Banger-nomics

niceirishfella

I read an article a while back about people in the uk (educated professionals ) who dont conform to the bmw/merc/lexus stuff and buy a banger for 800 quid each year or every 2 years if possible and drive it till it dies. The money the save they use to fund investing in property that they rent out, go on expensive holidays or have an expensive wardrobe.

Think about it, we all have spent thousands over the years and lost so much on depreciation. Are well all mad and are these people who subscribe to BANGER-NOMICS more clever than us?

Lets Discuss!

mikemac

Hmmmm, I posted something similar today.
Sure it's nice to have a nice car but an expensive car is a money pit.

If you're smart with money you'll try to avoid a depreciating asset and invest in something productive.
Which is why many extremly rich people don't bother with expensive cars.
Chris Horn, CEO of Iona Technologies is known for driving a banger.
And the CEO of the Dublin Digital Hub who is on an obscene salary drives a moped on the N11 every day.

Whereas the people who drive the expensive cars (leaving aside entuhusiasts) are not rich people but people aspiring to be rich and concerned about proving they are rich even if they are not.

A truely rich person is probably not that motivated by money and is so secure in themself that they have no problem driving a banger

skibum

While I'm not extremely rich , I have suscribed to banger-nomics for the last 10 years or so. When I first started driving I had a banger but then decided to borrow to get the cars I really wanted, (Golf GTI's and then a Corrado) but the costs of running these cars plus the depreciation and subsequent loss when selling were killing me. Since then apart from one company car I have bought old cars, not complete sheds, I try to get cars that have been well looked after with good history, that are relatively cheap to run and insure.
My current banger is a '94 MK3 Golf 1.9TDI that I bought from adverts.ie for €600 last feb, (2 owners, father and son, good history 102,000 miles, all the extras, and the power and economy of the diesel TDI) The only expense other that tax, insurance and service was to upgrade the crap standard brakes, bigger wheels (to fit over the new brakes) and install a tuning box (huge difference in performance). I hope to keep this on the road for at least 2-3 years.

My previous banger was a '87 MK2 golf 1.6D, that I bought for €500 (2 owners, 87,000 miles, full history (know the mechanic who looked after it for the previous 14 years) kept it for about 3 years, usual running costs, sold it for €450.

Car before that was a '90 micra, I bought it for £50 with the intention of keeping it for a couple of weeks, ended up keeping it for nearly 2.5 years, the thing was so cheap to keep on the road, I abused the sh1te out of this car, it was stolen twice, kept on the road with parts from scrap yards, passed the NCT test's first time, in the end I sold it for €100

My better half has a Scenic which we use for holidays, and hope to get a Corolla Verso for her next summer.

With the bangers I don't really worry about where I park (car has alarm / immobiliser and a big chain as a visual deterrent) i don't worry about car park dents or scratches, parts are cheap enough, I can do the basics my self and have a good mechanic that I trust.

At times I would like to be driving a nice MK4 or MK5 TDI golf but when I sit down and do the math, I'm happy enough with the bangers:o

peasant

I'm somewhere inbetween.

Certainly no new cars, as the depreciation as I drive it off the dealers yard would surely spoil the fun for me.

But no real bangers either, as I need a car that simply works every day and doesn't need much maintenance outside services.

So I usually buy something in the 5000-7000 Euro region and keep it (well) for three-four years and then sell it on.

Total cost of maintenance and depreciation is usually well under 1000 Euro per year (tax and fuel cost depends on what I chose to buy)

pburns

Well I've never bought new but usually buy something I like around one year old and run for 3-4 years. Last time that was a 30 grandish car that I got for low 20,000s. I haven't borrowed for a car since my first and could probably afford something a lot posher. Don't belive in credit for non-essential/non business uses.

I can see the attraction of 'bangernomics' - to an extent. I think it started with a book by James Ruppert, an ex-CAR jounalist. For me however, the theory falls flat when you consider we only pass through this life once and you might as well have a decent steer rather than leaving it for a son/daughter/relative to piss away when you're gone many years from now.

On the other hand I have little respect for the guys who come on here prattling on about their latest top-end Audi/Bimmer (which they've taken out a loan for) and how they already have their next one on order:rolleyes:.

Silent Partner

This is a really interesting thread!
I drive company cars so I'm lucky in the sense that while I have to pay BIK, I don't have to pay for a car, insurance, petrol, tax or servicing.

However if it was my own money, the logical side of me would completely agree with you. However the snobby petrolhead in me would want something flash and nice. I don't think I would ever buy a car that I couldn't afford (i.e. finance a car up to my neck) but I think if I subscribed to your theory I would go and try and find really interesting cheap cars. That way if I drive them and they fall apart, I've only spent €XXX getting them going.

mike65

I'm a semi-follower, about 2 grand is what I'll pay for a motor and then I'll keep it going for as long as possible or sell after two-three years. Admitedly I could'nt afford a new car for cash and refuse to get tied into finance deals so have little choice maybe!

Mike.

TigerTim

I have always bought 2 or 3 year old cars in the past but got caught with a Peugeot 607 2.2 petrol a few years ago. Fabulous luxury car which I bought reasonably cheap at the time but the French electronics broke me up. Put it up for sale & a guy came along to look at it. His missus had a ’91 corolla with 180K miles so to get him to buy the Pug I allowed him €500 for the Toyota, There was 6 months NCT left so I figured I’d drive it for the 6 months & then scrap it. I t sailed thru’ the NCt with just 4 tyres & a service by myself. Almost 2 years later I’m still driving it & all I have done is replace one parking light bulb. It has never failed to start. The missus has a ’99 Scenic which we use when travelling. By running a banger, it has also freed up some money to allow us to have a camper.
It really depends on the amount of driving you do. One time I used to do a lot of travelling for work & the corolla would not be suitable for that. Now its just 2 miles to work in the morning & 2 home in the evening & getting great miles to the gallon. Would really like a sporty Subaru but with kids etc I've been converted to the banger for the moment.

T

JohnCleary

I tend to walk as much as possible

I'd never buy a car no matter how wealthy I ever was, it just doesn't make sense imho

However there's a bit of a contradiction. A 'banger' you bought for 800euro could end up costing you a fortune in the long run. Before you know it you could have 2000euro put into it to make it reliable. So you'e spend 2800euro on a banger that's only fit for the scrap yard and could let you down, and is not worth a penny by the time your done with it.

However, you could spend 3000euro and buy a nice reliable car that won't let you down, and get's you from A to B. When you want to get rid of it, you could flog it for 1000euro. So you've lost 2000 euro by driving a reliable car, or lost 2800euro by buying a banger which you're stuck with... am I making sense at all??

Mailman

JohnCleary wrote: »

am I making sense at all??

No. you don't buy an unreliable car for 800 euro, you buy an ordinary, simple, reliable slightly rough around the edges car.
Car selection is the key to successful bangernomics.

Micras, Fords and old toyotas fit the bill. An old Fiat Regatta doesn't.

mike65

Fiat Regatta for 800 euro?

Mike.

Cyrus

i love cars so will always spend money on them but i try to buy cars that wont depreciate over a 9-12 mth period and have been lucky so far

could never buy a new car

louie

An excellent tread. I don't remember when was the last time taking the pleasure reading something like this.

Sooner or later we are all going to coop-on to things like this.
I drive at the moment a 98 Fiesta (1 year now) and never let me down. Before I've had a 95 Previa (5 year) and what I like about old cars is the fact that I don't have to worry where I park, getting over ramps and kerbs and washing it every day...

At the end of the day it does the job and I get where I want the same as my partner who drives a 03 Hyundai Coupe but I don't go nuts when I scratch the alloys.

My next target is to get a Golf MkI or II GTI or an Opel Manta.

Blue850

running an old nail of a Vectra for the last 6 years has allowed me to have 3 classic cars, and build the garage they live in:)

mike65

My next target is to get a Golf MkI or II GTI or an Opel Manta.

Semi-classics don't count!

Mike.

louie

Fair enough...

skibum

JohnCleary wrote: »

However there's a bit of a contradiction. A 'banger' you bought for 800euro could end up costing you a fortune in the long run.

So far, (touches nearest piece of wood ), none of my bangers have let me down, required anything more than regular maintenance, if I needed any parts I went to the scrap yard...
As I said in my post, I put a little effort in to researching the car, I won't buy the first "bargain" i came across because it's cheap, all my cars have come from people I know (apart from my current adverts.ie purchase, but I brought a mate who knows his cars along).

prospect

I ahve always been interested in this theory, however for me I find it hard to balance the equation with reliability & safety.

I decided that I am not buying a new car again (unless I win the lotto). I bought a car last summer, it was 20 months old and was more than €10K less than its original list price...

My other car, which I bought new, is staying with me until it dies.

Gandalf23

I drove a 00 Golf until about 10 days ago when I wrote it (and a large part of a wooden fence) completely off.

I was strongly thinking of getting a new BMW 318 in July 08 because of the VRT changes. I'm thorn tho ... I'd love the new BMW but my conscience is nagging at me for thinking of spending so much money, and the depreciation hit on new cars just kills me.

I'm not sure what to do, and I'm currently looking at s/h BMW's for about €1000 - €1500 ... I need something to get me to July. To be honest I'll probably keep the s/h car I get for a year or two if it gives no problems.

The words of my friend keep ringing in my ears tho ... he said "at this stage of life (late 30's with good careers) if we cant afford good quality stuff, what the hell was it all about ..."

TigerTim

louie mentioned washing the car. That's something I have forgotten about. When I had good cars I washed & waxed them almost every Saturday. The corolla I have washed at least 3 times in 2 years!!!:):):). Still don't seem to have anymore free time.

T.

cance

i picked up a 01 1.6i skoda octavia, full service history, 2 owners and with 80,000 on the clock for 2 grand!

i would have been happy in a rusty micra! but I do love the car so much and am even fonder of the fact that i payed 40-50% of market value for it!

when i go to buy my next car (getting at least 3 years out of this fella) i wont be spending more than i payed for this one.

daveharnett

I love the idea of carefree motering that a really cheap car provides. It's gotta be reassuring to think that if something goes badly wrong, you can just chuck it. Also means no worries about it getting robbed/scratched.

Tyler Durden: The things you own, they end up owning you.

The only danger is that if everyone starts to subscribe to this belief, we end up like italy, where the city driving is like a day at the bumpercars.

Vikings

Question for the "banger" drivers and the drive it till it dies people, what happens when the car does eventually die?

Do you have a back up fund to pick up another "banger" to keep you going or how do you prepare for the unexpected but ultimately unavoidable croaking of your motor?

mike65

People who bangernomic proberbly also know how to save for a rainy day.

Mike.

prospect

http://www.bangernomics.com/Welcome.html

S.I.R

congrats on someone actually mentioning this , but dont forget , when buying a banger , it could actually be a complete wreak , rather then what it looked like advertised.

besides i take a pre e36 bmw after any new car from 07/08 anyday.

mike65

More bangernomics

Mike.

Mailman

mike65 wrote: »

Fiat Regatta for 800 euro?
Mike.

Just taking Regatta as an example as it was debatably the worst car ever made with no redeeming features.

3ps

I bought a Mazda 323F for €700 and ran it for over a years with no problems. I gave it to a pal nad he ran it for 2 years with no problems

I bought a 1984 Merc for <1500 and ran it for over a year with no problems and sold it for roughly the same

I bought a Peugeot 205 1.8D for €750 and have it 3 years now and will probably get rid of it in 3 months. I spent 700 on it over the 3 years.

I ran a 1972 Merc diesel for a year with no problems but I paid good money for it and sold it for a slight profit (kindof)

alias no.9

Mailman wrote: »

Just taking Regatta as an example as it was debatably the worst car ever made with no redeeming features.

I think you're missing the joke, €800 for a Regatta would have been outrageously expensive 10 years ago, €80 would be too much today. You'll get a hell of a lot more car for €800.

PhoenixRising

Jeez, all you guys must be accountants.:D

I thought I had stumbled onto the Eddie Hobbs forum there for a minute, this is the motors forum isn't it?

I obviously don't subscribe to the bangernomics theory. I believe life is short and if you enjoy cars and have the money you should buy whatever you want to buy.

You can't bring your money with you when you croak it.