GolfGTIforum.co.uk
Model specific boards => Golf mk5 => Topic started by: TimW on 28 April 2009, 14:46
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Hey all, this is my first topic, I've been scouting the forum a bit and my love for the mk5 gti is huge :cool:
However, I'm currently saving up for one around 10-11k I was just wondering what was your options i.e loan/finance/cash/creditcard.
I'm 19 and getting a loan in this current economic climate is a bit pants!! :rolleyes:, I currently earn about 20-22k a year and was just wondering how much you have to budget(if at all) to fund for the GTI? I seem to piss all my wages up the wall atm.
Basically, whats the average per month you spend on your car as a breakdown;
loan
mileage/petty
mods etc?
Thanks!"
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I borrowed some money from a family member, and then paid her back within a month as my money was tied up for that month.
The way I see it, I would never take a loan etc out for a car. My mortgage is more then enough!
I spend about £200 a month on fuel.
No mods just yet, as I dont want to do anything that affects my warranty etc.
I do have a credit card to clear from when I had some home improvements done, but I only used a card since it is 0% until June 2010. I'll clear this card by Nov this year though I reckon.
Once thats all clear and Im debt free (other then mortgage) I'll buy some OEM upgrades, like the RNS510 etc ;)
At 19, your insurance may be quite high - so check that before you buy a car.
Also you need to keep money to one side, in case any repairs etc are needed for the car (you never know!)
Servicing etc is also costly.
If the car is out of warranty etc, you'll need to spend even more on any possible repairs, and MOT etc.
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mine costs £160 loan, £60 a month insurance (which i pay yearly in one go) £100 petrol although can be half or double that depending what I've been up to. Budget £210 a year for tax and £300 ish for servicing and MOT.
In my experience it costs no more to run than any other car I've owned, few quid a week extra in petrol and a couple of hundred a year in insurance but servicing is actually cheaper than my previous lesser cars.
You earn a good wage at a young age and if you're wasting it all you really need to calm down a bit :wink:
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I lost my job at xmas eve so any money I get goes into the car with serious thought! I got mine on finance with GAP last year, better deal than a personal loan. Tho I spend about £500 a month all inclusive. Try go for one as new as possible as the warranty can be very usefull.
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You earn a good wage at a young age and if you're wasting it all you really need to calm down a bit :wink:
Yer, it goes up the wall every weekend :/. Which I'm trying to cut down on. atm my monthly bills come to about £350 incl rent/insurance.. So the rest is going on petrol, and booze.
Insurance is o.k I currently run a bmw 325 which is about 750 fully comp. The gti is another £300. :cry:
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too much, i have an addiction :evil:
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You earn a good wage at a young age and if you're wasting it all you really need to calm down a bit :wink:
Yer, it goes up the wall every weekend :/. Which I'm trying to cut down on. atm my monthly bills come to about £350 incl rent/insurance.. So the rest is going on petrol, and booze.
Insurance is o.k I currently run a bmw 325 which is about 750 fully comp. The gti is another £300. :cry:
If you really want one you will afford it with ease :cool:
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I lost my job at xmas eve so any money I get goes into the car with serious thought! I got mine on finance with GAP last year, better deal than a personal loan. Tho I spend about £500 a month all inclusive. Try go for one as new as possible as the warranty can be very usefull.
Good point - exactly why I went for one that was only 7 months old.
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I have bought an R32 on your wage and i pay £920 in rent :laugh:
I wouldnt have bought it though if my wage wasnt going to double in 2 years :wink:
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i earn 80K a year and now drive a mk2 cos i rock! :afro:
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I had saved about £8-9k when I wanted to buy a GTI.
I applied for a graduate loan but I could only afford £15k (max.). No one told me I should have gone for a personal loan. In the end, I went for PCP because of lower monthly payments and at the time, wanted to use some of the cash I'd saved for other stuff.
In retrospect, I wouldn't have bothered with PCP.
Go get a personal loan to cover the full amount of the car. It'll be far cheaper than any PCP. Once I've sorted out a few things, I plan on seeing if I can get a loan to pay off the PCP in one go, so I can then start to mod the car.
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too much, i have an addiction :evil:
LOL
X2 :evil:
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Interesting - I'm actually looking at the PCP in a different way. The payments are about 75% cheaper than a personal loan too plus you're guaranteed a minimum p/ex price.
I also found out that the car is in essence YOURS, so you can mod all you like (according to Listers VW) - as long as at the end of the term, you return the car to the state it was in when you purchased it. :)
So, personally that'll be
1. New stereo all in
2. Little breathing mods (filter & exhaust)
All stuff that I can take to the next car, or sell :)
I can't actually see any disadvantages of PCP. :)
Dan
In the end, I went for PCP because of lower monthly payments and at the time, wanted to use some of the cash I'd saved for other stuff.
In retrospect, I wouldn't have bothered with PCP.
Go get a personal loan to cover the full amount of the car. It'll be far cheaper than any PCP. Once I've sorted out a few things, I plan on seeing if I can get a loan to pay off the PCP in one go, so I can then start to mod the car.
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I pay 320 per month on a loan - 17k was used to finance car and rid negative equity
40 per month - road tax
200 - petrol
80 (soon to 160) - insurance
I manage it picking up around 1600 after tax per month and having a morgage - you just need to sort your spending out and you will be fine
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mines on a lease so £315 + vat per month :cool:
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Cool, thanks. Think im waiting till after my holiday in June. Then i'll be hunting for one. 11k max. Might stretch for an ED30 :)
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Good luck mate.
My payments are on an R32 aswel forgot to mention - may make a slight diff
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GAP insurance is available separately anyway, so consider that when applying...you can get it for around £350...
Most people i know wouldn't touch a loan if more than £200 per month to pay back...plus factor in the fact that the total amount spent could be 1/3 if not careful with interest rates...nationwide are cheapest personal loans but only if a current/savings account is taken out with them already...
I've gotta say i'd rather still be driving a mk2 for fun, but running costs are more as more needs to be done each year to stay on top of em...Smith Knight Fay group offer 1yr VW approved warranty as standard on all their secondhand cars...and bargains can be picked up if you haggle hard...my CTR was only worth £4800 book price, i got em to up that to £5500, and get down their screen price by another £800 or so...plus 2 new tyres, and a cambelt change...getting that done on friday...
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i managed to pay for the car outright but recently worked out the following monthly breakdown for a typical year:
petrol £130 (3 fill ups)
insurance £50 (paid annually)
tax £25 (£290 right?)
servicing £20 (although when i need to get the DSG serviced this will be higher)
tyres £20 (an average as obviosuly i change the fronts more frequently than the backs)
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I don't really keep track on how much I spend on the car, but I recently worked out that I've spent around £13k on mods on top of the £25k for the car.
Insurance is being renewed soon with Chris Knott at £540, no claims protected, with £250 excess, £60 excess on windscreen, Legal cover, Mods replaced like for like (all mods declared), £750 lock replacement cover, 90 day Europe cover and free courtesy car in any circumstance of an accident when you need one.
Petrol works out at (very approx) £150 a month
Servicing is covered for 3 yrs at £20 a month (was £27, but removed the tyre cover)
:smiley:
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:shocked: (turbo + .:R)????
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I also found out that the car is in essence YOURS, so you can mod all you like (according to Listers VW) - as long as at the end of the term, you return the car to the state it was in when you purchased it. I can't actually see any disadvantages of PCP.
Not quite true. Read the T&Cs before you sign'em. From what I remember, the car belongs to the finance company and you must meet certain stipulations of the agreement, including servicing etc.
Someone bought a seat leon cupra, modded it. It broke down, VW road assist picked it up. There was some kind of issue but essentially, the fault was blamed on the mods the chap had put on. Because of a disagreement, VW informed the finance company that the car was modded. Finance company took the car and charged the guy the cost of repairing it and returning it to normal.
This is why I'm not gonna mod until I've paid off the PCP (and the insurance is sorted).
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Yeh - I remember reading that.
I'm only repeating what the dealership said - in fact she even went as far to say that I could respray the car (!), as long as I notified the parties involved.
In all fairness, I think this is the key thing - like insurance, you must notify everybody of exactly what you intend to do. Just so that it's documented.
That's why I said that "in essence" the car is yours.
Again, even with that (IMHO, perfectly fair) stipulation, I still can't see the downside of a PCP......
A cheap way to get a car that you want, give it back after you're done, get another or walk away.
OK you lose your deposit. So what, that could be classed as your contribution to the depreciation (why I only put down £250 deposits..... I think I can afford to lose this over 42 months!!LOL!! :grin: )
And besides, the money you save per month, could be used to build up your next deposit for whatever :)
All IMHO, of course ;)
Dan :)
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PCP works pretty well for some people. But you are limited to mileage, with penalties for going over - and the car really still isnt yours and can be defaulted. Its a glorified lease.
Financially it also doesnt work out over the long term, if you can afford it its much better off for you to get a personal loan. Although as Dan said if you are astute with your finances, you could afford to put more money aside a month to build up that deposit for the next car.
Right now having a PCP is working out badly for the dealers, especially on the bigger more expensive cars (BMW in particular) as the guaranteed future value to cover the balloon payment is coming in around 15% more than the resale value of the car, so people are just handing back the keys at the end of the contract with the dealers left with a lot more cars on their forecourt that they will make around a 2k loss on on average. Not great!
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In regards to the PCP am I allowed to try the free trial remaps from APR/Revo?
And do they return to the original map once the time has run out?
Or do they run APR/Revo maps after? Just a little concerned that it will return to a under powered revo/apr map.
You can also walk away from the PCP 50% off the way through the contract which I am seriously considering...been looking into second hand cars and they work out alot cheaper. R32UK pointed out im paying over the odds and I am, I was just so excited to get it regardless of cost. So when the time comes to part with your hard earned, take your time and find the right car.
I earn a ridiculously small amount each month working part-time. Still looking for a new job but its not the ideal time in todays climate.