Audi owners in here!

glenimp617 · 9 Jun 2020 at 11:33

Theophany said:
I think you're far enough down the man maths hole to just buy the car

haha, I love man maths!

part of me thinks, bugger it...you only live once....and then my head kicks in and starts saying.....hang on, just think about it a bit more

Oracle finance and supercar finance have been in touch. Oracle are working on the figures, but supercar told me to bite Audis hand off with that deal :eek:

although he is calling back once he's looked into it a bit more

Maccy · 9 Jun 2020 at 11:37

@TheOracle I can put you in touch with the broker I used for my 911 if you like? I managed to get around 6%, best I could get as it's a 2011 car.

Basher · 9 Jun 2020 at 11:38

TheOracle said:
I just feel safer, even though financially it doesn't make sense. I've been doing it for the past 2.5 years and am just carrying on. My house will be paid off in six years, so I just want to carry on with it. It's just one of those things.

That makes zero sense. You’re overpaying on the cheapest loan so could actually pay your mortgage off sooner if you actually reorganised things a little.

Weird.
But anyway, given the maths don’t seem to matter that much, just go for it.

[TW]Fox · 9 Jun 2020 at 11:38

Maccy said:
I managed to get around 6%,

This is madness. Why are people paying this?

The base rate is at historic lows, why are people paying 6% interest on cars?

Theophany · 9 Jun 2020 at 11:39

[TW]Fox said:
This is madness. Why are people paying this?

What do you think is an acceptable rate for PCP on a used car?

glenimp617 · 9 Jun 2020 at 11:39

Maccy said:
@TheOracle I can put you in touch with the broker I used for my 911 if you like? I managed to get around 6%, best I could get as it's a 2011 car.

Yeah, send the details over please and I'll call him

Maccy · 9 Jun 2020 at 11:39

[TW]Fox said:
This is madness. Why are people paying this?

I challenge you to find better on a 2011 911 then.

EDIT - just checked my docs, it was 5.4% actually. And I have hire purchase, not PCP as I agree that the total cost would be too much.

glenimp617 · 9 Jun 2020 at 11:44

Basher said:
That makes zero sense. You’re overpaying on the cheapest loan so could actually pay your mortgage off sooner if you actually reorganised things a little.

Weird.
But anyway, given the maths don’t seem to matter that much, just go for it.

I know, I just don't like anything tied to it. I know it's not financially sound, but even though everything is still debt, I think of my mortgage differently to a purchase which let's be honest...is a bit of an indulgence. My mortgage just sits quietly in the background getting paid off each month and I know when it's paid.

What's left over I pee up the wall

and I have no issue with walking away from the TT if it's not right

[TW]Fox · 9 Jun 2020 at 11:45

Theophany said:
What do you think is an acceptable rate for PCP on a used car?

Nothing and that's the problem, PCP is the wrong product for used cars as the rates are absolutely daft.

It can work on new where the rate is manufacturer subsidised but you just end up paying a fortune in interest on used cars as a result of the rates. Surely a bank loan is the best way forward? (Or the mortgage route).

Theophany · 9 Jun 2020 at 12:03

[TW]Fox said:
Nothing and that's the problem, PCP is the wrong product for used cars as the rates are absolutely daft.

It can work on new where the rate is manufacturer subsidised but you just end up paying a fortune in interest on used cars as a result of the rates. Surely a bank loan is the best way forward? (Or the mortgage route).

I guess I'm looking at it through my own lens, which isn't necessarily reflective of @TheOracle situation. If your monthlies are tax relievable expenses, I'm struggling to think of a reason to seek out a loan for the car's value from the bank. But I appreciate that is a deviation from this situation!

[TW]Fox · 9 Jun 2020 at 12:11

How many people's monthly payments on a performance car PCP are tax deductible though? I'd wager virtually nobodies

Jez · 9 Jun 2020 at 12:14

Maccy said:
@TheOracle I can put you in touch with the broker I used for my 911 if you like? I managed to get around 6%, best I could get as it's a 2011 car.

On what planet is 6% anything other than an absolute bending over? If this was the best that you could do, then you have a situation which is far from ideal and where advice without context is hard to give.

Maccy · 9 Jun 2020 at 12:18

Jez said:
On what planet is 6% anything other than an absolute bending over? If this was the best that you could do, then you have a situation which is far from ideal and where advice without context is hard to give.

Please read the rest of the thread before replying, I corrected myself.

[TW]Fox said:
How many people's monthly payments on a performance car PCP are tax deductible though? I'd wager virtually nobodies

Yes, quite...

Jez · 9 Jun 2020 at 12:19

Maccy said:
Please read the rest of the thread before replying, I corrected myself.

Yes, quite...

OK, lets correct the question as a result of your edit then:

On what planet is 5.4% anything other than an absolute bending over? If this was the best that you could do, then you have a situation which is far from ideal and where advice without context is hard to give.

Maccy · 9 Jun 2020 at 12:20

Jez said:
OK, lets correct the question as a result of your edit then:

On what planet is 5.4% anything other than an absolute bending over? If this was the best that you could do, then you have a situation which is far from ideal and where advice without context is hard to give.

Please, feel free to find a better rate for HP on a 2011 car?

Jez · 9 Jun 2020 at 12:26

The rates are terrible because this is the wrong product for the purchase. Your question is akin to me asking you to find a good deal on finance tied to a Plasma television. They wont exist as the product is not for a demographic with good access to credit.

To fund a 2011 car of significant value you should be seeking these avenues:
1) Cash purchase (not ideal for everybody, not necessarily flexible, you might not actually have it, i get that).
2) Equity leverage. Surely anybody buying a significantly valuable car has at least some property against which to register a charge? Rates here will be under 2% in most circumstances.
3) Absolute worst case, not ideal, bad idea, but even unsecured personal loan(s) would beat that rate.

5.4% is a terrible rate, it is a total bending over and unless you have an unusual set of circumstances then you should have sought advice IMHO.

Maccy · 9 Jun 2020 at 12:31

Jez said:
The rates are terrible because this is the wrong product for the purchase. Your question is akin to me asking you to find a good deal on finance tied to a Plasma television. They wont exist as the product is not for a demographic with good access to credit.

To fund a 2011 car of significant value you should be seeking these avenues:
1) Cash purchase (not ideal for everybody, not necessarily flexible, you might not actually have it, i get that).
2) Equity leverage. Surely anybody buying a significantly valuable car has at least some property against which to register a charge? Rates here will be under 2% in most circumstances.
3) Absolute worst case, not ideal, bad idea, but even unsecured personal loan(s) would beat that rate.

5.4% is a terrible rate, it is a total bending over and unless you have an unusual set of circumstances then you should have sought advice IMHO.

I'm sorry, but I don't agree that it's a terrible rate; if it's terrible then what do we think about people who don't seek advice paying over 10% for a BMW approved used, for example?
In my situation, cash purchase wasn't an option, equity leverage wasn't an option due to my employment status, and an unsecured personal loan is not a viable option for anything over £25k as you into >6% figures then.

Without going any further into my personal situation, I sought a lot of advice before making the decision, I researched a number of finance companies, products and brokers and was able to get the best deal at the time. I'm sorry if you don't agree.

[TW]Fox · 9 Jun 2020 at 12:34

Maccy said:
what do we think about people who don't seek advice paying over 10% for a BMW approved used, for example?

Absolutely bonkers.

Jez · 9 Jun 2020 at 12:36

Maccy said:
I'm sorry, but I don't agree that it's a terrible rate; if it's terrible then what do we think about people who don't seek advice paying over 10% for a BMW approved used, for example?
In my situation, cash purchase wasn't an option, equity leverage wasn't an option due to my employment status, and an unsecured personal loan is not a viable option for anything over £25k as you into >6% figures then.

Without going any further into my personal situation, I sought a lot of advice before making the decision, I researched a number of finance companies, products and brokers and was able to get the best deal at the time. I'm sorry if you don't agree.

This is not a case of agreeing, i am telling you that your situation and lack of access to those credit lines, but an insistence that you must drive a valuable car, has led you into a sub prime situation. You will never get a good deal in that situation.

Your prerogative, of course, the economy needs people to spend(!), but that is a bending over.

On topic: The requester in this thread is not yet down any path. It is hardly fair to lead him into the same sub prime situation in place of proper advice. I am sure you would agree. Your advice is expensive to him if he is not in your situation, and it doesnt sound as if he is.

Basher · 9 Jun 2020 at 12:38

Maccy said:
I'm sorry, but I don't agree that it's a terrible rate; if it's terrible then what do we think about people who don't seek advice paying over 10% for a BMW approved used, for example?
In my situation, cash purchase wasn't an option, equity leverage wasn't an option due to my employment status, and an unsecured personal loan is not a viable option for anything over £25k as you into >6% figures then.

Without going any further into my personal situation, I sought a lot of advice before making the decision, I researched a number of finance companies, products and brokers and was able to get the best deal at the time. I'm sorry if you don't agree.

It is a terrible rate, it's just that there are even worse ones around.