Buying a Maser and using finance.

[GeoffCapes]

Was having a conversation with 'my wife to be' last night, and she asked when I'll be getting my Maser.

Obviously I said "when I have saved enough cash for it". Which to me is the obvious answer.
However, she threw a curve ball at me which I was not expecting, by saying "why don't you get any shortfall on finance as that way you'll get one sooner".

Now there was me think she was the sensible one, which is obviously not the case.
However, it did get me thinking about potentially doing some kind of finance deal, in order to get a Maser in the garage sooner rather than later.

Was just wondering how many on here have financed their Maser, and if so, what sort of percentage of it did you finance?

I have enough money coming in in the next 6-8 months to pay off any finance so the devil in me says "do it!" but the angel on the other shoulder is saying "save for it".

Your thoughts would be appreciated.

 

[highlander]

swings and roundabouts mark. If you go credit/loan route for some of buying price just make sure you have enough left over to cover likely running costs after monthly payment comes off. Personally I'm an instant gratification person, think most men are in reality , so without a doubt I would go finance route.......I await some pics in anticipation of confirmation of my IG theory

 

[allandwf]

I'm the opposite, personally, I would wait and save for it. There is no clear cut answer, your choice.

 

[BigR]

I waited and saved. But, I have my Merc on a PCP. Man-maths showed me that this was the correct option!

Ultimately, it comes down to what you feel comfortable with. There's a part of me which is sensible, a part which likes the gratification sooner and a part (related to that) which says 'within reason, try not to have too many regrets - and you can always sell it if you need to'.

 

[Wack61]

There are some very good finance deals, I borrowed £7500 3 years ago and paid £506 interest over 3 years through sainsburys bank

The only thing you have to watch is early repayment clauses , you might find its no cheaper than to let it run

 

[Gp79]

I'm old school, if you don't have the cash you shouldn't have it.

They are expensive enough to run, without paying finance on top, if the car was appreciating in value then that is a different story.

 

[hoyin]

I would only do finance if you have the cash and wanted not to tie it up in a car but on an investment to earn you more money.

I too like old school only buy if you have the cash. But I can see a lot of people having the cash over time as their income can cover it, but not wanting to wait for it to accumulate. Personally I would always wait. I am a great believer in rainy days and preparing for them.

 

[nfm]

Sounds like you have money coming in, so you aren't over leveraging. I planned to buy mine at 50 and at 48 the wife said "what are you waiting for".

As finance is sooo cheap just now and you have funds coming, get on with it and realise the dream now!

 

[Steve GS]

Nothing wrong with a bit of finance. It wouldn't of worked for me as not having payments to make on the car gives me the cash to run her.

 

[lofty]

It's a personal thing, no one has the correct answer. I used to tie large chucks of cash up in cars but after time I realised it could be used for better things, i.e use it to make money not loose it on cars. As long as you don't get stung on the interest rate then theres nothing wrong with finance. Halifax do a car buying scheme now with an APR of around 3.2%, it's only for Halifax customers and I think they only deal franchised dealers so may be no good in your case. Oracle do finance on private sales and will work with pretty much any dealer, so that's also an option. Bank loans are usually the cheapest way to borrow if under £15k

 

[outrun]

Got my Ghibli on 2.9% which was too cheap to ignore. I have bought most cars outright in the past but am now edging towards not doing that for similar reasons to Lofty. While money is cheap to borrow, I'd rather my savings where there in the background. I call it my "F%^K YOU" money which means if work is not going well, I have enough to be able to say F%^K YOU.

I own the BiTurbo but it's not worth a whole lot and it's not easy to finance old cars, except via regular bank loans which I try to avoid. There's a world of difference between secured and unsecured finance in my mind.

 

[mjheathcote]

Fortunately over the last 12 years I haven't lost much money/needed much to change the toy cars so not needed any finance.
Nothing wrong with finance, when younger didn't really have much choice but to finance and that was when interest rates were 10-15% so it did cost heavily.
Today, money is cheap, so why not, as long is there is plenty of down payment say 50:50 if things get sticky, you can sell and cover the balance easily.
We have a few friends that have a couple of cars on personal contract, that to me is silly, yes you have a new car, and the payments effectively pay for the initial new car depreciation. New car depreciation is flushing money down the toilet IMHO.

 

[D Walker]

I thought about this and changed my mind half a dozen times, in the end I did it old school.
I do do have rainy day money or as mentioned earlier F&@k you money.
As mentioned earlier check early repayment clauses as I believe many carry the 7/8 interest rule.
Perhaps interest free credit cards!!! Prob got a year then!!

 

[highlander]

Banks are higher than peer to peer, zopla for example can offer far better rates for a loan than any of the banks. Of course, as athol said, there is a world of difference between secure and not secure rates.......unless I was 100% certain I could always make payments, then secure would be probably out meaning a slightly higher rate.

 

[D Walker]

The other thing to consider Mark, it's September soon, then Winter, it would be gutting tu buy and then sit in the garage, which would mean come April you could buy outright.
The only problem is if the " must have" car comes along!!!!!!

 

[highlander]

I think Mr Walker has hit on the plan for you. Finance can be sorted in as little as a few hours so if the "right" car comes up over the winter, finance it, if not you will have saved up the cash......win, win in my books!

 

[conaero]

i generally take out half the difference of the car i am selling to the one i am buying:

GS TO GTS

GS sold for £30 l, GTS cost £52 so £10k in finance.

When i sold the GTS i bought an office with the money so i had to start my 20 year car fund from zero again and i employed the same principle.

So the finance is paid off this Xmas and i have managed to get back up to a £30k GS (ok a little bit less) in 3 years which i am happy with as Maseratis and more so GS's dont devalue so i have all my funds still in the car.

 

[safrane]

Each of us are in different positions and as such so are their financial states...do what suits you and also recognising that there is only one way rates are likely to go.