Through one reason or another my credit rating has been hammered over the last couple if years but am now looking at getting a newer car. What are my options? Repairing my credit rating is something I’m working on but it’s going to be a lengthy process so I’m just after advice regarding the here and now.

Who/where would I go to? Am I just going to get hammered by the interest rate on repayments? Do I have to go to a specialist?

Save up?

My Bank (Lloyds) turned me down for a loan to buy a caravan a couple of years ago, so I used Black Horse. They had no worries & the intrest rate was actually less than the bank. They did try to push the PPP but I just said no. I’d happily use them again.

in true STW fashion.

Why are you spending money you cant afford?

Why would you consider borrowing money if your credit rating is stuffed. More debt will make it worse.

Bangernomics? Plenty of respectable cars that will pass MOTs available for £500 – £1,000.

Thanks chaps but I’m really just curious about the original question. Do too many miles to go down the bangernomics route.

Have a look at leasing? you may have to stick down a hefty deposit if your credit rating is really bad though.

VAG diesel 6-12 years old would suit you perfectly for high mileage low price motoring.

Unfortunately there is no easy answer, the world of credit is fickle and no credit lender will give you a straight answer. ie they will say the only way to tell is apply for credit with us. Great if your successful, limits your chances further if unsuccessful.

Mrs FD got a brand new VW on VW finance whilst still within bankruptcy. However her actual credit file had been perfect for 5 years and was in a secure very well paid job.

Afraid to say you may be better saving £2k etc and buying a Mondeo. Your paying the price of not keeping credit in shape and have to accept that in the short term.

I would have no problem doing loads of miles in a Banger. £1k would get you a 2l diesel Mondeo or similar with less than 100k on the clock, no reason why it wouldn’t run for the best part of another 100k.

Another +1 for a diesel VAG

They just go on, and on, and on…

I would have no problem doing loads of miles in a Banger. £1k would get you a 2l diesel Mondeo or similar with less than 100k on the clock, no reason why it wouldn’t run for the best part of another 100k.

Just bought a Jag X-Type, only 78k and £1100 – certainly not a banger in any sense except the price.

Yeah its amazing what cars you can get for the money especially if you look outside the usual MUST BE LESS THAN FIVE YEARS OLD OR ITS SHIT mentality.

you can pick up high spec volvos/mercs/bmws etc etc that are 10 years old with FSH and in great conditions for 1k.

5 years ago I bought a 2004 Daewoo Tacuma. 40k on the clock with full dealer service history. It won’t win any beauty contests but it’s big, practical, decent enough to drive and is used purely for humphing my bikes about. Cost me £1,500 and in 5 years I’ve spent a grand total of about £500 on it, other than MOTs and an oil & filter change every year.

I keep thinking about splurging on a “nice” car but given what it gets used for, and how reliable the Daewoo’s been, I’m loathe to part with it.

Ditto here. After 20 years of buying “nice cars” I’ve finally woken up to what a massive waste of cash new ones are. Great if you can afford it but not worth getting further into debt for IMO.

I’ve had my current motor for just over 6 years and, all being well I reckon it’s got at least another five years family motoring left in it.

*better get saving now as I’ve obviously just tempted fate and a massive maintenance bill is just around the corner. 😯

Ditto here. After 20 years of buying “nice cars” I’ve finally woken up to what a massive waste of cash new ones are. Great if you can afford it but not worth getting further into debt for IMO.

I considered these options available for a nice car very recently (my first car):

Brand new company car – around £300-400 per month in tax
Brand new lease car – around £300-400 per month in finance payments
Second hand car with loan – around £200-300 per month in finance payments
Older second hand car with cash – £4k up front

I’m now happily driving around in an 8 year old Merc estate which looks and feels about 4 years old, with no ongoing monthly capital linked cost.

I’ll probably sell it in two years for a couple of grand. That works out at £83 per month 🙂

True, it’s more likely that things will go wrong and I’ll spend more in repairs, but the depreciation on new cars (or even nearly new cars) is just bonkers.

It was a no brainer for me (and quite uncharacteristic too!)

Already got a vw touran tdi which I am keeping, but it’s an 05 so want the second car to be less than two years old.

Do too many miles to go down the bangernomics route.

I don’t understand that. I’ve done 50k miles in £200 cars without so much as servicing them. If you use your head when buying, clocking up a few miles really shouldn’t be a problem. Most will be as reliable as new cars in my experience.

Change your name to Greece by deed poll.

It’s easy to get credit no matter how grisley your credit record is. The trouble is, the worse the record, the more you pay.

It’s easier to get finance through a trader as it will likely be secured on the car. The trader likes it as they get a bung from the finance house. You will pay for both of these things. And if you don’t pay, Repo man comes calling.

For all the people saying save up, buy what you can afford, heres a situation.

Get made redundant, spend all your money, get a new job, then discover the car you need to get to work is basically dead and needs to be replaced.

So how do you get to work, to save up for the car you need to get to work?

Buy a cheap one?

What does ‘basically dead’ mean?

Won’t getting credit & making regular, timely payments actually help to repair the OP’s credit rating?
So, could be worth doing…

So your credit ratings stuffed, I guess because you’ve failed to make payments on previous debt and now you want more debt because you “need” a car that is less than two years old.

After throwing lots of money away on cars (that I’ve had wanted to save for) I recently bought the cheapest car I’ve every owned (£850)

Its also been the most reliable and often drives nearly the full length of the M5.

Thanks chaps but I’m really just curious about the original question. Do too many miles to go down the bangernomics route.

Again, daft answer. Perfectly possible to run bangernomics on some perfectly usable “bangers” that don’t require a loan to buy.

Assuming you NEED to buy a car that requires a loan is yet another part of the problems we have in the world. I’ve been running a bangernomics car, 18K miles a year since 2008, with no problems. Sure it’s not a BMW but it’s cost me less than my bikes in repairs and gets 50mpg no problems.

Won’t getting credit & making regular, timely payments actually help to repair the OP’s credit rating?
So, could be worth doing…

Not in my experience. I had a credit card, two loans and an overdraft that were paid off regularly. When I went for a mortgage they said none of that was worth anything as I hadn’t earned anyone any money and rarely used the cards. If I’d not been able to pay off anything but the minimum a few times and had mounted up some interest they’d likely give a better score. Bit annoying considering I had a 1/3 deposit because I didn’t use the loans/cards regularly.

Buying a new car is a waste of cash. Buying a nearly new car makes some sense if you’re materialistic or useless with your hands, or never get a spare weekend to do the odd minor repair.

Old cars are shiz. Get a new one. Live the dream.

The cheapest way is to steal one.
Failing that, become a trophy boyfriend/husband.

What does ‘basically dead’ mean?

Dashboard failed, Mot and tax due, and needed new tyres, plus a few other niggles.

Buy a cheap one?

Remember i have no savings, they got spent surviving having no job/very badly paid jobs. So to get anything it was a loan.

Dashboard failed, Mot and tax due, and needed new tyres, plus a few other niggles.

MOT and tax will always be the same. Tyres are a long term investment but can be had cheap if you’re willing (hell you could go part-worn for about 10 quid a wheel) and the dash – well, depends exactly what is wrong with it but unless it’s a new new car where the dash is half the control hardware meaning the car is undrivable, what’s the issue? you just don’t like niggling faults and want a new one?

Hows about selling a bike?

I am probably still paying for the curry I had in 1997 that went on the Mastercard.

Technically bankrupt now. Credit is addictive. It isn’t for everyone

Take your time finding a used car – there are good ones. One of my better purchases was a Passat which has done 150000 miles now and despite a blip for suspension arms for the MOT keeps going without drama . We have one car in the family and I am lucky enough to be able to ride to work…

MOT and tax will always be the same. Tyres are a long term investment but can be had cheap if you’re willing (hell you could go part-worn for about 10 quid a wheel) and the dash – well, depends exactly what is wrong with it but unless it’s a new new car where the dash is half the control hardware meaning the car is undrivable, what’s the issue? you just don’t like niggling faults and want a new one?

The car was on v plate, 180,000k miles, clutch has recently started playing up, the pedal had fallen off and been reattached, I believe the dash problem which is common on VW cars of the era, is that some of the soldered joints had failed. which meant intermitent clocks, i had pulled the fuse out a while ago which works for a while. at 180,000 due a new cam belt as well. The windscreen wipers needed stripping down again as the spindles corrode. The drivers seat mechanism was broken and held together with some cable crimps.

Oh and due to the cars age i was paying on the pre 2001 tax levels, so far more than a newer version of the same car.

So yes i could have fixed and sorted most things, but for the cost involved, i cut my loses.

Newer car less to insure, less to tax, less to fuel. but i have a monthly charge instead. And for now no niggles.

Wash your mouth out!