the BMW in March last year, and then changed electricity provider in November (automatic credit search), and applied for (and got) a new credit card in January. This immediately flagged an amber "be careful" alert on the Credit Applications section. In March, this went back to green, presumably coinciding with the 1st anniversary of the BMW agreement. More than two new applications in a year can ring warning bells for lenders.

The important thing to remember with credit is that beyond the universally disliked stuff such as defaults and CCJs, every lender scores differently. The concept of a "credit score" that goes beyond any individual lender is complete nonsense.