Dazed & Confused...but in a rush! Please help
Discussion
You seem to have your heart set on tieing yourself into some overpriced finance deal for several years on a run of the mill car. You’re obviously free to do that just as many thousands of others.
Doesn’t sound like you need a £17k car though, you’ve already had the sensible advice earlier in the thread
I think you mentioned you’re a teacher, so hopefully basic maths or googling a loan calculator isn’t beyond you
Doesn’t sound like you need a £17k car though, you’ve already had the sensible advice earlier in the thread
I think you mentioned you’re a teacher, so hopefully basic maths or googling a loan calculator isn’t beyond you
Assume a cost of £16,600 for a £17k car = £15k finance.
A quick look on moneysupermarket: https://www.moneysupermarket.com/loans/search/
Gives me this:
£267pm for 5 years (can reduce the term increasing payments if you wish). There is no balloon at the end and you will own it. At 2.8% APR it is a lot cheaper than the manufacturer finance (8-15%) but is reliant on your credit score to get the best rate...
A quick look on moneysupermarket: https://www.moneysupermarket.com/loans/search/
Gives me this:
£267pm for 5 years (can reduce the term increasing payments if you wish). There is no balloon at the end and you will own it. At 2.8% APR it is a lot cheaper than the manufacturer finance (8-15%) but is reliant on your credit score to get the best rate...
Honestly if it were my money and I needed a big diesel in a rush, I’d take the loan and get this:
https://usedcars.skoda.co.uk/en/used-cars/skoda/su...
If I had time I’d probably look for a similar Mondeo, because I like the look/idea of them better (no real reason).
https://usedcars.skoda.co.uk/en/used-cars/skoda/su...
If I had time I’d probably look for a similar Mondeo, because I like the look/idea of them better (no real reason).
Why is the OP not taking in any of the repeated advice and reality here?
It’s really simple
- buy the new Superb on PCP
- get a 5yr personal loan for £15k and go and buy an Approved Used Car
Anything else is more expensive, more restrictive and nonsensical
Yet you seem to ignoring this and searching on autotrader monthly payment feature which is likely twice the APR of a personal loan
It’s really simple
- buy the new Superb on PCP
- get a 5yr personal loan for £15k and go and buy an Approved Used Car
Anything else is more expensive, more restrictive and nonsensical
Yet you seem to ignoring this and searching on autotrader monthly payment feature which is likely twice the APR of a personal loan
Ahbefive said:
I don't see it like that as the equity is in the car you buy if using a loan, therefore you can sell the car to buy something else anytime you want whereas with PCP etc you nded to VT after a certain amount has been paid if you want to get out of it. A personal loan is more flexible imo, you can do what you want with the money/asset whenever you want.
Ok, that's kind of what I meant, so I think I may have misunderstood your earlier post.Edited by Ahbefive on Saturday 15th December 09:18
DiscoStu82 said:
Ok - but using the Volvo (attached) as an example, I wouldn’t be able to get a personal loan for that much would I? Or if I did I’d be paying a fortune p/m in repayments...
That’s a humble question, not a statement.
1) Check to see how much you can get a personal loan for because as many have said (myself included) you will pay a That’s a humble question, not a statement.
lower APR than you will with car finance (3-5% vs 8-10%) so the question is why would YOU consider PCP?
2) Get realistic with the size of car you need vs what you're looking at, (the XC60 is not bigger than your A6 so you're looking
at the wrong type of car) you've stated you need bigger than an A6 Avant so you either need a large MPV (S Max/Galaxy)
or large SUV (Discovery/Grand Cherokee) as they're realistically the only thing bigger than the A6 you had.
3) The only reason a PCP on a used car will have a cheaper monthly repayment than a Personal Loan is if there's a large
balloon payment at the end of the term which you'll have to find.
4) If you expect to spend between 10-15k you will get a good car that fits all of your requirements, expect to spend between
£500-1000 on maintenance no matter what you buy & how you finance it maybe another £500 a year if you go the SUV
route.
Now where you want good spec & space you have three options:
MPV Titanium X Sport S Max Petrol/Diesel
https://www.autotrader.co.uk/classified/advert/201...
https://www.autotrader.co.uk/classified/advert/201...
SUV Jeep Grand Cherokee
https://www.autotrader.co.uk/classified/advert/201...
https://www.autotrader.co.uk/classified/advert/201...
https://www.autotrader.co.uk/classified/advert/201...
Estate with you needing A6 space as a minimum it leaves the Superb or an E Class:
E250
https://www.autotrader.co.uk/classified/advert/201...
220
https://www.autotrader.co.uk/classified/advert/201...
https://www.autotrader.co.uk/classified/advert/201...
https://www.autotrader.co.uk/classified/advert/201...
Superb
https://www.autotrader.co.uk/classified/advert/201...
https://www.autotrader.co.uk/classified/advert/201...
https://www.autotrader.co.uk/classified/advert/201...
Edited by ZX10R NIN on Sunday 16th December 13:39
OP - you seem to be making this far more complex than it ought to be.
As has been said, simply get a £15k personal loan. 3.5%APR.
Over 36 months, this is £435 per month.
You can buy something like a low mileage, Skoda Superb estate from a main dealer as has been suggested. Will come with warranty.
In 3 years, you have paid off the loan and you own the car outright. No final balloon payment or any of that rubbish.
Job done.
As has been said, simply get a £15k personal loan. 3.5%APR.
Over 36 months, this is £435 per month.
You can buy something like a low mileage, Skoda Superb estate from a main dealer as has been suggested. Will come with warranty.
In 3 years, you have paid off the loan and you own the car outright. No final balloon payment or any of that rubbish.
Job done.
DiscoStu82 said:
Thanks for this mate - all the responses have been appreciated but yours seems to make the most sense to me. I’m not stupid (I promise!), I’m just inexperienced and lack car-buying “shrewdness”!
The 3 options you outlined make sense to me - I’m reluctant (but not ruling out...) the personal loan. This may not make sense to some but I’ve nearly paid off a loan to my bank for something else and the idea of starting another doesn’t sit right with me (but I’m guessing people are thinking “it’s cheaper” or “what’s the problem - your taking out a loan with a finance/hire deal?”) - like I said I’m open to persuasion/convincing.
Regarding the PCP and the PCH deals - which do you think is more sensible? I’ve used Carwow to browse and it’s easy to use. Which lease companies would you recommend? What would the important factors I’d have to remember if I went down the PCP/PCH line?
All of your patience with me isn’t going unnoticed and is greatly appreciated...
But surely PCP/PCH is essentially the same as a personal loan but you're just financing the depreciation of an asset, not just the entire asset.The 3 options you outlined make sense to me - I’m reluctant (but not ruling out...) the personal loan. This may not make sense to some but I’ve nearly paid off a loan to my bank for something else and the idea of starting another doesn’t sit right with me (but I’m guessing people are thinking “it’s cheaper” or “what’s the problem - your taking out a loan with a finance/hire deal?”) - like I said I’m open to persuasion/convincing.
Regarding the PCP and the PCH deals - which do you think is more sensible? I’ve used Carwow to browse and it’s easy to use. Which lease companies would you recommend? What would the important factors I’d have to remember if I went down the PCP/PCH line?
All of your patience with me isn’t going unnoticed and is greatly appreciated...
DiscoStu82 said:
WonkeyDonkey - So financing the entire asset is better than just the depreciation? Just so I’m clear...
Not quite, if buying something a few years old then a huge chunk of the depreciation has already been paid for by the previous owner (depreciation is often heaviest in the first few years) so more of your money is going into the actual car so to speak. Gassing Station | Car Buying | Top of Page | What's New | My Stuff