The Official Vehicle Financing Thread

Skyline007 · Postby **Skyline007** » June 25th, 2014, 1:43 pm

So fcb offering 26k DP and inst. @ $1295 for 3 years for a Tiida 2008 for 65.5k... What other places offering anything better than this?

DJ Q · Postby **DJ Q** » June 25th, 2014, 1:53 pm

^That's 6% interest per year.
Won't get much better than that to be honest.

Unless you want to draw out the payment longer, which will actually run you more in the longrun, but may be easier for you to pay.

My suggestion is to put as high a downpayment that you comfortably can.

Minimize your interest 8-)

mitsu_chick941 · Postby **mitsu_chick941** » June 25th, 2014, 2:04 pm

Skyline007 wrote:So fcb offering 26k DP and inst. @ $1295 for 3 years for a Tiida 2008 for 65.5k... What other places offering anything better than this?

no one bit i'm biased, went with fcb for my car paid average $12,000 interest for 3 yrs, which i thought was great.

DJ Q · Postby **DJ Q** » June 25th, 2014, 2:07 pm

mitsu_chick941 wrote:
Skyline007 wrote:So fcb offering 26k DP and inst. @ $1295 for 3 years for a Tiida 2008 for 65.5k... What other places offering anything better than this?

no one bit i'm biased, went with fcb for my car paid average $12,000 interest for 3 yrs, which i thought was great.

Depends on how much the loan amount was.
Next month is your final payment?

mitsu_chick941 · Postby **mitsu_chick941** » June 25th, 2014, 2:12 pm

DJ Q wrote:
mitsu_chick941 wrote:
Skyline007 wrote:So fcb offering 26k DP and inst. @ $1295 for 3 years for a Tiida 2008 for 65.5k... What other places offering anything better than this?

no one bit i'm biased, went with fcb for my car paid average $12,000 interest for 3 yrs, which i thought was great.

Depends on how much the loan amount was.
Next month is your final payment?

60k

paying off this mth

DJ Q · Postby **DJ Q** » June 25th, 2014, 2:22 pm

Was the loan amount $60,000 or was that the price of the vehicle?
If it's the latter, how much was your downpayment?

Skyline007 · Postby **Skyline007** » June 25th, 2014, 9:29 pm

DJ Q wrote:^That's 6% interest per year.
Won't get much better than that to be honest.

Unless you want to draw out the payment longer, which will actually run you more in the longrun, but may be easier for you to pay.

My suggestion is to put as high a downpayment that you comfortably can.

Minimize your interest

A friend of mine went fcb and this was the result. I decided to share the info for all and keep the current thread pumping. But with all these RoRo's where you can import anything now the new car and local prices why are they not dropping?

DJ Q · Postby **DJ Q** » June 26th, 2014, 6:33 am

Simple: they're still selling.

mitsu_chick941 · Postby **mitsu_chick941** » June 26th, 2014, 7:34 am

DJ Q wrote:Was the loan amount $60,000 or was that the price of the vehicle?
If it's the latter, how much was your downpayment?

Loan was 60, d/p was 28

So obviously the car was 88k minus insurance

DJ Q · Postby **DJ Q** » June 26th, 2014, 10:03 am

That's just under 7% per annum.
That's not bad.

Ted_v2 · Postby **Ted_v2** » June 26th, 2014, 8:00 pm

Don't mind the loan payments but those insurance figures. Jah

mitsu_chick941 · Postby **mitsu_chick941** » June 27th, 2014, 8:14 am

Paid my last installment yesterday.....head light as a feather

home free b*tches :twisted:

DJ Q · Postby **DJ Q** » June 27th, 2014, 8:53 am

sound boy 64 wrote:Don't mind the loan payments but those insurance figures. Jah

What was the insurance figure and for what vehicle?

kerwinishere · Postby **kerwinishere** » June 27th, 2014, 9:02 am

My stepdad pays 20k for a 2014 cerato.

Dizzy28 · Postby **Dizzy28** » June 27th, 2014, 11:20 am

kerwinishere wrote:My stepdad pays 20k for a 2014 cerato.

His claim history must be terrible!!
My cousin is 25 years old and pays $21k on a Santa Fe which he purchased for $450k

kerwinishere · Postby **kerwinishere** » June 27th, 2014, 12:01 pm

Nah. Just got his DP

mitsu_chick941 · Postby **mitsu_chick941** » June 27th, 2014, 12:10 pm

My stepdad

Nah. Just got his DP

HOW old are you?

kerwinishere · Postby **kerwinishere** » June 27th, 2014, 12:24 pm

Young

DJ Q · Postby **DJ Q** » June 27th, 2014, 1:14 pm

Dizzy28 wrote:
kerwinishere wrote:My stepdad pays 20k for a 2014 cerato.

His claim history must be terrible!!
My cousin is 25 years old and pays $21k on a Santa Fe which he purchased for $450k

So... what does your cousin do?

Dizzy28 · Postby **Dizzy28** » June 27th, 2014, 1:59 pm

DJ Q wrote:
Dizzy28 wrote:
kerwinishere wrote:My stepdad pays 20k for a 2014 cerato.

His claim history must be terrible!!
My cousin is 25 years old and pays $21k on a Santa Fe which he purchased for $450k

So... what does your cousin do?

Chemical Engineer...why?

Ted_v2 · Postby **Ted_v2** » June 27th, 2014, 2:37 pm

14k on a suzuki swift sport. @170k

Didn't mind the payments but the insurance.
Ended up didn't buying the vehicle.

Dizzy28 · Postby **Dizzy28** » June 27th, 2014, 2:50 pm

You all have some horrible driving records or very young.
My Lancer in 2011 paid $6,700 on $189,950

kerwinishere · Postby **kerwinishere** » June 27th, 2014, 3:01 pm

How old you is Kermit? :oops:

mitsu_chick941 · Postby **mitsu_chick941** » June 27th, 2014, 8:03 pm

Was a first time borrower

robbieg · Postby **robbieg** » June 27th, 2014, 9:13 pm

Notice some comments earlier in the thread saying "from a business perspective that it would make sense to take a loan for a vehicle, for cash flow reasons" and what not.

From a business perspective, it would make sense to finance a vehicle (take a loan), providing that said vehicle is (or is part of the process in) making the money.

If you are purchasing a vehicle for personal/recreational use, a loan may not be the best option - you are just giving away your hard earned money to the bank via interest (which i consider unnecessary risk). As previously said, dont put your hat where you cant reach it.

There is a huge difference in an asset and a luxury item from a business perspective.

Just my $0.02

Dizzy28 · Postby **Dizzy28** » June 27th, 2014, 10:23 pm

kerwinishere wrote:How old you is Kermit?

Old enough to be at 60% NCD for starters. Driving since 1998 and have 1 claim in that time. In 2000 had a accident where I was deemed wrong. Clean record since ( Knock on wood!!)

DJ Q · Postby **DJ Q** » June 27th, 2014, 11:42 pm

Dizzy28 wrote:You all have some horrible driving records or very young.
My Lancer in 2011 paid $6,700 on $189,950

Paid just over $3,000 on $82,000

Notice some comments earlier in the thread saying "from a business perspective that it would make sense to take a loan for a vehicle, for cash flow reasons" and what not.

From a business perspective, it would make sense to finance a vehicle (take a loan), providing that said vehicle is (or is part of the process in) making the money.

If you are purchasing a vehicle for personal/recreational use, a loan may not be the best option - you are just giving away your hard earned money to the bank via interest (which i consider unnecessary risk). As previously said, dont put your hat where you cant reach it.

There is a huge difference in an asset and a luxury item from a business perspective.

Just my $0.02

I guess the term business perspective is a bad term to use come to think about it. What I really mean is from a cash flow perspective. For the average person, it can actually work out cheaper in the long run if you buy a car with a loan rather than to continue traveling, or using their current vehicle to go about everyday tasks while attempting to save.

Now I'm not saying it's impossible, just saying it seems improbable for the vast majority to buy even a RORO March (~$48,000) cash. I, for instance, was spending sometimes $1,500 in just gas for the month. That's a loan payment right there. Had I attempted to save the money, I would have been spending way more in the process.

Also consider those who have children. It's much cheaper to drive and drop your child to school then you go to work than to travel to all these places. And for those who go straight to work and back, here's a personal calculation

Traveling to work: $4 one way ($8/day)

Car: $0.17/km
Distance: 12km
Cost: $2.04 ($4.08/day)

Now I'm fortunate in that I live & work walking distance from the bus route. So imagine if I had to take a car, then a maxi, then a car. Add children...

Traveling is expensive.

Ted_v2 · Postby **Ted_v2** » June 28th, 2014, 5:40 am

Maintenance on a vehicle is a lot Also

DJ Q · Postby **DJ Q** » June 28th, 2014, 10:32 am

That's why we've been suggesting to cycle vehicles 3-5 years.
October to now I've spent $360 in maintenance.

Going to rotate Tyres today and have to change my A/C belt.

In Toyota, brand new vehicles service every 6 months and a grade A (depending on the vehicle) is a few hundred dollars. It gets expensive when you cross 50,000km.

Also, don't forget everything posted in this thread are all opinions.