Broken car on finance

[Peronipony]

What to do now?!

I bought a car during Covid pricing madness with a bank loan. I still owe £8k.

The car has now been issued a death warrant by two garages. Both have told me to get rid. Hopefully they can bodge it enough to part ex.

I can px it for around £4.5k. I have no cash to fund the shortfall. I literally can’t do without a car as I work and live rurally, travelling between appointments. Lots of these appts are on a farm as I work with animals so I can’t travel with all equipment on a bus before that’s suggested. I do on average 40-50miles a day and can’t keep loosing out on work because my car is in the garage.

Does anyone know if I can add the negative equity to a new pcp? Cinch won’t allow it but would a normal garage (even though I’ll pay twice the price for a car?) If not what are my options, do I have any at all?

Please be kind, I’m incredibly stressed and know it was stupid to buy a car with a bank loan but at the time I thought I was being sensible not getting myself into a lease situation. I literally have no idea what to do as I’ve got an 8k loan for basically nothing. Any thoughts?

I don't think you can roll a bank loan into PCP you could get another bank loan use part of it to clear the last one and the remainder to get a new car will depend on your credit rating and affordability etc though

If it was a bank loan to yourself and not a car loan, you can just carry on paying for the bank loan and go buy yourself another car.

If it was a car loan, then any large reputable dealership should be able to add your existing balance to your new car, your payments will be higher and for longer.

It’s a personal bank loan.

I can’t afford to pay the bank loan and a pcp, I would need to roll it into one payment if that makes any sense. So if I’m negative 4k (not exact but close) then I need add that to a new car, so maybe pay £20k instead of £15k but in one payment.
Paying 2 payments would be much more expensive, as I would be paying the personal loan for another year alongside the new finance agreement.

I appreciate everyone trying to help.

What a mess 🙁

I would say part ex for a £4.5k car, until you’ve paid the bank loan off. Don’t put yourself further into debt. What is actually wrong with it? I’m a mechanic and might be able to advise. is it an ecoboost fiesta? So many of my customers are having negative equity issues on them at the moment.

That’s not a bad idea! I’m just worried that I’m going to end up with another £4.5k banger, that amount can barely buy my anything with the prices at the moment!

On the other hand depreciation will be very low. Then pay off the bank loan as quickly as possible trade in the £4.5k car for what you want on finance. Do you have any car savvy friends who would help you chose a sound cheap car?