I want to get a new/second hand car but dont know the best way to go about it. Can anyone help me?
Do i go for a loan? leasing? or finance? I want a nice car worth about £7000
My credit rating isnt great. obviously i want the best deal i can get. It would be great if i could trade in my car every year and get a newer one. I live in Worcestershire (uk)
Please give me as much info as possible as i havent done this before.
Also, do i need to show pay slips? if so, how many? How about a deposit? ive got a car but it will only be worth about £500
A lot of finances are like leasing, only you DO have the option of buying it at the end, if you wish.You wouldn’t be able to get a new one yearly, but every 2 or 3 years.
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There are some really great 0% finance deals from the car dealers at present. Don’t forget the scrappage allowance of at least £2000 either.
The car dealers are all desperate at the moment, they won’t show it but they are. Historically, Citroen dealers will always give you the best deal. But you do need to haggle. Don’t be put off by negativity from the salesman. They will try to prise every last penny out of you. Visit other dealers, even of the same car you have chosen, as they all vary in their attitude according to how desperate they are. The harder you work at it the more you will save. Don’t fall for any tricks. Especially the one about ‘this deal has to be signed up today’. It’s all spiel.
References :
Generally speaking it is not a good idea to trade in your car every year as a method of upgrading. Keep in mind that the person taking your car in trade wants to resell it to make back the money they gave you for it. This means they are not going to give you as much money as it is really worth, otherwise how could they make a profit.
The best strategy for many people is to keep the car they have running by maintaining it well and then put the same amount of money away each month that they would pay for a loan. So, for example, your 7000 Pounds (sorry, I don’t have the symbol on my American keyboard) car might cost you 149 Pounds a month in payments for a 5 year loan. If you save up for a year you will have a nice down payment and your 7000Pound car will then cost less since you have managed to save 1788 Pounds towards its purchase, meaning you will have to take out a smaller note. Also helps your credit rating to have money in the bank, right?
Also, when it is time to buy your nice new car, sell your old one privately so that you get what it is really worth, or maybe you have a relative or friend that needs a car and would love you to death if you gave it to the!
Hope this helps!
Dad in the US.
References :
A lot of finances are like leasing, only you DO have the option of buying it at the end, if you wish.You wouldn’t be able to get a new one yearly, but every 2 or 3 years.
References :