[webwysard]

In March when i decided to change my car, i didnt want to put any deposit like my previous cars where i normally put half deposit and half on finance.

So this time i just wanted to give my car and whatever they give me for it would be the deposit for the car i was after.

In rush of excitement i didnt bother too much to get a reasonable part exchange value of my car. which i realised after i saw my car on the stealers website in the for sale section. which was priced double than what they paid me.

So the amount of my deposit made the monthly payments a bit higher but i thought i am not paying anything extra in deposit so its alright to pay a bit more monthly.

Last week My wife found out that because of spending cuts by the Govt she is gonna lose out around 6 Grands of her annaul pay and the very next day my colleague at work rang me to break another bad news that there might be some redundancies at work but our department is safe but the way they gonna restructure it we gonna end up loosing around 5 grands a year.

Long story short the stealer sold me the car on BMW SELECT. mean after either 2 or 4 years i can either give the car back or pay them ballon to keep it. I wasnt comfortable to take this option of finance in the first place but being naive i took it.

So after last week I am seriously thinking that we gonna be loosing around a grand a month in monthly income so is it wise to pay £400 a month towards the car which isnt a daily commute and not even mine and if i wanna keep it i ll have to pay over £10000 after 4 years. or just simply hand it back and loose whatever i paid as a deposit.

The other option I am thinking about where I need your help and advice is, is it possible to have the terms of your finance changed.

For example if i put down few grands towards my loan to get rid of balloon and make the monthly payments low or just simply get rid of balloon.

Or the only option i am left with is either hand over the car or keep paying £££ every month ???

Just checked on my finance documents that i am payin 14.9% APR.

Your suggestions and advice is much appreciated.

[Mud]

Sell it?

[Boyd1963]

Sorry to hear about you bad luck.

I don't know if this applies yet but my understanding is that if you have paid over 50% of the initial cost you can hand the car back and walk away. I was told this by a Lexus dealer who was trying to get my monthy payments down to £400 a month.

Good luck with whatever you decide to do.

[creepy coupe]

If your finance is with BMW, you might find it not possible to change mid agreement.

Last month I tried to double the amount I paid them each month and they didn't want to know, so I ended up borrowing from elsewhere and paying BMW off in full, this worked out cheaper for me.

I doubt I'd use them again, with their high admin cost and inflexability and all that.

[rogerxp]

They are pretty inflexible and yes they seem to clock up 'admin' charges willy-nilly. Their rates are usually pretty keen though (once you've battled with them from outset ).

I was going to suggest looking at a personal loan to pay-off the BMW loan, you could spread it over a longer period to reduce payments also, but you could just be replacing one problem with another i.e. not getting you out of it; it's merely a way to reduce your monthly outlay - depends how long you anticipate keeping the car (no point in reducing payments too far as otherwise depreciation will just erode your cars value quicker than you can pay for it).

Only you can judge how much you can afford to spend on your car then work backwards.

[webwysard]

Originally Posted by rogerxp

They are pretty inflexible and yes they seem to clock up 'admin' charges willy-nilly. Their rates are usually pretty keen though (once you've battled with them from outset ).

I was going to suggest looking at a personal loan to pay-off the BMW loan, you could spread it over a longer period to reduce payments also, but you could just be replacing one problem with another i.e. not getting you out of it; it's merely a way to reduce your monthly outlay - depends how long you anticipate keeping the car (no point in reducing payments too far as otherwise depreciation will just erode your cars value quicker than you can pay for it).

Only you can judge how much you can afford to spend on your car then work backwards.

I am not much concerned about the monthly payment but the balloon at the end of the term which is around 10800. so if i pay that at the end of the term i.e 48 months, the car will cost me £37000, where as the actual price was £26000.

I think the best thing is to pay off the car and sell it, might get couple of grands back.

Anymore suggestions ?

[NFS]

Sounds like you have made a fairly poor deal.

You need to look at the numbers and see if you are better off cashing out and taking a hit now, or if your situation will be better if you hold fire and sell the car at some point in the future.

It all depends on where you are in the depreciation curve.

[ss134]

Originally Posted by webwysard

I am not much concerned about the monthly payment but the balloon at the end of the term which is around 10800. so if i pay that at the end of the term i.e 48 months, the car will cost me £37000, where as the actual price was £26000.
I think the best thing is to pay off the car and sell it, might get couple of grands back.

Anymore suggestions ?

This is a very poor deal IMO and i would look elsewhere for finance. Just to quantify...i have financed part of my new car with BMW and on 19K over 48 months i am paying a total of 22k back.

Sounds like they are trying to take you for a ride - why not look for a better finance agreement with another broker and pay off BMW?

[webwysard]

Originally Posted by ss134

This is a very poor deal IMO and i would look elsewhere for finance. Just to quantify...i have financed part of my new car with BMW and on 19K over 48 months i am paying a total of 22k back.

Sounds like they are trying to take you for a ride - why not look for a better finance agreement with another broker and pay off BMW?

do you know any broker or anyone who could sort this mess ?

Other option i am thinkin is to get a loan and just pay off the car and put the car up for sale if it sells at a reasonable price then good if it doesnt i can keep it without paying the ballon at the end and even that way i ll b saving good 6 grands.

[BGM]

i like oracle finance..

give them a bell

[misterS3]

Try jigsaw...used them for the datsun