Can't afford to repair or replace car. Now wtf do we do?

[Royalgalas]

Our car's head gasket has gone. Repair would be £1200 - 1500 so it's effectively a write-off (we bought the car for £1650 in May and its MOT is due before Christmas).

Can't afford the repair, can't afford any increase to our monthly outgoings, so we can't get one on finance. We have £1900 in "savings", which is actually the remainder of a loan we received from a relative to do up our house. Our only option is to buy another heap-of-shit car using this money, the only buffer we had.

Our second baby is due soon. We planned meticulously to ensure we could afford nursery fees etc, but a few unexpected costs have completely messed us up. DH and I are both desperately applying for promotions but I'm so stressed about money, I can't sleep. I've been awake since 4am, in a complete spiral.

How do people afford to live comfortably? I see all these people in new cars and new clothes with 3+ kids and I can't fathom how anyone can pay for it. We're in decent jobs, we are incredibly prudent with our money (All shopping from Aldi/Lidl, second hand clothes etc, no holidays) and we're still barely getting by.

Is there any car option I haven't considered??

Did you buy it from a dealer? If so, as it's within 6 months of getting it, the fault is deemed to have been there when you bought it. You need to contact the seller and ask them to repair it.

See here: www.which.co.uk/consumer-rights/advice/the-car-i-bought-has-a-problem-what-are-my-rights-aAnMC5b0ZzJb

It’s a tough one my DD has a car she bought for £1400 three years ago and it’s been fine others are a crock of shit.

The only way to truly look at your household budget I’ve found is to post it on the debt free wannabe thread on money saving expert.

As part of budgeting you need to allow for an emergency fund to try and fend off these moments.

Good luck.

Can you get by without the car at all? It would seem obvious so I'm assuming you've already considered it tbh.

@NoWordForFluffy sadly not, bought it privately. Mechanic says there was sealant in it already so I think we've been diddled.

@lovelyupnorth I dont disagree, but we've trimmed so much of our outgoings already. Only a month ago we did a lot of switching/cancelling DDs etc and managed to claw back a bit. I don't know where else we can save - we're already going without so much. I'm going to try to find time to clear out the loft and do a car boot (hah, don't even have one of these!) sale, which might pay for Christmas and our daughter's birthday (again, mostly second hand).

We have had three years of terrible luck with three used cars - we've only ever been able to afford old ones, but I do my research and buy carefully. One had an electrical failure, one had a massive oil leak, and now this. Dire.

@TidyDancer we probably could for a bit, although daughter's nursery is a drive away so it would be tricky. But with a newborn and a toddler over winter, I don't think we could manage without one for long.

I think you need to look seriously at that option really, I know it's shit and not ideal but it's better than getting yourself in debt to have the car which seems to be your only real option.

Can you make savings on nursery while on ML?

@lovelyupnorth sorry - my reply sounded really dismissive. I will definitely look at those threads and forums, thank you. I'm sure there is more we could do, I just feel really bitter that we're never able to get ahead because something (usually a fucking car, ref my previous post) conspires to blast out our savings.

Cab you sell your car to we buy any car dot com type place? Even £200 to add to your budget should help.

And you definitely can't afford a bank loan? Even another grand or 2 spread over 2 years should get you a better car. I appreciate that this might not be possible, it's just that the type of car you'd get for £4k would be better than another banger.

That said my dsis always buys cars for £1000. The one before this one did her 10 years. Her latest car was £900. It's been going 3 years. She always buys ford focus, because of how cheap and easy to get the parts are.

I feel your pain. It's a horrible feeling. Sell as much as you can. Hope you get something sorted.

@TidyDancer pulling her out of nursery is about the only significant saving we could make, but it feels nuclear. She absolutely adores it there - she only does two days a week and still asks to go at the weekend! I'm also not sure I can cope with having two small kids on my own with no break!

We may be able to enlist a relative to do nursery runs for us, but it's a big ask and I hate relying on other people. Alternatively, we could look at dusting off DH's bike and getting a child seat for it. All options, I suppose.

Your local scrap yard will also buy it from you. You might get more than one of the other car buying sites. Have a Google.

Aah that’s so unlucky . I paid£750 for a banger that has lasted 4 years but won’t get through the mot again . I too can’t afford another so I do empathise. When we had to dispose of DP’s car we got more money for it selling on E bay for spares or repair then scrapping it . Do you have a friend or colleague who knows cars who could help you find another old one just to tide you over? I second posting your expenses on the money section of MSE.

Is there public transport where you live and work?

This is why I stopped buying old used cars and why I always think it’s a bad idea when people on here recommend an old car as money saving.

eBay things rather than a car boot. Make sure you know the postage costs before you list. I use old amazon boxes to post items out which I get from relatives.
Can your dh get a second job as a waiter or behind a bar in the evenings and weekends in the run up to Christmas?
A pcp might be a better option as you’ll have fixed costs and a car that’s reliable. I don’t think they are for everyone but if you can’t afford unexpected costs they can be a good idea.

@Royalgalas sounds like you've not had a good run with cars at all. We only buy from dealerships because we want to avoid exactly this outcome and usually have been able to find something in our price bracket. When you say "old" how old are we talking? Do you just need one to get from A to B or is there more? I'd be looking at very small cars if I was in your position, like a Suzuki swift or similar. Trade sellers who can offer finance - you might get a very low repayment.

get a calculator out.
if you walk a lot and take public transport mostly vs car ownership/maintenance/repair/insurance/parking etc.

we gave up our car a couple of years ago. it was an old one at the end of it's life anyway. we decided to try without. and it's fine for us.
we cycle a lot (I appreciate that not feasible everywhere) and have good public transport in the area. in addition we are members of a car sharing club for when we need it.

have you looked at car finance?
sometimes they work out good comparatively to an old banger.

There are lots of people struggling to get by, you're not alone!

For various reasons, we've had a huge drop in income this year and its been really tough. After being similarly ripped off buying a cheap car on autotrader im now sticking to used car dealerships only, where you at least have a car that's road worthy and has a guarantee.

Use your savings, you need a car. I pay car tax bad insurance monthly to make it more affordable. Use Go Compare to find the cheapest insurer, they have an offer of free excess at the moment.

I sympathise, I've spent many nights worrying about money, it's awful. X

Thanks everyone. Public transport around here is appalling, so not at option.

We actually took out a £5K loan to buy the second of our awful cars. Took six months of legal battle with the dealer to reclaim some of the purchase price. That coincided with us needing to do work on our house (new boiler), so we used a chunk of it for that work and bought our current, recently deceased car with the remainder. We've got another three-ish years of paying off that loan, around £120 a month. We really can't afford to take out any more credit.

I joked when we bought this car that only needed to live for as long as we were repaying the loan. I vowed never to buy a second hand car again, it's such a waste of money. Who wants to own an expensive, depreciating asset? If I'm ever well-off, I'm getting all my cars on lease agreements with servicing and maintenance. Truly, living the dream.

I appreciate the sympathy and kind words. Feeling spectacularly sorry for myself. The sole of my winter boots is coming off and I've just wept over having to try to repair them because I can't afford new ones.

Whoever said money can't buy happiness was talking absolute garbage.

I do sympathise OP, second hand cars can be a lottery. My DP always had old cars when he was younger, the first few were reliable, lasted well, some he even sold for same as he'd paid after 2-3 years and minimal maintenance cost. Then he hit a bad patch where car after car was a lemon. He did all the same checks and bought as sensibly yet at its worst ended up with 3 cars going kaput in the space of a year, and he'd already spent money on s couple of them. In the end a promotion at work allowed him to get a £10k loan and buy a 2 yo car from a dealer to end the cycle.

There's no pain free solution I don't think. The cheapest option is to manage without the car. But I can see how whilst in the very short term it's manageable, longer term it's a less attractive prospect. Ditto taking your DD out of nursery - will save you money but it will increase the pressure on you having both DD and new baby to juggle.

I know you said you've already pared your expenses to the bone but if there is even a tiny bit of wriggle room in the budget could you consider a lease car? My DS pays £150 or so a month (plus £500 as a one off lump sum up front) for his, which I know is still a lot to find if you don't have any spare money, but it does give you 3 years of worry free motoring. There are leases which are cheaper closer to £100 a month, his car had lots of extra bells and whistles. It may be completely out of reach but is something to consider maybe?

In the meantime, get your car scrapped asap (you should get £150 or so even as a non runner), as soon as it's gone claim a refund on your road tax and cancel insurance, again you might get a bit of money back. Not much but it could help.

Would the remaining £1900 be enough to settle the loan? You’re currently paying £120 to have that money sitting there. If you squared up that loan you could get a newish PCP car for the same amount so your outgoings would remain the same.

I agree it's a bit of a gamble buying cheap second hand cars but sometimes it's the only affordable option.

From my own bitter experience (I'm not a car expert) I've learned the following;
Try to buy from a dealership or garage
Go for a Ford or Volvo if possible. I've found those makes far more reliable, they seem to age better than the cheap French cars and cheaper to repair.
Go for cars with the fewest previous owners, low mileage for age, full service history, years MOT.
If you know any mechanics, ask them to check it over before buying
Go for the smallest car, engine power to keep running costs down.

Those aren't fail safe tips but might help.

I agree with the above; cancel tax and insurance, you may get a small refund. Sell your old car for parts. Don't use We Buy Any Car, they'll offer you peanuts.

It's awful when you're just about managing and something like a car packs up. I hope things improve for you.

That's rotten luck.
I think i would take your older child out of nursery tbh. You'll save so much money and won't need transport to take her. This may not have been your plan but you don't have a lot of options. You will cope.
Can your DH get to work on public transport?
Get food delivered. Go car free for a few months maybe?

@Royalgalas

I appreciate the sympathy and kind words. Feeling spectacularly sorry for myself. The sole of my winter boots is coming off and I've just wept over having to try to repair them because I can't afford new ones.

Whoever said money can't buy happiness was talking absolute garbage.

Money absolutely does not buy happiness. Not having enough money is something that can cause worry or unhappiness, but the money itself does not make people happy, it just removes some of the worries in life.

I would also recommend the Debt Free Wanabee forum on MSE, you might find it a bit brutal but they will almost certainly be able to save you money and the chances are it will not be am insignificant amount.

You need to get to the root of you problems though, are you both low earners, only working part time, living in an expensive part of the country? It would be worth putting your circumstances through Entitled To, to see if you can claim anything.
www.entitledto.co.uk/

You say you and your partner are both applying for "promotions", are you also looking at changing jobs, could he work some evenings or weekends? Many bars and restaurants are crying out for staff at the moment, supermarkets and some retail want new staff now and for Christmas, Royal Mail extra Christmas staff etc. so he should be able to get in 10-20 extra hours, even just ten hours on minimum would be another £350 a month (pre tax, around £250 after tax).

I'm sorry to hear about the crappy time you've been having.

I echo a PPs idea of trying to pay the remaining loan off, of possible.

Next, how good are you at meal planning and cooking? If you are reasonably competent, then I have two resources that I would recommend.

On Facebook, or she also has a book, there is "Feed your family for £20 a week". This has an 8 week meal plan, with shopping lists. There is plenty of variety.

At even more of a pinch, but needing a bit more organisation, there is Thrifty Lesley (just search for her website and meal plans). She has about 12 weeks of meal plans, for about £10 for a family of 2 per week. It's pretty easy to alter, to include children.

Even if you used these as a basis, and topped up with a couple of specific things for your DD, plus nappies/household products from Aldi/Lidl, you could be able to save a chunk on your food shopping.

I'd also recommend the free app Olio, which allows people to share food and things for free. Often, it is things that Tesco would throw away at the end of the day, which can safely be frozen. I've got school shoes, a bag of clothes and toys from it, as well as food. It shows these by how close they are to you. I've only got the free version, which works very well.

In terms of birthday/Christmas presents for your DD, I'd also recommend the Christmas bargains threads here. Often, there are excellent, time limited deals on toys posted there. I think we're on the "Bikes are Stollen" thread currently.

Lastly, have a quick explore of if it is worth scrapping your car, or selling for parts on eBay.

Good luck!

Even as scrap value you may well get more than you think, the price for second-hand cars has shot up recently because people can't get hold of new cars due to the chip shortages. It might be worth just sticking it on something like Motorway and leave it for a few days to see what interest you get, I did this recently with F it's far and was pleasantly surprised at the offers.