3.9 percent loan

[gaz1234]

Thinking of getting a small loan with m and a for 7500 over 30 months paying back 7860.
Is this a good rate or can I get better?
Thanks

Credit rating should be very good

[86DA]

Cracking rate, be surprised if you can do better!

[gaz1234]

Sorry 3.6 apr

[Butter Face]

That's very cheap. Is it a mainstream lender?

[gaz1234]

http://bank.marksandspencer.com/banking/personal-l...

[Butter Face]

Very good deal. As long as you qualify for the rate it's a cracker!

[timberman]

That's a very good rate

I've used M&S before and found them very easy to deal with + you can make overpayments at any time without incurring any penalties

go for it

[timberman]

That's a very good rate

I've used M&S before and found them very easy to deal with + you can make overpayments at any time without incurring any penalties

go for it

[gaz1234]

Cheers. I think I will. But not sure what car to buy!

[The Moose]

That's nuts!!

Don't buy a car because you can borrow the money.

Decide what you want to buy and then set about funding it.

[z4RRSchris99]

gaz1234 said:

Cheers. I think I will. But not sure what car to buy!

you cray

[Simpo Two]

It's never made sense to me to pay interest to buy a car. They depreciate rapdily enough without adding to the loss by paying interest! Of course if your current car has just expired terminally phut and you need wheels and have no funds then it's a different matter.

[traxx]

When you do the calculate example it says these are the payments for the next 12 months

Is it actually a 60 month fixed rate at 3.9% or does the rate change after the first year?

[Butter Face]

traxx said:

When you do the calculate example it says these are the payments for the next 12 months

Is it actually a 60 month fixed rate at 3.9% or does the rate change after the first year?

Change the term on the slider to your desired term.

[gregf40]

traxx said:

When you do the calculate example it says these are the payments for the next 12 months

Is it actually a 60 month fixed rate at 3.9% or does the rate change after the first year?

It's fixed. A ridiculously good deal.

[gaz1234]

The Moose said:

That's nuts!!

Don't buy a car because you can borrow the money.

Decide what you want to buy and then set about funding it.

Not really.
Looking at a4 avants 7-12k
5k 7 series
Passat
Merv e class 2012
Bmw e61 5-10k

All petrol.

All differ in miles etc...

[Butter Face]

As an update, I apllied for this and got my paperwork through today at 3.6% APR!

Using it to pay off a 10.5% Tesco loan. Bit of a no-brainer!!

[Du1point8]

hmmm.... isn't there a nice account that pays 4.4-5% interest?

get this loan maxed out, dump it in the account and leave it for a small amount of free money.

I used to do this years ago when a student, not so much now but worth noting.

[aka_kerrly]

Du1point8 said:

hmmm.... isn't there a nice account that pays 4.4-5% interest?

get this loan maxed out, dump it in the account and leave it for a small amount of free money.

I used to do this years ago when a student, not so much now but worth noting.

Too right, as a student I was given a £3k interest free overdraft, that was dumped into a S&S ISA that by the end of my final year had enough to clear the overdraft, pay car insurance and set me up for summer.

Although that was at a time when a typical cash ISA paid 5-6% and with a bit of know how a S&S ISA could generate >15% in relatively safe funds.

OP: the rate is considerably better than your existing loan so if you can pay that off, buy the car and manage the monthly payments all is well. If however you end up buying a car that you struggle to run and don't have a cash reserve available for other catastrophes then you could be lining yourself up for a big fall.

[richarda0109]

3.9% Thats great news

I applied for a 10K loan just before XMAS from Natwest which I have been with for 25 years
They advertised 4.9% but when application went through it was 7.4%. I was livid.

I then applied to Sainsburys Bank who dont know me from Adam. Application went through at 4.9%.

M&S beat both of these and without penalties on early repayment.

Rgds
Richard