18 y/o DS wants a car

[user20]

Hi

My 18 year old DS is 18 and has just got himself his first ever part time job. He will be working 12 hours per week on minimum wage (£6.15/hr)

He passed his test 6 months ago and hasn't driven since. He has set his sights on a 2018 Vauxhall corsa limited edition and costs £150 a month for 4 years + £100 deposit on a finance contract.

With this job he will be earning £295.20 a month, Would he be Able to afford the corsa?

He will also have to pay for fuel, maintenance and his road tax which is £145 for the car he has his eyes on. His insurance will be just under £2000 so me and DH will contribute £500 to it and he can pay the rest himself.

He says he is desperate to get a car ASAP, I have said I don't think he will be able to afford it with only under £300 a month, he is using his savings account money to pay the insurance which is what I put away for him years ago and was really only meant for educational purposes eg uni loans etc.

Should he wait until he is earning a bit more? He also wants to pay his monthly phone bill, his gym membership etc

Is he still studying? Why is he only working 12 hours a week?

I can't believe you are seriously asking if it's affordable on less than £300 a month.

Of course is isn't.

Who is taking the finance? Because he won't get it, so whoever that is, can they afford it?

Well it depends. Does he pay digs, any bills etc? What's he doing with his other hours in the week?

@fedup21 he's finished school but he will he going to FE in September

Don’t see how he can afford it. He should maybe get a cheap runaround. When he earns more he can upgrade.

He could have a car but not be able to afford to go anywhere whatsoever with it. And maybe not eat

@justbeniceplease the finance will be in his name

I highly doubt he will get approved for finance in his name especially earning so little.

It’s not quite as simple as just a car now is it?
Are you really going to reward him with a car?
You have had very good advice one your other thread about your son, I suggest you go back and read it, a lot of people took an awful lot of time to help and advise you!!

And no car!

@YerAWizardHarry how does the finance procedure work?

Do you not just have to be in employment of some sort and then they approve you?

It would be a pretty shit finance company that gave an 18 yo a loan that costs him half his take-home, surely? On a depreciating asset?

I'd take him into the dealership to discuss it, it's unlikely he will get the finance because he probably won't have a good enough/any sort of credit score yet. They will be able to go over his affordability and potentially show him a car that's more suitable to his wage.

@Perch if he's paying the car himself then how can I stop him

the finance will be in his name

It's incredibly unlikely he will get this finance.

Nope it's not doable.

@WhiteLightTrainWreck yeah I thought you'd need a credit score, he has never paid anything before e.g a mobile phone contract or gym membership so he doesn't have a score.

He really loves the Vauxhall Corsa but I'm afraid he will just have to take what he can get at this stage.

I passed my test when I was 20 and I didn't have a car until I was 25. I don't know why there's such a big rush

But he can’t pay for it himself! You still pay for gym and mobile phone? He doesn’t even pay for that! He didn’t put in the effort to attend school, do you really think he will stick with a (probably tough and not pleasant) min wage job? Come on OP, wake up honestly, you are not doing your son any favours here!

He needs to have enough coming in monthly to afford the car including the tax, maintenance and insurance. Because if he pays out of his savings this year, what’s his plan for next year? To be honest, he’s almost certainly not going to be accepted for the finance anyway so that will probably put a stop to the whole scheme. But no he definitely can’t afford it, especially not with a phone bill, gym membership and presumably some sort of social life. Not even close. I’m surprised you’re even having to ask to be honest!

I doubt he'd pass the credit check. My 18 year old Ds earns more than double that part-time and took out a phone contract for £65. Failed the credit check at Carphone Warehouse. He passed the credit check for another contract at the same price but I was surprised that it was deemed unaffordable(or maybe it was the lack of credit history).

Most working adults aren't driving a 2018 car. I bet that there are older Corsas for much less considering how quickly cars depreciate.

A 2018 car for a kid who's just passed his test? Nuts!!

And no, he won't be able to afford it. And the danger is you'll be picking up the financial slack.

Just realised who you are. He should use this money to go towards retaking level 3 qualifications.

@Perch he hasn't started the job yet as he's just got it so he will take over the gym and mobile phone when he gets his first wage.

Yes I agree, I've had doubts myself as to whether or not he would attend his shifts or not but he has sworn that he wouldn't take that behaviour into a work place as he knows he'd be sacked and no more money.

I've told him to apply for better part time jobs in the meantime and stick at this job until he gets a new job with a better hourly rate. So I don't think he will be at this job for very long (hopefully) he can use this as a starting point. A job in Tesco would be better paid

2018 car for a kid who's just passed his test? Nuts!!

Mine bought a 19 plate. Not nuts. Absolutely fine if they can afford it.

He isn't going to get finance.

There's no way that he will pass the credit check on a 12 hour per week part time job with no credit rating, so as long as you don't guarantee it or take loan out yourself for him, then it's a moot point.

You need to be encouraging him to save up for a cheaper car, nearly new cars are for when he is earning a decent wage.