Finance

Discussion in 'Motorhome Chat' started by Lisett, Aug 14, 2014.

  1. Lisett

    Lisett Read Only Funster

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    Does anyone know what the longest term of finance available on a brand new motorhome and if anyone is doing interest free. A bit of a joke I know but was just curious?
     
  2. scousebird

    scousebird Funster

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    Don't know about finance on a MH but wouldn't a personal loan from your bank/building society be better, our bank is offering loans at 4% at the moment
     
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  3. Lisett

    Lisett Read Only Funster

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    Yeah I'm not getting one. I was having a look round our local dealer the other day and there was a salesman trying the hard sell on a couple and mentioning finance and 10 year deals and low interest rates. It made me laugh and got me curious of how others do it.
     
  4. Gizmouk

    Gizmouk Funster

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    I believe 10 years is the longest they offer on a m/h
    HSBC are currently offering personal loans at 3.9% (up to £15K & up to 5yrs)

    Reason the salesman was giving it the big sell, is because they get big kick backs from finance / insurers.
     
  5. Terry

    Terry Funster

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    Hi not sure but I know it used to be over 10 yrs and around 10 % interest or at least that's what a mate paid a few yrs ago --0 % interest you have got to be joking :D-Of course you could always take a gamble with your house for a lower interest loan fixed for 5 yrs :eek:
    terry
     
  6. pappajohn

    pappajohn Funster Life Member

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    Finance on a new van will not be a personal loan....it is a full hire purchase agreement.....and different financial rules apply regarding early repayment.

    You cannot get out of the finance early without paying all payments up front minus around 1.5%.

    Interest is added at the beginning of the contract, divided by the number of repayments, and must be repaid in full even if the contract is fulfilled early.
    We bought a used van for £28000 on full finance (no deposit) over 10 years.
    6 months later we were in a position to repay in full........except to repay in full would have cost almost £39000.
    £11000 interest over 6 months.....nice if you are a finance house
     
  7. tambo

    tambo Read Only Funster

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    Cash is the only way to get a good deal and buy within your means .......sod paying loads of interest for something that will have lost over half it's value by the time you pay for it
     
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  8. Easyliving

    Easyliving Funster

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    Hi

    I notice from 'MMM' that Marquis are offering 0% finance on Elddis motorhomes, maybe others as well. Its only over 3 years though and with a fair size deposit.

    Paul
     
  9. emmitdb

    emmitdb Funster

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    The below isn't for everyone but Virgin are doing a 32 month Interest Free Credit card with a 4% bank Transfer fee.
    We've just used it to save us about £800 in interest charges on our current loan.
     
  10. matamoros

    matamoros Funster

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    I think that most people that are looking for finance are looking because they don't have the cash:)
     
  11. The Wino

    The Wino Funster

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    Yes but worth thinking about what the cost will be if you come by some and are able to repay early. Just think if you were lending the money would you give a better rate secured on a motorhome possibly up to 10 years old or a house!!!! better to up the mortgage or wait and save up
     
  12. Lynne Steele

    Lynne Steele Funster

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    Personally I would never pay cash outright, even if you take a small amount of finance and you have a problem with your motorhome, they act on your behalf and either get the vehicle rejected or repaired, as the officially own the vehicle, saved us.

    Lynne
     
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  13. matamoros

    matamoros Funster

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    Some of us might have to wait a long time though and there will always be other uses for the savings that crop up.

    Agree about the mortgage though, I have always manipulated credit to my advantage by shopping around and being aware of the traps in 'interest free' offers. I have often used these offers even when the cash has been available, money better off in my bank than theirs, when we had a house it was re mortgaged several times before the current trend for short term fixed mortgages came into vogue.

    How many businesses do not have credit facilities.

    Use credit to your advantage not the credit providers:)
     
  14. Puddleduck

    Puddleduck Funster

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    It won't cover the full cost but many credit cards are doing 0%, although there is a charge for the transfer and it will probably be for about 24 months...... but when that runs out you can transfer the balance again.

    I bought my car using a 0% deal as the transfer fee was only 1% and I was getting more than that on my savings account. I'd rather have the capital in my account and get the interest. I've just set up a standing order to pay the credit card off over the time. Minimum payment until the last month when the balance will be paid off. :)
     
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  15. moulin 87

    moulin 87 Funster

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    It may not be available in the UK but we recently ordered a Dethleffs in France, where we live, and as part of their deal for 2016 vans was an offer for subsidised finance for up to 12 years on all or part of the total..If you took out at least €10000 euros then for however long you agreed for the finance agreement, ( for us the minimum over 8 years), then all the constituents parts of the vehicle were guaranteed for that period ie 8 years...Motor, Chassis, Fixtures & Fittings, Water Ingress etc. After 6 months we are able to repay up to 50% of the balance but no more to keep this additional warranty valid...
    No doubt there is an additional insurance policy somewhere hidden in the cost, but I think overall the interest rate was less than 2% after the Dethleffs subsidy.
     
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  16. Kool Kroozer

    Kool Kroozer Funster

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    Finance is really easy to get too, loans, personal or otherwise ask for proof of annual salary, outgoings etc, Finance only does background checks to see if you have ever been blacklisted or got bad debt etc - they do ask about annual salary and how much you have remaining on your mortgage as such but ask to see no proof.
     
  17. Puddleduck

    Puddleduck Funster

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    Just one word of warning (which I hope is really not necessary) please make sure you can pay off any loan and don't get into financial difficulty paying off finance. Credit is a double edged sword.
     
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  18. urban_biker

    urban_biker Funster

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    You can do this just by paying the deposit on a credit card. The credit card company then become liable for the whole transaction even if you pay the rest with a suitcase full of cash.
     
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  19. urban_biker

    urban_biker Funster

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    I withdrew cash from my mortgage to pay for mine. Now I am just overpaying to keep the mortgage on track. But interest is only 2.79% so much cheaper than any bank loan.
     
  20. The Wino

    The Wino Funster

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    Sounds like the best bet to use the mortgage to get the cash pay by cc then pay off with the cash then? unless some manufactrers deal. I became sceptical of finance as a student still paying for a motorbike 2 years after I got rid of it
     

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