Finance on second hand cars?

[CrouchingWayne]

Hello,

Just curious really - is there anywhere online that provides rough estimates of finance packages that can be used on second hand cars?

It's never something I'd thought of doing personally but was doing some 'man maths' and my craving for a Z4M soon turned into a £15k deposit on a £30k Aston V8V

I'm just curious as I don't have the cash for a Z4M in place yet anyway and I'm sure I'll have changed my mind a thousand times over on what car I want by the time I do have it so please don't take this post too seriously!

Cheers!

[Effortless]

Hmmm...

Depends on how much you want to spend.

If the car is only £2-5k, cheapest by far is a credit card... with 0% on purchases. I've just got a NatWest MC card to fund some electronics for Christmas, and they do 0% on purchases for 16 mths. Once that period is over I will just do a balance transfer to another credit card with a 0% rate for balance transfers.

Alternatively, a personal loan from one of the main players, straight HP as it were. I bought my current £7k snotter on a Sainsbury's Bank personal loan. It's not difficult finding cheap money on t'interweb on the main comparison websites.

If things go tits up I can always sell the car to (mostly) pay off the loan, if things don't go tits up, I will own the car after 3 years, and either sell it to fund the deposit on a new car, or strip it and use it as a track car;-)

Cheer,
Effortless.

Edited by Effortless on Thursday 25th October 18:18

Edited by Effortless on Thursday 25th October 18:39

[hyperblue]

Try a bank loan.

[Lotusevoraboy]

£7000 over 5 years is £150 a month, double that for £15000. Look at loan calculators on any bank website.

[Contigo]

Here's a good calculator from M&S finance. You can see the personal loan rate and the car buying loan rate too.

http://bank.marksandspencer.com/banking/car-buying...


enter the amount (up to 25k) then move the sliding scale to change the term of the loan.

e.g 25K over 48 months = £498.70 per month With a defered amount of £7,500.00

[vz-r_dave]

If you do buy with loan think long and hard about the re-sale value. How much more will a 30K Aston depreciate during the loan period etc? My next purchase will be financed but it will be something I know will depreciate little or at best appreciate during my ownership. Obviously its going to be over 15 years old and verging on classic status.

[treetops]

Your total amount payable and the value of the car end up and opposite ends! Frightening stuff.

Use you 15k and spend 10k on a car and save the 5k.

[GoneAnon]

Effortless said:

Hmmm...

Depends on how much you want to spend.

If the car is only £2-5k, cheapest by far is a credit card... with 0% on purchases. I've just got a NatWest MC card to fund some electronics for Christmas, and they do 0% on purchases for 16 mths. Once that period is over I will just do a balance transfer to another credit card with a 0% rate for balance transfers.

If you can pay on a 0% credit card and clear it by the end of the interest-free period, I'd endorse this, but many dealers will refuse a cc payment for a car or add a fee to cover their charges.
And there aren't many ccs with 0% on balance transfers that don't also have a fee - typically 3% for 9 months (which is the same as 4% flat rate interest!)

[CarlT]

treetops said:

Your total amount payable and the value of the car end up and opposite ends! Frightening stuff.

Use you 15k and spend 10k on a car and save the 5k.

You're a bundle of joy!

[CrouchingWayne]

Cheers for the responses guys.

As said this is more of a curiosity thread than anything serious as in all likelihood I would go for a smaller cash purchase as a toy (work 1 mile from home and have an 09 Fiesta in the household with the Mrs having a company car) than stretch on finance.

My theory was an Aston may not depreciate as heavily as a Z4MC so over two or three years so may work out a 'smart' purchase but that's speculation in the world of man maths!