Ok so im thinking of getting a 200, however i know most finance options are 3-5 years or something. What happens if i decide that I want to sell it after a year? I know il still have to pay the finance because obviously i have not payed for the car? Can i transfer it to another car? or can i sell it, get the cash, give it to the finance company? Or once i get it for 3-5 years, do i have to keep it for 3-5 years?
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bit of advice on finance?
- Thread starter Jimmybs
- Start date
a burnt one
You can sell it whenever you like but will have to pay off the balance of the finance, it's unlikely anyone will buy it privately with finance outstanding, just make sure you sell it for more than the remaining balance.
If you trade it in for something else and want the finance transferred be carefull as i've heard many horror stories about garages not actually doing it and then people being hounded for money.
If you trade it in for something else and want the finance transferred be carefull as i've heard many horror stories about garages not actually doing it and then people being hounded for money.
I think you can hand it back after half the period you've had the car or half the amount is paid, same thing really.
I think you can sell it aslong as you agree to pay the finance off.
Think about it as you wouldn't get as much when selling the car to pay off the finance.
I think you can sell it aslong as you agree to pay the finance off.
Think about it as you wouldn't get as much when selling the car to pay off the finance.
Focus ST
its not that i want finance but to be honest, not many people have 15k+ cash to put on a car, i need to save for a house deposit still, yes im earning an alright wage now but as long as i have a good job, im sure the finance is just another "bill" right? I have been warned, trust me, but what im saying is it is just sometimes not practical to buy now cash!
a burnt one
The ones that do have 15k + to put on a car dont usually need finance, its called living within your means and spending accordingly.
Maybe your sights should be set a little lower.
The Chubby Pirate
ClioSport Club Member
Golf R
This in theory would be a great idea, however you only have to look now at the cost of 197's to see where residual values are going, ill give you a clue, its not up the way
172
Why pay interest for something that's depreciating while you're paying interest on it !!!!
a burnt one
This in theory would be a great idea, however you only have to look now at the cost of 197's to see where residual values are going, ill give you a clue, its not up the way
Aye i know, selling a car on finance even if you are lucky to have 0% means you will be lucky to have any cash to yourself after the sale.
Was just stressing that he could sell it but is pointless unless he is willing to accept the loss or is lucky enough to beat the finance companies at their own game.
Depends on loads of things. The misses was after a mini and the BMW finance was a lot cheaper than a personal loan. She also chose the term length etc..
The Chubby Pirate
ClioSport Club Member
Golf R
This might sound daft but what about buying a car with a credit card?
Alot of decent rates plus side meaning you can pay higher amounts each month when you are better off one month to the next, also there is insurance on the credit card if the car isnt fit for purpose (I.e a snapped cambelt or engine failure) it then becomes the credit cards company and you get away scot free...
Alot of decent rates plus side meaning you can pay higher amounts each month when you are better off one month to the next, also there is insurance on the credit card if the car isnt fit for purpose (I.e a snapped cambelt or engine failure) it then becomes the credit cards company and you get away scot free...
dCi 65 + C2 (<Sold)
Surely can't be as easy as that! Be interesting to find out though!
Did she pay asking price for the car? Typcially low finance means they will not budge on price. If you are going in with your own money they are usually more flexible.
THIS!!
I paid half of my car on fianance, (car was 6000) and paid something like £100 on top of the 3000.
The Chubby Pirate
ClioSport Club Member
Golf R
If you bought a washing machine and it broke because it was unfit for purpose whats the difference between doing it with that and a car?
I may be wrong but from the fine print it looks to be so.
In the sense that its unfit you would claim the money back from the credit provider not the car dealer i.e Renault in this case. The credit provider would then chase Renault, leaving you happy in your new Honda lol...
dCi 65 + C2 (<Sold)
Should be a no brainer then! Why do people still buy using dealer finance when this is the case?!?
If you have the credit rating and can afford to pay off the loan quickly then its an option, dangerous one but possible. Couple of interest free cards, pay off as much as possible first year, balance transfer at the end of the year
Lotus Exige, 182
Credit card interest is currently at about 18.9%APR, and the 0% on new purchase offers only last a few months. Also, most credit card companies won't give you a 20k credit limit!
dCi 65 + C2 (<Sold)
Isn't car finance ridiculous as well?
The Chubby Pirate
ClioSport Club Member
Golf R
Obviously there are disadvantages like everything else, but it is an option.
The Chubby Pirate
ClioSport Club Member
Golf R
On the money there mate, exactly these reasons. Finance companies will give money to whoever looks in there direction, even more so if you have tits and a pulse
Lotus Exige, 182
MJ - Not saying it isn't, if you have to buy something on finance you can't afford it. I think the APR is less than on credit cards though. the main point is that they won't give you a 20k credit limit - well unless you earn well over 150k per year anyway!
http://www.tescofinance.com/personal/finance/finance/creditcards/clubcc/index.jsp
You would need more than one card. Depends on your circumstances though, majority of people wouldn't get ther credit limit. Possible though, I had two cards with £6000 on each.
dCi 65 + C2 (<Sold)
Ah right, so it's not a feasable option then. Thanks for clearing this all up.
However I do disagree with the 'can't afford it' statements. As long as the payments are manageable and you don't mind paying back X amount extra then it's fine.
If that applied to everything then nobody would have anything. Take mortgages for example.
However I do disagree with the 'can't afford it' statements. As long as the payments are manageable and you don't mind paying back X amount extra then it's fine.
If that applied to everything then nobody would have anything. Take mortgages for example.
Lotus Exige, 182
It's a little bit different with a house though, you hope that it is an appreciating asset and you get some money out at the end of the mortgage term. You also have somewhere to live!
Whereas, a new car is a depreciating asset. As soon as you drive it off the forecourt, you lose 17.5%! As you say, if you intend to keep it until the end of the term, and can afford the payments, then why not get it on finance. If you're going to sell the car halfway through tho, you'll end up not getting enough money back to cover the amount you owe.
The Chubby Pirate
ClioSport Club Member
Golf R
Leasing Gally?
They are very picky for scratches and dents and so on, you would worry about leaving it parked anywwhere in the last 3 months of ownership
They are very picky for scratches and dents and so on, you would worry about leaving it parked anywwhere in the last 3 months of ownership
SC03OTT
ClioSport Club Member
Octavia vRS
If you got a high enough credit limit, you could just do a balance transfer to another card after your 0% is up on new purchases. 0% on balance transfers is typically a lot longer than on new purchases. You will probably have something like a 2.5% handling fee though.
That's a very black and White way of looking at it. As long as you put down a decent deposit (which most places need anyways) you'll only finance say 70% of the car.. If you finance 100% of it, then yes you will most likely end up in negative equity..
Just be sensible with it. Don't over commit yourself, and don't finance the full value.
SC03OTT
ClioSport Club Member
Octavia vRS
Assuming you don't exceed the agreed mileage limit. If you do, you will pay for every mile over.
Leasing Gally?
They are very picky for scratches and dents and so on, you would worry about leaving it parked anywwhere in the last 3 months of ownership
He's not talking about leasing. He's just saying after the period hand it back.. They'll clear the balance.
Lotus Exige, 182
I wouldn't have a problem with doing that if the contract permitted it. Would have to read the terms carefully though before signing - and check if you had to pay the finance company a big fee to do so.
Personally, I've never bought a new car and I don't intend to do so, unless I win the lottery. Not worth it with the depreciation.
No i'm not. I had a clio on finance and in the agreement it said after half the balance or period was done I could hand the car back.
A bit like leasing but probably cheaper.
I did it with my clio no joke.
All companies do it. Ford offered me the same thing.
Salesman tipped me off about it by the way, I went to trade it in and he said wait until september and hand it back then we can go start afresh! He works beside my dad so wasn't out on the rob.
A bit like leasing but probably cheaper.
I did it with my clio no joke.
All companies do it. Ford offered me the same thing.
Salesman tipped me off about it by the way, I went to trade it in and he said wait until september and hand it back then we can go start afresh!
He works beside my dad so wasn't out on the rob.
