Car or allowance - what would you take?

Del Lardo · 10 Jul 2012 at 11:06

Beta said:
Think this probably got missed in the conversation last night.
What would your recommendations be if we took the cash?

Can be hatch/estate/saloon. Rarely use back seats at the moment but do throw quite a lot in the boot with the seats down.

Don't need diesel due to low mileage. Miss the fun factor f the celica as the civic is dull as ditch water to drive.

Insurance isn't an issue, was quoted roughly £300 on the 125d.

In your shoes I'd be looking to get a budget of ~£10k for a Golf GTi.
Similar size
Good performance and fun to drive
Reasonable economy when on a run
Not something you need to be too concerned about leaving in a station carpark all day

Ev0 · 10 Jul 2012 at 11:54

Robbie G said:
That's a day I'm looking forward to. I keep getting tempted to pay it off, but the rate is only 1.5%!

I'm positively old now compared to most on here it seems, but for the first few years after graduating I wasn't exactly earning much so not a lot was coming off.

Different story now though, last 2 years have blitzed what was left and according to my calculations I've got £14.70 or something left so will be ringing up this week to get it all closed down.

Simon · 10 Jul 2012 at 13:50

Takes a while for them to stop the payments. It's usually a good idea to ring up 3 months in advance otherwise they will take too much via PAYE and you will have to wait until the end of the year.

Mine will be gone by November so I will ring up next month to let them know. I believe then you just have to settle it at end of tax year once interest has been applied.

Jez · 10 Jul 2012 at 13:54

Simon said:
Mine will be gone by November so I will ring up next month to let them know. I believe then you just have to settle it at end of tax year once interest has been applied.

This is exactly right and exactly how i ended mine.

Del Lardo · 10 Jul 2012 at 14:05

Simon said:
Takes a while for them to stop the payments. It's usually a good idea to ring up 3 months in advance otherwise they will take too much via PAYE and you will have to wait until the end of the year.

Mine will be gone by November so I will ring up next month to let them know. I believe then you just have to settle it at end of tax year once interest has been applied.

They stopped mine a couple of days after I called them. I called to ask them to stop taking payments and they confirmed that they would a couple of days later after they had received copies of my payslips confirming that my End of year balance less payments made had paid off the loan. They even issued me with the small refund I was owed there and then, I was really surprised how easy it was and how helpful the advisor was given all the horror storied I'd heard. Still I suppose this made up for them loosing £2000 in payment a year earlier when I changed jobs.