My next car?

[petey]

Wait with the wagons, and don't make any decisions just yet. The new Commodore is around the corner - it's going to be worth the wait - the interior is amazing, especially the dash. I'll say nothing more than that.

Sounds biased.

[Crowella]

Well I was pleasantly pleased with the room in the Octavia lift back, enough to prevent me from the falcodores. Still tossing up between the wagon and the lift back or even looking at a little more power/larger wheels/more sporty Either way, $30,000 is going to get me a fair bit with this option.

Next thing to look at after my family trip is financing. Any tips on this? I'm looking at about a third cash, the rest elsewhere. Is this reasonable, or should I come in with more cash?

[Exar Kun]

Speaking of finance, Renault are offering 0% finance with $199 a year fixed price servicing at the moment! Unfortunately it doesn't apply to the RS models. Holden are doing 0.5% at the moment.

With the finance - come with as much cash as you can really.

[Crowella]

That is fair enough. See, I can get 2% finance at the dealership which sounds nice if you simply compare it to say, 10-12% at the banks. Surely there is a massive catch?

[Exar Kun]

There's quite a few low interest deals going around. No catch really - the finance company is probably being subsidised by the manufacturer. The thing is you may not be able to haggle as much bringing less cash. But I think with 1/3 deposit and 2% finance you're doing alright anyway.

[Crowella]

Well 2% is subject to approval. Naturally odds are against me being a 21 year old full time uni student. However, I am also own/a director in a small business (odd story there), have three part time jobs which I've held for more than 2 years so I hope that can come to some use. Never had a loan application before. I don't even have a credit card so I've got to be careful with how hard they'll try and hit me interest wise.

The other option was getting it through the business but I feel no way I can justify that.

[Bauer]

The 2.99% offered by Toyota (for example) has a 48 month maximum so if you can afford to pay the loan out inside 2 years, great. If not, then you are up for a balloon payment at the end of the contract.

Also check to see if the comparison rate is 2% as well. If it isnt, there are other charges (that should all be disclosed up front anyway)

[Crowella]

I can't see 2 years being too comfortable for me but that will depend on how much I can save before it. Shame my current car is worthless, even in a private sale.

I'll be asking the dealer what they can do for an offer. Still waiting on a call from them next week.

[Crowella]

Well, I killed the gearbox linkage in my car tonight while working. Got stuck in reverse so I reversed it 2km home. Achievement get.

Might have to visit my money options this week. I'm heading overseas in a month so that throws everything out but this new car is looking sooner rather than later.

[Crowella]

Yep. My little 121 is dead. Not worth the $2-3k for fixing everything that is wrong. Taking the plates off and it is going for scrap later in the week.

Going to have to keep an eye out for some dealership specials because I might need to go for the best deal now. Also debating whether or not I should get a car before I travel overseas. If that is the case, I have a month without a car which is pretty inconvenient since I tend to work as a delivery driver and the train adds two hours overall to my travel for university.

[dvestate]

Maybe look for a super cheap car with time rego for the month. I have a mate that seems to get great cars for under 1k

Sent from my GT-I9100 using Tapatalk 2

[Crowella]

I considered buying a cheap used car but I think it'll be delaying the problem more so. I'm truly over having worn out cars.

Found one that I want. With metallic paint, reversing sensors and other little goodies, $25,900 for the liftback. I can get it in two to three weeks if I buy this week.

The finance is being sorted since the dealer offer was rubbish. First offer was 12% over 5 years. I can do so much better.

[Exar Kun]

Nice price! Is that the 1.2TSI?

[Crowella]

The 1.4TSI Same as the one I took for a test drive today. Unlike the Yeti which I got to try with the 77TSI and DSG, the Octavia with the 6 speed manual has enough go for me, easy to turn around and get through traffic. Just felt really, really great to drive.

[Exar Kun]

Ahh excellent - weird that the Yeti gets the 1.2 in a car that size. I imagine it'd be pretty underwhelming. Have fun with the Octavia. A friend of mine got the diesel wagon recently as a family hauler and it's doing great service.

[wobblysauce]

1.2 is 2WD with a Haldex clutch acts like a locking diff, which is all most need.

[Crowella]

Well the 1.2 wasn't underwhelming as such, just suffered a little bit of turbo lag in my opinion and it wouldn't be enough to over take quickly on the freeway. Also, after trying the manual, the DSG doesn't feel like the better option.

I got a call just then that I've been approved. I will try knock the financing down to 9% and it'll make me happy. Going to see if we can get it under our business too to cover some of the expenses. All in all, things are going well.

[dvestate]

I figured if you just needed something until after your holidays then a cheapie would be an idea. Looking forward to the pics and review once you get it

[Hz-Lab]

20k car loan at 21? Will this 25k car bring any more to the table than a 15k used vehicle? I learnt the hard way, and so have so many others, big loans at an early age just end up money pits in which you eventually end up selling the vehicle for less than what is owing.

A negative viewpoint yes, and if it's all been considered then sure, go for it. It's not something I'd advise though, in saying that though, I never listened to anyone either lol

[nutty]

Either did I, I got 25k at 23.. just paid it off

[DexterPunk]

I haven't had a car loan as yet. I'm not a fan of having to pay interest. The only financing I've done is interest free on my cameras and current computer. That will all have to change when I eventually get into a position to buy property. But until then I try not to loan money or use credit.


Sent from Han Solo using TK-421's phone.

[Exar Kun]

If you count refinancing etc, I've just paid off the loan I got for my first car that I bought myself 8 years (and 6 cars) ago. Finally debt free! In my mind this means I can spend all that used to go into car loan repayments on improving the current car. For some reason the wife does not see things the same way...

[ysu]

I'd actually never get a loan for a car. Car is the worst investment one can get, usually. If I can't afford it - I don't buy it. Otherwise it's money down the drain. But I'm not 20 ... for over 20 years now So I can't really feel the same way anymore about a car, nor about money.
But I'd advise against it, too.
Loan is ok for a house - that'll most likely keep its value - it may even increase. So the loan goes towards a decent investment, and can be clawed back. With a car, it's a total loss you have to pay the bill for. Doubly so.

Edit: oh and a new car is even worse. I simply don't buy new cars - a year or two old can usually be had for 30%-40% cheaper....

[Vilante]

Some people aren't in a position where they can pay cash for a car Ysu. Sometimes a loan is the only way, bad investment or not.

[Crowella]

A car isn't really an investment. The only way I could justify it as an investment is in my delivery job.

Ill know shortly if I get it. So far so good. If I had time to save, I could have half of it in cash by this tine next year but its not worth holding out.