Pay off a car?

[Starling57]

I have a car which we have been paying for monthly for the past 4 years. Soon I’ll either have to give it back or pay just over 5 grand to keep it. I’ve suggested to my husband that the car is too small for me now and with grandchildren ( who I look after while their mums are at work) I’m finding it difficult to get them in and out the car. I said how about just giving the car back, getting a slightly bigger one and just pay monthly on it again. My husband has refused point blank and said that we’ll pay for the car I have now, sell it, then get a bigger car. That the amount we make on the car will be more than what we have to pay off. I just can’t see the point in paying for it and still starting again with monthly payments? AIBU? It’s causing a lot of arguments at the moment. 😔

Your car will most likely be worth a lot more than the £5000 pcp payment.

My pcp on my car was just over £7500 and my car is worth over £13000 so handing it back meant I would be losing out on well over £5000 of equity.

Paying off the car or using it as a trade in is the much more sensible option and will save you a lot of money in the long run.

That’s dead right. There is a shortage of almost all makes so secondhand prices have rocketed. We bought a new car a year ago which is today worth about £5k more than we paid back then. Handing your car back will make the dealership very happy and you a lot poorer. Sadly on this one occasion only your DH is right.

Thank you so much for your replies.
I think deep down I know it’s probably the sensible thing to do. Just having to part with that amount of money is a bit 😅
Thanks again, much appreciated.

But if you buy the car and sell it yourself, you should profit from the deal, whereas if you hand it back you're potentially giving away thousands of pounds.

I've read good things about Motorpoint on here as somewhere who will buy your car off you. Send them the details of the car and see how the price they offer you compares with the amount it will cost to settle the PCP.

Plus if you're buying another larger second hand car, chances are that will also have increased in price, so you need to make money on your current car to help pay for another one.

Is it a 'cant be bothered' reluctance to sell the car yourselves or is it something else?

Whilst for some, selling your car can be a pain, you have a few choices which can make it easy.

1. Traditional sell car privately

2. Trade it in. Just because you owe £5k on it doesnt mean you cant go to ANY garage and ask them to put a deal together. It is exactly the same. They can give you a trade in value, £10k for example. Settle the £5k owing and put the other £5k towards whatever ar you are looking for.

3. Sell it to trade. There is absolutely nothing stopping youdriving into a main dealer for the car you have and asking if they want to buy it. 4yr old car is prime stock and if they are interested, again they can settle finance and give you the balance to go off and buy a new car elsewhere.

Its all very simple and although we dont know the car or condition, chances are it is worth more than the £5k settlement. You would be walking into whoever you return the car to and just handing them a bag of money if you hand it back.

Ahh, its the parting with money thing. YOU DONT HAVE TOO...

A garage/main dealer will happily settle the finance on your behalf and give you the balance regardless of if you are buying a replacement. They are fighting for stock at the moment.

Even those WBAC spots will do it too.

I parted with £10,500 CASH 3 month ago for a second hand car lol I was 😅 lol so you should feel better now lol