Outstanding finance - advice / opinions?

Outstanding finance - advice / opinions?

Author
Discussion

BenGpistonhead

Original Poster:

144 posts

42 months

Sunday 31st March
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In December I purchased an F type and have outstanding finance however have recently found out a baby is on the way so keeping the car (being a 2 seater) is not possible anymore. Curious to know my best options to get out the finance and into a different car. I am in negative equity so would need to pay a fairly substantial amount to get out the finance. Is it possible to load this into a different vehicle? (Cheaper) Considering something like a 3 series or X4/X6 (which are substantially cheaper than my current car.

CG2020UK

2,008 posts

47 months

Monday 1st April
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Congrats on the good news. We had our first in December.

I’m thinking that your F-Type is maybe PCP?

You can roll into another car based on credit checks. I’d be quite reluctant to do this however as you then find yourself in an even worse position if something goes wrong with that car or it unsuitable. Also likely impact your cash flow as will be paying more.

Easiest way is just cover the difference yourself in cash/savings (granted easier said than done and in the real world a couple of £k is still a lot of money).

What I’d maybe look at is taking out a personal loan from the bank to cover your negative equity in the car plus an amount that allows you to get another car. Eg: Total personal loan of £15k to cover your £5k in negative equity on your F-Type and get something for £10k.

Before our wee one came along I’d always been into getting the next best car I could. M5 Comp or 911 was firmly on the cards in the summer. Now I’ve lost all interest in cars and just find them a proper waste of money and haven’t even booked a track day yet. Would just advise caution not taking any big money risks especially for a car as knowing I’m giving my wife the full 12 months on maternity and being able to support her as she returns to minimum hours/doesn’t go back (her choice) is way more important than any car.

ZX10R NIN

28,358 posts

132 months

Monday 1st April
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BenGpistonhead said:
In December I purchased an F type and have outstanding finance however have recently found out a baby is on the way so keeping the car (being a 2 seater) is not possible anymore. Curious to know my best options to get out the finance and into a different car. I am in negative equity so would need to pay a fairly substantial amount to get out the finance. Is it possible to load this into a different vehicle? (Cheaper) Considering something like a 3 series or X4/X6 (which are substantially cheaper than my current car.
The cheapest way is to take out a loan & clear the finance (if possible) this will give you the most flexibility in terms of what to get next & how much you want to finance.

bennno

12,694 posts

276 months

Monday 1st April
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BenGpistonhead said:
In December I purchased an F type and have outstanding finance however have recently found out a baby is on the way so keeping the car (being a 2 seater) is not possible anymore. Curious to know my best options to get out the finance and into a different car. I am in negative equity so would need to pay a fairly substantial amount to get out the finance. Is it possible to load this into a different vehicle? (Cheaper) Considering something like a 3 series or X4/X6 (which are substantially cheaper than my current car.
What age / model / body type / mileage of F Type and roughly what do you owe on it versus what it's worth?

Bear in mind WBAC is 20-30% less than market, we are just about to hit the best time of the year for selling a sports car, especially a drop top - cars will sell privately if priced 10%+ WBAC - other than anything thats still quite new.

A dealer might be amenable to offering an enhanced px against a car they have in stock, an alternative would be to simply take a loan out to cover the difference in its value to the finance so you've no negative equity and could start again on a family car.


RayDonovan

4,946 posts

222 months

Monday 1st April
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Not sure you can roll neg eq anymore. Used to be a big thing when I sold cars years ago..

skeeterm5

3,688 posts

195 months

Monday 1st April
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ZX10R NIN said:
The cheapest way is to take out a loan & clear the finance (if possible) this will give you the most flexibility in terms of what to get next & how much you want to finance.
This, and buy a shed/banger for a couple of years until you feel more stable.

Auto810graphy

1,523 posts

99 months

Monday 1st April
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RayDonovan said:
Not sure you can roll neg eq anymore. Used to be a big thing when I sold cars years ago..
We would get involved in it but it goes on. Most funders view it as irresponsible lending so dealers that do it have to hide it well.

RayDonovan

4,946 posts

222 months

Monday 1st April
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Auto810graphy said:
RayDonovan said:
Not sure you can roll neg eq anymore. Used to be a big thing when I sold cars years ago..
We would get involved in it but it goes on. Most funders view it as irresponsible lending so dealers that do it have to hide it well.
Gotcha.
Used to love rolling a bit of neg eq, usual suspects were Volvo, Saab and Alfa (always upside down..)

CG2020UK

2,008 posts

47 months

Monday 1st April
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RayDonovan said:
Gotcha.
Used to love rolling a bit of neg eq, usual suspects were Volvo, Saab and Alfa (always upside down..)
Have to say not surprised it’s being clamped down on.

I’d imagine negative equity is unfortunately common at the moment.

66HFM

491 posts

32 months

Tuesday 2nd April
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I think you'd need to give us a bit more info on he finance deal, is it a PCP or HP linked to the car?
Also how much was borrowed / owed / value of the car?