Audi owners in here!
- Thread starter GinG
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The point is, suggesting that 5.4% is a good rate to someone who is actively looking and quite possibly in a better position than you were is unfair. It's not a case of disagreeing or agreeing, it's a case of presenting the facts as they are, that a 5.4% rate is not the best route into a car (it's also not the worst, granted).
Ah hang on there, I never suggested that the rate is good to someone else. So you misquoting me is rather unfair, wouldn't you agree?
No we wont, i am telling you something as fact! As Basher also mentions, it is unfair to impart that advice on someone who may not be in that same sub prime situation as yourself. He is not there yet and is asking for advice
You stating that X% is a terrible rate is opinion, not fact. And as I've stated, I have not "advised" that is the right option, merely provided facts and the option I took. The only input I have provided to him is details of the broker I used. Problem with that?No we wont, i am telling you something as fact! As Basher also mentions, it is unfair to impart that advice on someone who may not be in that same sub prime situation as yourself. He is not there yet and is asking for advice
It is fact, it is a bad rate. I have even taken the time to explain why it is a bad rate, and how someone may achieve a much better rate.
Why did you mention the route which you took it at all, if you were not imparting advice? If you provide advice on a forum, and it is bad advice, do not be surprised when someone calls you for it. I am not the only one to have done so.
In his situation of already making the maximum allowable overpayment (allowing for that max limit to change slightly to account for the additional borrowing), he would presumably have to somewhat extend his planned duration as he wouldn't necessarily be able to put the entire extra £350pm into his mortgage without incurring some sort of penalty?
I agree it's a financially more sensible way of doing it (and also frees you up to modify it or sell it etc. at your whim) but he may well have to adjust his plans to be paid off in 6 years I think?
Or just extend the borrowing? As long as you have a healthy LTV then I don't see why there would be any penalty.
That's what I was questioning - in this case he has a plan to pay off in 6 years and is making max overpayments already - if he wants to use this method of financing, he'll have to adjust his plans, whereas Jez has suggested he could do this without delaying paying off his mortgage beyond his planned timeframe.
Soldato
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Guys, touching the mortgage it out of the question
for one, the Mrs would skin me alive
The monthly payments for the mortgage is very comfortable, it's paid off in six years, nobody is touching it. The left over money (I mean free spending money after bills, savings, food and what not) is up for grabs
for one, the Mrs would skin me alive
The monthly payments for the mortgage is very comfortable, it's paid off in six years, nobody is touching it. The left over money (I mean free spending money after bills, savings, food and what not) is up for grabs
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That isnt how an additional charge works. It is in effect a 2nd mortgage, he would be free to raise this on a differing product to charge #1
Indeed this need not affect the primary charge
Soldato
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ok, my mortgage lender can add on a loan for the car at 2.99% fixed for 3yrs, then 3.59% variable
That doesnt seem amazing, but must be the best option you can have found so far? The loan is an additional one, so it wont get muddied with the main and original one (and therefore should pass your wife test just as a loan would! ) The only difference is that the security for it, is the house.
) The only difference is that the security for it, is the house.
Soldato
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That doesnt seem amazing, but must be the best option you can have found so far? The loan is an additional one, so it wont get muddied with the main and original one (and therefore should pass your wife test just as a loan would!
Yeah, she won't go for it.
IF I do end up buying the car, it will probably be a lot of fun for a year, sell it back to Audi, settle the debt (take the financial hit)...and live off the memories as I pootle into my old age with a nissan micra.
I'm amazed, first my rate of finance is terrible, and now you don't think 2.99% is amazing. Do you live in a world where you expect everyone to be lent money at the current base rate?!That doesnt seem amazing, but must be the best option you can have found so far? The loan is an additional one, so it wont get muddied with the main and original one (and therefore should pass your wife test just as a loan would!
I have explained what a good rate should be at the moment, read up. For ease of reading; i would expect a sensible LTV additional loan to be offered at around 2% or slightly lower.
2.99% is not amazing, but it is a lot better than the awful deal which you signed, i think you would agree. Worth getting him to look into as it is likely unbeatable for his situation/current lender.
Soldato
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This thread is starting to sound like something off the apprentice. I reckon some of you lot would quite fancy standing up in front of Lord Sugar 
and a loan linked to a mortgage is a no go.....the only reason the mrs would entertain something like that would be home improvements....like an extension....not a car
and a loan linked to a mortgage is a no go.....the only reason the mrs would entertain something like that would be home improvements....like an extension....not a car
Haha, i will just absolutely not be corrected by Maccy
2.99% seems alright. At least this is a lot better than the PCP/HP deals mentioned a page back. Just get on convincing your wife. The paperwork is for a separate loan entirely, it wont affect your original mortgage. At least we have shifted the expectation on rate down somewhat.
2.99% seems alright. At least this is a lot better than the PCP/HP deals mentioned a page back. Just get on convincing your wife. The paperwork is for a separate loan entirely, it wont affect your original mortgage.
At least we have shifted the expectation on rate down somewhat.