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Car finance with bad credit

(19 Posts)
Alfiemoon1 Tue 11-Apr-17 20:39:35

No judging please can anyone recommend a car finance for people with bad credit. We desperately need to change dh car it is on the blink again and we are constantly spending money on it plus it costs a fortune to run it's a 2.2 petrol old car so drinks petrol high tax etc. We have a dmp with stepchange so not sure how that will affect us. However my car finance in my mums name finishes this month plus we are now dog walking for a friend earning £100 plus as week cash in hand so we can definitely afford the payments. We were saving the money to buy a car cash but his brakes have gone so we need to get shut asap rather than saving up any recommendations? My mum is now over 75 so unlikely to be able to get us a 0% finance deal like she did with my car and due to us both working we need to cars

19lottie82 Tue 11-Apr-17 21:58:19

Is it not against the terms of your DMP to take out any more credit / finance?

Alfiemoon1 Tue 11-Apr-17 22:31:28

Yes I suppose so but we are spending more in petrol tax and repairs I would actually reduce our outgoings swapping his car and they aren't aware of our dog walking money which is extra to our wages. I am not talking about a flash car but a smaller more economical car. Was happy to wait until we had saved enough but the brakes have gone the suspension needs looking at and it's mot is due soon just feel like I am throwing money away at it all the time but we need 2 cars

19lottie82 Tue 11-Apr-17 23:12:31

Even if you do manage to get finance with your credit history, the rate you will be offered will be so horrendous it really won't be worth it finiancially getting a "new" car.

Pay for the repairs on this car and save up your dog walking money until you have enough for a second hand more economical car (under £1k) and sell the old one too.

Getting into more debt with a horrendous APR is the last thing you need. I'm sorry if that's not what you want to hear, and I'm not judging, just being realistic.

Ellisandra Wed 12-Apr-17 06:55:25

How much have you got saved already from the undeclared £100+ per week?

How much spare per month will you have when your current finance finishes this month?

You can get a 2005 Focus 1.6 for under £400. I've just given mine to a friend - it was very reliable.

You should have enough money saved for that. Even if you haven't and started the dog walking last week, you're maximum 4 weeks away from having the money.

Bus/walk/bike/creative car sharing until you have the money. You don't need more credit!

BastardBernie Wed 12-Apr-17 07:25:47

You're nearing the end to another finance contract, one down and _ to go! That extra money you will havr freed up will be bliss, surely? Don't get into another crappy credit arrangement for four years, it's not worth it.
If you sign up to AA breakdown cover, it covers you for vehicle repair 3 x a year for the value of up to £500 each claim. I think it's £20 a month and the direct debit value is unaffected by your claims. It's worth a look as it's saved my car time and time again without fail.

itfcbabe Wed 12-Apr-17 08:38:04

We went through Fowlers car finance, we have awful credit and got a 60 plate zafria with no deposit

Alfiemoon1 Wed 12-Apr-17 19:42:33

Thanks will have a think what to do don't want an old banger that is going to cost us a fortune in repairs like this one is

Ellisandra Wed 12-Apr-17 19:49:20

You may need to adjust your thinking about "old bangers"!
The £400 / 12yo Focus example that I have really isn't an unreliable old banger. Mine cost very little each year and I only gave it up because I fancied something different.

memyselfandaye Wed 12-Apr-17 19:50:19

Look on your local fb selling pages. Ours often has 55/56 plates with a long mot for aroune £600.

Surely better to buy a cheap one with a long mot and save you £100 for a year and buy something decent with the 5k?

19lottie82 Fri 14-Apr-17 08:32:34

I take it you're not planning on buying a brand new car? If not then you're not guaranteed reliability.

Seriously OP I don't want to judge but you took out a DMP to clear your debt and sort your life out and now you're wanting to take out more debt? That's just 1 step forward 2 steps back.

As others have explained you done NEED to take out credit for another car.

donajimena Fri 14-Apr-17 08:35:41

I'd just buy one outright as others have said unless you can afford new (which you can't) you are no worse off spending 500 or 3k. Its pot luck with second hand cars.

Fairylea Fri 14-Apr-17 08:44:22

Another echo ... an old banger can be quite good if you don't spend too much and just go for something with a low ish mileage and as new as you can afford. I've had all sorts of cars. My first car was a £450 0.9 litre fiat and it ran with hardly any problems for nearly 5 years! Even went to London and back to Norfolk many times in it! grin

Viviennemary Fri 14-Apr-17 13:02:30

People always need something else. However, you do need a reliable car. If you are sure you can pay off the debt could you ask your Mother or another relative to go guarantor for you on the loan then you might get a more favourable rate. But really why have you got yourself into this mess when you are both working. It's just debt and more debt. And you have already got a plan in place. Ideally you would do without one car. Plenty of people do.

Pebbles1989 Fri 14-Apr-17 14:43:59

A lot of people on this thread have already given advice you probably don't want to hear, but your OP partially explains why you got into so much debt in the first place. I'm another one here in an "old banger" but it's one of the reasons why I'm able to save so much per month. I could easily afford car finance but I'd never do it.

Pebbles1989 Fri 14-Apr-17 14:48:51

P.S. I hope you're declaring your extra £100 a week "cash in hand" to the taxman and the benefits office.

Ellisandra Fri 14-Apr-17 15:21:59

I'm going to put my guess on: not.

Alfiemoon1 Sat 15-Apr-17 15:14:13

Thanks for the advice we are going to look at our options. I don't claim any benefits so don't think i need to inform them. I am not doing this a as business just helping a rich friend out taking her dogs out with mine and she insists on paying me there is no formal arrangement or contract so would I need to contact the taxman?

Pebbles1989 Sat 15-Apr-17 23:46:14

Yes, I'm afraid you would need to pay tax on it. Obviously it's up to you whether you declare it or not, but technically you should as it's a form of income.

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