Am I crazy?

Sofiztikated

Hey guys.

I have an 03 Ford Focus, 1.4. I still have a loan of about 8grand out for it.

I'm looking at selling the Focus, and buying a 99 Passat TDi 130 brake, for about 2grand.

Then use the balance to clear of a credit card debt.

Am I mad?

hobochris

I'm not sure if you'll get 8 grand for an 03 focus.

Sofiztikated

hobochris wrote: »

I'm not sure if you'll get 8 grand for an 03 focus.

I'm not looking for 8 grand to clear the car loan, i'm looking at getting what i can to clear a different debt, and being left with an 8 grand loan and a car worth 2.

R.O.R

Sofiztikated wrote: »

I'm not looking for 8 grand to clear the car loan, i'm looking at getting what i can to clear a different debt, and being left with an 8 grand loan and a car worth 2.

If you qualify for an 8 grand unsecured bank loan, it might be possible. If you are looking for car finance secured on the car - yes, you are mad as no one will go anywhere near it.

Sofiztikated

Ok, i think i explained it wrong, as everyone seems to be getting me wrong.
I have an 8k car loan and a 3k credit card debt.
Sell focus for hopefully 4.5k, buy passat for less than 2k, pay off credit card, keep carloan, so passat would be standing at 8k. Crazy, or plan?

Gregor Samsa

Sofiztikated wrote: »

I have an 03 Ford Focus, 1.4. I still have a loan of about 8grand out for it.

If the loan is secured against the car, then the car isn't really yours to sell until it's cleared.

Who would be mad enough to buy it from you if the loan wasn't being cleared as part of the transaction?

All you would have to do it stop your repayments, and the finance company would take the car off the new owner - and they'd have no comeback.

If the loan isn't secured against the car (you just got a personal loan and went and bought a car with the money), then that's different - but I suspect from what you're saying that this isn't the case.

So I wouldn't say you're mad, just that you don't know much about the binding contract you entered when you signed up for the finance

Sofiztikated

Its a personal loan, not that crazy, would never take finance out on a car.

Dirty_Diesel

Dunno about the financial issues but your mad if you think vw made a 130bhp B5 passat in 1999. They werent until the B5.5 in 2001!!

tossy

Dirty_Diesel wrote: »

your mad if you think vw made a 130bhp B5 passat in 1999. They werent until the B5.5 in 2001!!

+1 it will be either a 90 or 110 but non PD.So many passats/golfs out there being advertised as 130bhp or 150bhp when the are clearly not.

Santa Claus

Sofiztikated wrote: »

Its a personal loan, not that crazy, would never take finance out on a car.

makes sense then, as your credit card is a much higher interest rate than your personal loan so the credit card debt is costing more to service !

mickdw

It sounds like a plan. If you cannot afford the loan repayments & the credit card and you are happy to drive the older car for the duration of the loan, this might just get you out of a hole.
It would all come undone though if the passat turned out to be less reliable than the focus and started to cost money. It is going to be an older car remember.
The other problem with this deal is that you might then max the credit card again and if you did that, well you are f*cked as you will have 8k loan and credit card bill and a 1k car

benj

GO for it...focus 1.4 underpowered and you will have more power
with passat and more economy and a credit card