Financing your car purchase

[anonymous-user]

[redacted]

[T84]

Oh fantastic, we've not had this thread for at least 3 days.

[T84]

And personally, I bought 2 bikes on finance, one hack with cash, one car with cash and my next one will be finance.

Why? Because I can afford the repayments and I don't want to drive miserable stters until I'm 40 you won't get an award for not having finance

[Luke.]

T84 said:

And personally, I bought 2 bikes on finance, one hack with cash, one car with cash and my next one will be finance.

Why? Because I can afford the repayments and I don't want to drive miserable stters until I'm 40 you won't get an award for not having finance

But you drive a Focus.

[Chipper]

Luke. said:

T84 said:

And personally, I bought 2 bikes on finance, one hack with cash, one car with cash and my next one will be finance.

Why? Because I can afford the repayments and I don't want to drive miserable stters until I'm 40 you won't get an award for not having finance

But you drive a Focus.

[MG-FIDO]

Hmmm, if only there'd been a still-active thread you could've posted in

Wait a minute!...

anonymous said:

[redacted]

ETA or perhaps-

http://www.pistonheads.com/gassing/topic.asp?h=0&a... all new cars bought on finance?&mid=36204

Edited by MG-FIDO on Saturday 6th November 17:28

[homerjay]

Life is for living and money is for spending as far as I'm concerned.

So as long as you're sensible about it why not use finance to drive nice cars if that's what your into?

I really really don't understand the problem.

[markcoznottz]

lets be honest,finance is ok as long as you can afford to pay it. Simple as. Thats why PAYE salary is king.

[thinfourth2]

Most of my recent car purchases have been limited by how much i can get out of a cash machine in one day

[r1ch]

Doesn't really matter imo, if you have the cash out right good for you. But if people want to spread the payments and can afford it, why not.

[Bungleaio]

If the cost of the finance is worth it to you to then why not?

For example you and SWIMBO are planning on a family in a few years time but before then you fancy something with two seats whilst you can, you've got a good income but no capital, is buying the car on finance really that bad? It could be a long long time before a 2 seater is an option again, would the few thousand saved on not taking out the finance outway missing out on having some fun when you're young?

Edited by Bungleaio on Saturday 6th November 18:54

[anonymous-user]

Whichever's cheaper. Sometimes leasing's the cheapest, sometimes cash is the cheapest. One car I had was cheapest if I took out finance on it. I got the car cheaper by taking out the dealer's own finance and paying it off. Things change for different cars, different folk and different times. I feel the people who just immediately say they'd never use finance aren't quite as savy as they think they are sometimes.

[Gizmo!]

Say you've got £200 spare per month. Do you put that in a bank every month and after four years, spend £10000 on a car?

Or do you get a loan, pay it off at £200/month over four years and have the car now?

To me it's a no-brainer.

[80quattro]

I guess people have different priorites with their dosh. I paid a lot less for my BMW 325i than I did for my Tag Aquaracer, and just bought an XJ6 3.2 Sport for a lot less than I paid for a suit for a wedding I'm going to....
I've never financed a car though, as I'm more than happy driving sheds!

[missing the VR6]

I personally don't understand why people wouldn't use borrowing of some form to buy a car, who in their right mind would put a lump sum of money they've saved, inherited, or from other sources of lump sum cash into a depreciating asset?

My favorites are the one's who put a car on their mortgage because the rate is low, yes maybe but over 25 years you've payed an awful lot more!
Or the people who think wow my house has appreciated lets take some equity out and put it into a nice shiny new car that will depreciate nicely!

[kambites]

missing the VR6 said:

My favorites are the one's who put a car on their mortgage because the rate is low, yes maybe but over 25 years you've payed an awful lot more!

Assuming you put the money that you would have put into the car into the mortgage instead, of course it's cheaper if the interest rates are lower?

[Gizmo!]

missing the VR6 said:

Or the people who think wow my house has appreciated lets take some equity out and put it into a nice shiny new car that will depreciate nicely!

I like these people. I like them a lot. Especially because in five to ten years there will be a bumper crop of amazing cars flooding the s/h market and therefore amazingly cheap

[750turbo]

missing the VR6 said:

My favorites are the one's who put a car on their mortgage because the rate is low, yes maybe but over 25 years you've payed an awful lot more!
Or the people who think wow my house has appreciated lets take some equity out and put it into a nice shiny new car that will depreciate nicely!

Ahh, but if they are regimented enough to pay off the loan as quick as a personal car loan, then at the moment then this is surely the way to go. at the moment?

Mortgage: 3.5%

Personal Loan 8%+++ (have a mooch here... http://www.moneysavingexpert.com/loans/cheap-perso...

[fridaypassion]

Car finance no but a personal loan yeah why not? A Lot people who want nice cars and dont have the luxury of rich parents to tap up what other option is there?

If your a whippersnapper living at home with cash on this hip why not get a loan over 3 years for a few hundred quid a month? If nothing else its a foot up so that at the end of that 3 years your next purchase can be your car down plus cash, elimanating the need for more loans. Its a tactic thats served me and the Mrs well over the years.

[RacerMDR]

total no brainer to me - live for today. As long as you can afford it. A long time dead and all that. I just saved 50% the value on a car by buying it 3 years old with 18k miles on it.

It was from a main dealer (I paid a little over a private car obviously) and part was financed.

What this means is i'm paying some interest - and a little bit more on the purchase price. Do I care? No - I can afford it. Cashflow is king to me as I work for myself.

What is the worst that will happen? Lose my customers - sell the car - lose a few grand.

Versus driving a Focus for 10 years until i've saved the cash up for it. Life too short

easy equation for me