A bit of advice?
Discussion
My partner and I are both 21 and we rent somewhere together. The situation is that her car is costing us a fortune to run in fuel, insurance and repair costs. It's MOT is due in March and so we are wanting to sell it with a full MOT and then get a different car (Honda CRV) the current one is worth about £1500 on a very very good day and the replacement car would be at least £2500. My partner is on a very low income as she doing a degree part time and so for her, her half of the £1000-£2000 extra needed for the new car would be a very big struggle.
I am the situation where I have a good amount of savings and save about £350 a month at least.
Is it an okay thing for me to do to essentially loan/give her the extra money she needs? My parents think I shouldn't just spend out a load of money for her, but I think it's a better investment really as we would hopefully be saving an awful lot of money.
What do you all think of this?
Cheers
I am the situation where I have a good amount of savings and save about £350 a month at least.
Is it an okay thing for me to do to essentially loan/give her the extra money she needs? My parents think I shouldn't just spend out a load of money for her, but I think it's a better investment really as we would hopefully be saving an awful lot of money.
What do you all think of this?
Cheers
Sebastian Tombs said:
Buy a car in your own name and put her on the insurance. Let her sell her car and keep 100% of the proceeds.
Then you have not loaned/given her the car or the cash, buy you have a new car..
This, but make sure the insurance policy has her as main driver (you as reg keeper) if she is going to run it as her own car. Then you have not loaned/given her the car or the cash, buy you have a new car..
Edited by oldbanger on Wednesday 30th January 20:15
gman88667733 said:
But I already have a perfectly good car. Would it make sense for me to have 2? It's mean I'd have to have an insurance policy with 0 NCB.
Her NCB should transfer to the new insurance policy - but you will be the registered keeper. As registered keeper, this is not necessarily proof of ownership, so have the receipt for the car in your name.You will need to declare yourself as the registered keeper and her as the main driver.
I think that is right - else someone will correct me!!
Mike
Realistically I'd only need to give her 3 months savings maximum. (Assuming I didn't save much in those months). So it really isn't the end of the world. We would be much happier if we did get the new car, she would have more money at the end of the month and we would use it more.
It makes a lot of sense to me, but I just needed some reassurance I think.
It makes a lot of sense to me, but I just needed some reassurance I think.
If you are loaning her the money and genuinely want it paid back you need to draw up some form of contract. Need to both sign and date. Need to include amount loaned and method/date(s) of repayment.
It’s not bullet proof but I’ve heard of things like this holding weight in small claims court. You could have a repayment period of 2 years and if you are still together write another document that says she no longer has to pay it back.
In the eyes of the law either it’s a gift or a loan. It can’t be a gift initially but then when/if you split you retrospectively decide it was a loan.
It’s not bullet proof but I’ve heard of things like this holding weight in small claims court. You could have a repayment period of 2 years and if you are still together write another document that says she no longer has to pay it back.
In the eyes of the law either it’s a gift or a loan. It can’t be a gift initially but then when/if you split you retrospectively decide it was a loan.
At your age OP, don't dare gift anything huge or get into any finance or pay-ups for someone else. The risk of it ending in tears is too risky.
As others have said, if you are paying for it, it's your car - but she can insure and drive it.
Then if love's young dream becomes love's young nightmare, you get your car back.
As others have said, if you are paying for it, it's your car - but she can insure and drive it.
Then if love's young dream becomes love's young nightmare, you get your car back.
Blimey!! some cynical stuff on here.
OP - you're together, you live together - live your life together. Give her the money and get on with it.
BUT - more importantly - have you actually worked out that a CR-V is going to cost you less? I thought they were quite expensive to run, particularly on fuel?
What is the current car?
OP - you're together, you live together - live your life together. Give her the money and get on with it.
BUT - more importantly - have you actually worked out that a CR-V is going to cost you less? I thought they were quite expensive to run, particularly on fuel?
What is the current car?
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