Buying a £20,000 car (loan)

DannyW · 27 Dec 2016 at 11:00

Hi guys

I know I've already asked about cars in other threads but I think it will work out better to just buy a car

Found a 20 grand loan for £360 a month over 60 months paying back just over £21600

I would probably be looking to buy a 335d x drive, but I wouldn't want to keep it 5 years, probably 2-3 years max

So what would be my options in 3 years time? Ring loan company and borrow another 10 grand? If i paid 20k for a 335d now would it be worth 10k in 3 years time?

I know I'm a complete n00b so please go easy on me, I have only ever leased or bought sub 10k cars before (cash)

Thanks

DannyW · 27 Dec 2016 at 11:04

Most of my friends or family with new cars have them on pcp

I think I'll go to BMW tomorrow explain my situation and see what they can offer

DannyW · 27 Dec 2016 at 11:18

Armageus said:
Never had any issue with this with a personal loan from HSBC. As long as you are still eligible for the new loan, they will essentially allow you to pay off your existing loan with some of the balance of a new loan.

E.g. so you have 6k remaining on an existing loan, and want 10k towards a new car - they allow you to take out a 16k loan, paying off the first one.

Makes no difference to your credit rating either, whether you let a loan run to term or pay off early, as far as I was told.

Out of interest why are you looking at a 60 month loan? If that is the only way you can afford the car, I would be reluctant to commit to that, in case life circumstances change and you are no longer able to meet the repayments. At least a PCP has a shorter fixed term, and HP may have a "buy back" style clause whilst in term (since any interest is normally front-loaded).

(full disclosure - I currently have a 60month loan, but done so purely to give myself more breathing room than if I had taken it over 36 months. In all likelihood it will be paid back within 36 months due to me saving / overpaying where possible)

Thanks for reply

I can afford more then £360 a month,

Currently I have a lease car (£220) and a couple of months left on a loan which is (£150) so my logic is it won't cost me anymore to have a nicer car

My mortgage is only £415 a month so I really dont fancy paying more for a car.

At the minute, after every payment, I have approx £1500 spare a month, I love living this way

I guess reducing it to 48 months would make more sense and I'd hardly notice it

DannyW · 27 Dec 2016 at 11:38

FurryLemon said:
I think you'd be mad to take out a 20k loan over 60 months just to drive a diesel BMW.

Hi yes maybe a 320d I'd agree

But I'd be after a 335d x drive

Also over 48 months

DannyW · 27 Dec 2016 at 11:56

chaparral said:
Then surely with that amount of spare cash per month you must have saving for a big deposit you can put down ..

I paid for my 24k car by paying 50% cash and 50% by loan over 3 years

I don't have much saved at the minute it's only recently my wage has gone up and other bills come down

DannyW · 27 Dec 2016 at 14:47

I don't think I'll get bored of 335d in a hurry

DannyW · 27 Dec 2016 at 14:52

chaparral said:
But isn't a new one going cost more then 20K ?

If I got a loan I would buy a 12-18 month old one

DannyW · 27 Dec 2016 at 14:57

https://www.ebay.co.uk/itm/311759626665

This plus some cash

DannyW · 27 Dec 2016 at 15:03

That was first one I found there are cheaper ones

Boring is subjective, I prefer driving autos

DannyW · 27 Dec 2016 at 15:10

http://www4.autotrader.co.uk/classi...on=at_cars&radius=100&postcode=ls184ax&page=1

private seller and good spec. I would offer £23000

z4 is not practical for me

DannyW · 27 Dec 2016 at 15:49

[TW]Fox;30346347 said:
Because 90% of the market is diesel. It's quite difficult to find petrol ones now.

Exactly this, golf r and s3 are impressive on paper.... but 4 cylinders?!?

It's actually really refreshing to drive a silky smooth petrol now and again

DannyW · 27 Dec 2016 at 15:51

chaparral said:
LOL I just clicked on that 335d xDrive is a diesel and has a 4.8sec 0-60...

I've had remapped e90 too it was a pure monster

DannyW · 27 Dec 2016 at 18:20

chaparral said:
Don't matter how good or bad the auto box is...

There still going be no clutch pedal and gear lever ....

Granted In a fiesta st or focus rs an auto would ruin it however In a big diesel saloon car the last thing you want is a manual. A manual in these types of cars makes them feel like cheap Mondeos

xs2man said:
Come back when you have driven a ZF8 Speed mated to a decent engine.

He's not coming back lol

DannyW · 27 Dec 2016 at 19:08

[TW]Fox;30346993 said:
It's so good I never want another manual ever again.

+1

What's car(s)? Do you have now fox?

DannyW · 27 Dec 2016 at 19:18

[TW]Fox;30347019 said:
I have an LCI 530d M Sport now

Nice bet you were sad to see your e39 go

DannyW · 27 Dec 2016 at 19:21

[TW]Fox;30347035 said:
I couldn't let it go, I will always have that

Haha I kinda guessed you still had it that's why I said car(s)

still probably one of the last bmws built with a soul and passion

DannyW · 27 Dec 2016 at 20:41

anyone know what the warranty period is on the 335d?

if i were to get a 14 plate one would that basically be out of warranty?

i'm guessing a bmw extended warranty is 1-2k?

DannyW · 27 Dec 2016 at 21:35

apple_man77 said:
Why don't you just get a brand new BMW on PCP rather than messing about with loans etc.

For £1000 deposit and £349 x 47 you could be driving a brand new BMW 240i, thats less per month than the bank loan you're looking at, its a brand new car with warranty etc and I don't think anyone can turn their nose up at a 240i even though the 335d is a lovely motor.

Edit if you're not worried about lots of fancy options you could get this...

The New Base Price deal from TRL is M140i 3 Door Manual, in AW, no options. deposit £500 then 47 x £299 plus GFV £13,306. Based on 8K miles PA.
APR 4.9%

Obviously you can spec it up if you want...

Where are you finding deals like this? From BMW?

DannyW · 28 Dec 2016 at 11:06

Apple_man I do really appreciate your time and help but I'd only be looking for an xdrive 1 series with that much power

DannyW · 28 Dec 2016 at 13:38

Despite the thread title I am still tempted to lease one

My reasons are:
The warranty
The 2017 has a slightly better spec in standard M sport trim then a 2014/2015 one. (LED lights for a start)
Either way it's still going to cost me around £10,000 in my ownership, weather it be in leasing costs or depreciation
Plus If I own it there is the extra servicing costs and road tax. I know tax is cheap on these but I've heard the government are looking to tax diesels a lot more come 2017

I called in at my local bmw dealer and enquired about PCP, which from the main dealer was around £30 per month more then personal leasing