[Vaheed1]

looks like it's going to be the end of my e90 love affair...for now!

Been thinking long and hard about the pro's and con's of keeping a expensive car (to Hire purchase) considering I'v just bought a house - and unfortunately, the house won. The settlement figure isn't that much (to the half way point of the lease) and I'll cut my ties and go with something a little cheaper for a couple of years. The figure is nearly half of what I would pay in payments for the next 8 months - after it's re-calculated without interest.

I have a question. The car has 4,500 miles until it's next service (various filters) and i was waiting until then to have the brakes done (just pads, light is now on dash) also, i mentioned a couple of weeks ago that the clutch is vibrating. This was also something I had planned to have done at the same time - but probably wont now. Will i have to have these issues sorted before I drop it off at the auction house? The car drives very well - has no issues, barring the clutch at very low speeds.



Really fancy a mk5 GTi again. This time with a DSG box. Is there anything else out there that someone could recommend. Needs to be a nice drivers car - decent quality interior, have 4 seats and potential for some cheeky upgrades. Don't really want to spend that much - up to about £7k.

This will give me time to save for my porka 911

[buckethead]

once the brake pad light goes on there's about 1000 to 1500 max left on the pads if that helps any

[gIzzE]

Originally Posted by Vaheed1

The settlement figure isn't that much (to the half way point of the lease) and I'll cut my ties and go with something a little cheaper for a couple of years.



The figure is nearly half of what I would pay in payments for the next 8 months - after it's re-calculated without interest.

I don't get what you are actually saying here??


You saying you could buy the car for 4 months payments?

[gIzzE]

You do also realise you can sell the car and clear the finance and pocket any equity?

[Vaheed1]

Originally Posted by gIzzE

[QlUOTE=Vaheed1;11106000]
The settlement figure isn't that much (to the half way point of the lease) and I'll cut my ties and go with something a little cheaper for a couple of years.



The figure is nearly half of what I would pay in payments for the next 8 months - after it's re-calculated without interest.

I don't get what you are actually saying here??


You saying you could buy the car for 4 months payments?[/QUOTE]

You know how we can hand the car back after half of the term/agreed value is paid, well, I'm still 8 months from being at that point. I'm wishing to give the car back early - so the re-payments are re-calculated less the interest, and it works out nearly half of what i'd have paid in instalments for 8 months.

[TMP]

Originally Posted by Vaheed1

You know how we can hand the car back after half of the term/agreed value is paid, well, I'm still 8 months from being at that point. I'm wishing to give the car back early - so the re-payments are re-calculated less the interest, and it works out nearly half of what i'd have paid in instalments for 8 months.

So...I am a bit confused on this then

Are you 8 months away from half term or are you saying if you pay more earlier you can then walk away

[Kerr]

Originally Posted by TMP

So...I am a bit confused on this then

Are you 8 months away from half term or are you saying if you pay more earlier you can then walk away

I'm picking it up as he is 8 months away from halfway through his finance agreement in time.

The money owed to make half of what he borrowed is the same as 4 monthly repayments.

I'm sure the law with cars on HP is when you have repaid half of the amount borrowed you can hand the car back.

It's legal and can't be held against you but a few people have said that finance company will not lend to you again.

[Kerr]

I'm not sure why he is taking the interest out?

I've settled a few cars early before had to cover some interest.

Is that the same or has it changed?

[Vaheed1]

Originally Posted by Kerr

I'm picking it up as he is 8 months away from halfway through his finance agreement in time.

The money owed to make half of what he borrowed is the same as 4 monthly repayments.

I'm sure the law with cars on HP is when you have repaid half of the amount borrowed you can hand the car back.

It's legal and can't be held against you but a few people have said that finance company will not lend to you again.

lol - you get the blue peter badge!

It's not illegal and it doesn't effect your chances of getting another HP. I know someone who's done it 3 times now and the same finance company hasn't refused him afterwards.

I don't think i'll take another HP agreement - will probably go down the cash/loan route or PCP. Get brand new cars every 2 years.

[Vaheed1]

Originally Posted by Kerr

I'm not sure why he is taking the interest out?

I've settled a few cars early before had to cover some interest.

Is that the same or has it changed?

I was under the same impression - but looking at the figure - it looks like they've calculated it without the remainder of the interest AND deducted the initial deposit. If this is what they want, then I'm not going to argue with it!

[Kerr]

I think the finance companies are going to get left with a lot of cars soon.

There is too many people sitting with cars that are not worth the money owed on them with the way the world has gone.

It's you legal right to do so and from a financial point it might be to your own benefit to go down the route.

If left in that position I would do the same.

[Kerr]

Originally Posted by Vaheed1

I was under the same impression - but looking at the figure - it looks like they've calculated it without the remainder of the interest AND deducted the initial deposit. If this is what they want, then I'm not going to argue with it!

The initial deposit does not matter. Just the amount they loaned to you.

[BGM]

Originally Posted by Kerr

I think the finance companies are going to get left with a lot of cars soon.

There is too many people sitting with cars that are not worth the money owed on them with the way the world has gone.

It's you legal right to do so and from a financial point it might be to your own benefit to go down the route.

If left in that position I would do the same.

i put £5k down on my finance deal and it keeps me about £500-£800 above the value of the car on the settlement figure whenever i ask for it.

Part of me think though.. hmm, maybe should have just saved £3k and hand the car back when half the value is paid as per my agreement states i can do!

ho hum, not the end of the world, i'll live

[Vaheed1]

Originally Posted by Kerr

I think the finance companies are going to get left with a lot of cars soon.

There is too many people sitting with cars that are not worth the money owed on them with the way the world has gone.

It's you legal right to do so and from a financial point it might be to your own benefit to go down the route.

If left in that position I would do the same.

That's why I think 2 year PCP deals are the way forward now. Hire Purchase on a car is all well and good, if you promise yourself you will keep your car for the 3/4/5 years and you can control how much you spend monthly. Afterwards, the car is yours. This was my original plan - but who was i kidding! the longest car I've ever kept a car is 2 years - but to be fair to me, it's not the temptation to change, but the need to change. The nearly £400 a month i pay will be a massive chunk off my mortgage. Once I've done a few bits and bobs I need to do - I can look forward to another nice car.