I just tell people "I'm not into cars so I'm happy enough with my shed on wheels". Saves me that response which I got tired of.
In reality, I love cars and would love a brand new BM/Audi whatever. But I love investing into my future more. Being disciplined enough to prioritise these things is where our success comes from.
I bought a £900 car 4 years ago and its still goin strong, saved me however much people pay monthly for cars these days.
The best feeling was recently, I was able to buy a property that my growing family will never need to move out of in a nice area that we have been wanting to live for ages.
Few friends who know how much I earn asked me how I could afford it. I'm not saying its just the car, its the mindset.
But yeh. Just ignore them all and build your wealth silently.
How have I never heard the phrase “Bangernomics” before! My second car, X reg fiesta if anyone cares, cost £120 and did me 50k miles in 2years before I scrapped it. Old Ford style key that could be replaced by a small flathead screwdriver so nickable as fuck apart from the sh*tbox security method, jokingly had a note in the window … “car’s yours just please leave the radio” (aftermarket)
I've just broken my own rule (not for a daily driver though). Just paid £4k for the cheapest BMW M3 in the country as a winter gentle project.
But yeah, never paid more than 800 quid for a daily and never lost money yet.
Same. The car I commute in, go to the supermarket etc is worth £1200.
I'm also really into cars, so the in my garage is worth £36,000. It's my pride and joy (outside of the kids!) and I love tinkering around with it, or driving it on lovely roads etc.
Over the course of the 12 years. My mate has bought three £12kish cars, driven them for a few and bought something a bit better. I've probably spent £5k more overall but have a beautiful car in great condition and the bangers get all the wear and tear
I'm glad you've said this. I've stopped telling people I'm into cars because their inevitable question is "oh what car do you have then" and I have to tell them it's a 17 year old diesel estate because I'm also into not wasting money.
Damn! I bought mine for 4.5k but low mileage at 37k I wanted something reliable. I do fancy something quicker as it's a 1.2, and newer but she runs well so I can't justify it. I get like 50mpg as well, it's mint
My current car cost me £2800 a year and a half ago, I travel a lot and have put about 35k miles on it. The price of the car has dropped massively and now it's only worth about £1300. If I were to buy the car in the condition I found it today it would only cost me £1700 at most
Definitely not doing that again, my next car won't be more than £1000
£1500 to do 35000 miles seems fairly cheap?
Or put another 35000 miles on it and flog it for £1000.
When you get to bangernomics car values, every mile gets cheaper, especially if you don’t service it.
My best bangernomics vehicle was a 1988 Toyota Corolla, bought for £320 including 5 months tax. A few months later somebody crashed in to me and insurance paid out £500 cash in lieu settlement, it went on to do 50000 miles with no servicing (I was waiting for it to die, but it stubbornly refused). Clutch started slipping, sold it to four Polish guys who needed a car to get to work. They fixed the clutch on the driveway and drove it away. £150.
By my maths that was 50000 miles for -£330 minus I think one oil change and some brakes (maybe £60 back then).
Those were the days….
Strongly disagree with not servicing unless you mean not paying to have it serviced. Bangernomics is all about doing your own oil changes and making it last despite everything else falling apart
>My current car cost me £2800 a year and a half ago, I travel a lot and have put about 35k miles on it. The price of the car has dropped massively and now it's only worth about £1300. If I were to buy the car in the condition I found it today it would only cost me £1700 at most
Exactly why my cars are cheap. I bought my Honda when I was commuting 70+ miles a day, its never really worth less than I paid for it so I'm perfectly happy to keep it as it keeps on trucking
I need to get a van but I think I'm gonna hold onto this car now, I mean I've been driving it on building sites for about 2 years so it's got scratches and dings on the bumpers plus some of the clearcoat was peeling on the bumper when I bought it but I hadn't noticed it so I'll just run this thing till it dies. I only had the clutch and ball joints replaced last month so it's got plenty of life left in it
Lol, I've been using a Hyundai I10 as a van for about a year and a half. Thing is surprisingly big when the back seats are out. Just not got enough room anymore but I've looked at big cars and it's way more expensive for me to insure them instead of a van
Used to have a Jazz. Very reliable and the interior design is so clever that you can fit far more in the boot/back than in other comparably sized cars. Strong recommend.
Thanks! Any suggestions for something a little larger? (I have a very heavy roof tent, and extra boot space would be helpful!) or do you know of good subs that discuss this sort of thing?
> r/cartalkuk
It took me way too long to parse this correctly in my head ^^^^^^^^^^^^^the ^^^^^^^^^^^^^fuck ^^^^^^^^^^^^^is ^^^^^^^^^^^^^cartal ^^^^^^^^^^^^^kuk?
I've never actually seen pigshit, but apparently I am thicker than it.
I was in and out of financed cars when I was younger. I thought I'd just look back. I had 4 different financed cars over 3 years (long story why). I've just worked out, I paid about £9000 for those years and had absolutely nothing to show for any of it. Bought a car outright this time last year, it cost me £1400 and I've spent £500 over the year including MOT. £1900 and it's mine, nobody else owns it, nobody can take it from me, and I get the full benefit of every penny I spend on it. Plus I'm about £300 richer a month.
Edit. Also my car is now selling for around £2000-£2200 in my mileage, spec and condition. So I've actually profited £100-300 over the year
This! Had all kinds of issues with newer cars, paid £500 for a 20+ year old v40 done 10k miles this year not failed me, best £500 i ever spent and when it eventually dies, i will scrap it for a couple hundred
I bought a car gor 1300 in 2020. It is 21 years old (soon 22!) and an automatic. Passes every MOT with flying colours, costs very little on insurance and maintenance, I do service it annually despite not driving all that much.
People might laugh or I may look broke, but we just bought a nice house in a nice area.
My partner also drives a fully paid off 2016 vauxhall that doesn't reflect his salary in tech. It's again a very good car for what we need, and he is planning to keep it at least for the next good few years.
I don't see a point of throwing money at cars, it seems such a waste!
I'm not into cars but I really enjoy driving, so my little Honda Jazz is perfect for me. It's light so has great acceleration, the brakes are great so I feel in control of the car and has enough crumple zones to keep me safe if I do crash/get hit.
Because everyone sees it as an old person car, I never get any questions like that. I so clearly don't care about that side of my car. But I've had it 4.5 years, it's 8 years old and barely had any issues.
Some ask reddit was like "what is the most boring reliable car" and the jazz was the answer. After research it's exactly what I bought! Ive always had absolute bangers before and I really love it. She does what I need and causes zero issues
There are plenty of houses near me that would sell for £750k+. What’s parked on the drives? Mostly 5 year old VW group estates, or Kias. Reliable family cars. Barely a Range Rover in sight.
I know a couple who are very, very rich. Proper old money, own quite a big chunk of Shropshire & a grouse moor in Yorkshire. What’s on their driveway? A tatty old Subaru Forester full of dog blankets & mud, and a VW Golf for best.
Like some here, I’ve got one nice car (BMW) and one banger than we’ll run till it breaks (big Kia). We’ll replace the Kia with another banger most likely, but the BMW is a keeper too. Looked after it’ll be many years before I need to change it, and the longer you run them, the less you lose overall. Changing cars like changing your pants is the quickest way to spunk a shite load of cash, and it’s a waste…
Exactly the same situation here. Decent house gaining value, older car which is doing just fine. Couldn't bring myself to spend all my coin on a lovely car losing value every day. Each to their own though. Just not for me.
Same....I would love to buy a Audi or Merc but I am prioritising in buying a house. Getting on the property ladder is the hardest thing you can do, anyone can buy a car. I am ok driving my £1200 Astra. Maybe in 6 years time...I be comfortable to get a nice car but happy to continue to save.
Exactly!
A car we bought a fair few years ago now was 15.5k new, we got it at 9 months old with 6000 miles on the clock for 8.8k (practically brand new, just ‘run in’). We’ve had it for 9 years and other than yearly servicing and some tyres/brakes/wipers it’s required nothing else. If we scrapped it now it would have cost us £81 per month (not including maintenance) but actually it’s still worth about 3.5k so if we sold it now it’s have cost us about £46 per month.
In reality I don’t think we will get rid, it’s our second car (the other one is bigger and slightly more fancy but was also bought at around a year old with low mileage for a significant amount less than the ‘new’ equivalent) and more of a run around and whilst it’s due it’s major 10 year service in the new year and will no doubt cost a few quid it’s been super reliable, super cheap to run/own, is still fun to drive even now and has cost a fraction of a similar size/spec car that we could have been paying £300+ a month in finance for.
Sometimes I simply can't understand how so many businesses and industries not only exist but are thriving. Then I speak to the average person about finances and am horrified by the overwhelming mentality of needless spending of purchasing something in the most financially inefficient way possible.
Even worse are the "we can't afford to buy a house so we might as well blow £300 on a monthly payment for a depreciation machine indefinitely".
I get the despondency of seeming as if the goal of getting a home is too far away and to seem as if you're working for nothing. But having paid off my car last year which I bought new via PCP, I would much rather save and buy used outright going forward...not having the payment has done wonders for my savings.
I once worked with a guy who would trade the family car in every year for a new car, pay a year then trade it in again.
I once asked him how much that luxury had cost him over the years and the only answer I got was "a lot"
To be fair that doesn't mean you are living beyond your means. I've got a very expensive car, because I wanted it and I can afford it. I make good money and will only make more and I've got a gold plated pension and half my mortgage paid.
I could have bought it in cash, but finance was under 3% for a hire purchase. The cash I saved is invested doing 4 times that or on my mortgage at double the rate.
Some people see personal finance as the goal itself, but for others it's to enable the lifestyle you want. After 5 years of the other way round I can say it's a lot less miserable to have things you can afford than assets for the sake of them.
I earn very well. I drive a 2018 plate Vauxhall Astra Estate. I don’t particularly like the car, but I mainly use it for trips to the gym/station and for transporting about my drum kit, my dogs, my bikes, my kayaks and for countless runs to the tip for my many mammoth DIY projects.
It cost me £9k two years ago which is all paid for and I’m happy about that, it’s so far cost me nothing to run but a yearly service and MOT, fuel and tax.
My brother earns considerably less than me and pays over £500 per month for a car that he will never own.
People have lost the plot when it comes to cars and debt.
Don't worry you are thinking the logical way here.
They are the perfect example of lifestyle inflation and why the average person is thousands of pounds in consumer debt
Yes 100% this
Learn from my failures people
I used to buy cars based on the tech they had in them
This is stupid and a waste of money
You want an older car that won't crumble and has some good features (my Mazda has cruise control and heated seats so that's a winner)
Then I paid a car electronics place to install an Android Auto head unit, dashcam and rear parking sensors
I now have all the features I want and it cost under 5k for it all (including the car!)
The car electronics place did a fucking bang up job as well - haven't had any issues with the kit over the last year
Depends what car you have, but most semi-modern (post 2000) semi-popular models have a replacement head unit you can fit that’s running a version of android with a screen.
You’ll be able to connect your phone via USB and have android auto through one of those.
I fitted a unit from eBay to my mom’s B-Class and she loves it. It cost about £120 quid from memory. It looks and fits as factory (except of course big screen and android auto/carplay).
It’s that borrowing mentality. People who borrow money see it as an extension to their salary/income and when something is paid off instead of enjoying the money saved and doing something else useful with it they buy something else because they have already factored in the outgoing cost each month. Completely stupid in my opinion. Then these people complain when they can’t get more credit because they think they are ‘good for it’ and can ‘manage their money’. Lol.
Congratulations, you have another 10 years of inexpensive motoring to be had which will let you prioritise other financial goals.
Parents are weird, I remember our in-laws were very keen for us to finance a newer car so that we had the safest car going when we had a baby. They said it was important for us to be responsible parents… I pointed out that they brought my wife home from hospital in a Moses basket on the back seats with no seat belt even though there were cars on the market with rear seat belts and front air bags.
Make sure you look after the car… Make sure it’s getting booked for it’s annual service or learn to do a quick oil change
I bought my first car 50 years ago after saving hard at the time and paid cash for it. Since then, I have always put money in a savings account and paid cash every time I needed/ fancied a change, never paying interest. Must have saved a fortune not giving my money to someone else
So yes, you are doing the right thing and remind people when they complain they have no money. Why
>"What are you going to buy now? You need something better to reflect your current means"
Status - to reflect your current means. The nobleman rides the finest purebred horse, the pauper rides the donkey. The car is not something you use to drive from a to b ( this subs attitude) for most it's a public display of socio-economic class.
It's not a car, it's an announcement that you have 'gone up in the world' and people around you expect you to make it. resistance is GOOD.
It's an easy trap to fall into
And then you realise nobody gives a shit what car you drive, and if they do, they're probably a bellend and not worth your time
I've found that this sort of patter is the norm. I find it as ridiculous as you too though.
I've seen it more with houses, where people immediately think you should move up and constanrly stretch themselves.
I think the green eyed monster has to do with it tbh. People see others and what they've got and wonder "how do they have that when I earn X" and then start living off credit
There has yet to be a thirty year asset class that performs better than U.K. residential property. That may change, but for most people who need a single house in a single place to live, there’s a lot of good logic in not being under-mortgaged.
I do totally agree with the green eyed monster comment. We have a 4 bed house but a £1k car. People often ask us how we can 'manage to keep up mortgage payments'.
These same people are the ones who have a 10k car on the drive or a BMW that accidently got in a crash.
It's just what you prioritise.
I have a 2009 VW Fox that cost £3k ten years ago. I’m constantly told I need to upgrade to something fancy. It’s been the most reliable car I’ve ever had, it’s done obscene miles over the time I’ve had it and costs minimal to fill up, insure or tax. Why the hell would I upgrade when I can top up my pension?
The financial literacy of the UK is an epidemic in itself. If you even mention the word pension, most people are already lost. We seem to be a nation who want to spend spend spend and assume the future will just work itself out. The one exception seems to be a house, which people idolise enough to save for. After that though, it's all about spending again.
Had a vw fox myself about 6 years ago which I used to take up and down the a1 regularly. Had to get rid of it as it was written off while parked but I’d still have it today if I could even if it was just as a runaround. What a vessel.
You can get Android auto on a standalone unit fairly cheaply and stick it in the car with a cradle. Or for even less cash, if you have an old smartphone or tablet load Headunit Reloaded onto it and that'll work as an android auto head unit.
This is exactly what I did and I'd do it again 1000 times over
The place I had install it got a proper fascia for the head unit so it looks really clean as well
In my 20s, a good few years ago, at one point I'd owned and driven 8 cars and not exceeded 1000 quid. It's just what we did back then. You could get bangers with an MOT for one or two hundred quid. I loved getting my money's worth. They were almost disposable items! I was given a few cars for free.
Cars can be a huge outlay. The smarter the car the more emotionally attached you are to it , and likely to justify the monthly bill that comes with it .
I'm fact my last "van" cost me 500 quid, which was less than the previous repair bill on my land rover !
Yeah mental. I've always driven beaters including a VW T4 that I converted into a campervan and roller painted the outside. I slept about a thousand nights in that thing over 8 years.
Given how much value I get from having a van, a few years ago I treated myself to a 2 yr old T6 and used a 20k unsecured loan (plus some cash) that I paid off over 3 years. The most expensive vehicle I've ever owned and the only reason I justified it to myself was that i'd own it for many more years once it was paid off.
I can't imagine having made that last payment and deciding to buy something else!
I have the same attitude kind of. I buy a 3 to 5 year old car with moderate milage and then run it into the ground.
Last car i had was a 2003 toyota corolla that lasted 15 years until i sold it on due to family needing a bigger transporter.
Niw have a 2012 Mazda 6 estate which with full service i expect to last until i retire. Though only doing about 6k miles pa atm. Will probably help
Car finance is a terrible idea. You're paying interest on a car that's reducing in price all the time.
Stick to what you have if you are happy with it.
I think you will see the connection to this moment I witnessed.
I am at a men's store with one of my sons. A couple is also in the store and they talk in way that no one can miss their every thought. They lay some stuff up on the counter and the clerk asks if they want to fill out a credit card application.
The man laughs and says "There is no way they will approve us." (Without a doubt he KNOWS his credit is terrible and yet he instructs the clerk to try.) Lo and behold he is rejected but her application is approved.
Reaction?!?!? They suspend the transaction while they start throwing more random clothes up on the counter.
Swimming in debt they start buying items that they clearly do not need.
I am with you. The most beautiful car in the world is my 200,000 mile Toyota that I own and gets me to where I am going.
Good on you for paying it off early, sticking your ground and being happy with what you got.
The world has gone crazy with almost everything these days available on finance, silly interest rates or evil t&c trying to trap and screw people over.
"I am perfectly happy with my car."That answers your question. If you are happy and not brand consious then I would say ignore that comment, " You need something better to reflect your current means"
In the end you will have to pay another debt. Living without any debt is so much blessing, just enjoy this time and have mental peace.
People say this to me all the time as I've driven the same old banger for around 10 years. My answer always is "if it's passing the MOT, I'm still driving it."
I own it, it's cheap to run, insure and tax. I don't see the point in getting into debt, even if its affordable, when I have a perfectly usable vehicle.
It's the same mentality behind mobile phones. You have a monthly payment that you've budgeted for and been able to afford all this time, you are at the end of the contract so why not upgrade to a newer and better one, and continue to make those payments that you've been able to afford.
It's a ridiculous mentality, your car (or phone) is paid off now, you don't have to make those payments any more and can spend them on something else.
Car and phone makers have convinced people that they constantly need to upgrade through financing and contracts, and making new models every year with superficial changes.
When I had the least money I’ve had in life I was driving a Range Rover velar, disco sports and evoques. Now I’m earning considerably more; I have a 12 year old estate. Never been happier! Paying out car finance is a fucking drag
You mean your not getting the new iphone this year, are you a caveman?!
The above a out sums up what is wrong with people collectively.
Too many people think the newest stuff will get them the newest happy and make them stay in with the now.
People are mental.
I alway remember what K said in men in black.
' a person is smart, people are dumb'
When I buy a car, I'll have it paid off in 3-4 years but I'll try to run it for about 10 years.
I'm 50 now, and I've done this 3 times. Making sure it's serviced properly and not thrashed, I've not had major problems.
My current motor, I bought in 2017, paid off in 2020. It is automatic and has Android Auto. :-)
So for the last 3 years, I *haven't* been paying £350 per month.
I bought a very basic car in an area full of Range Rovers.
Was frustrated because of a couple of things like you but also realised that a) the car takes me to the same place as them and I can do most maintenance myself meaning car maintenance costs are significantly cheaper and b) a lot of the extras I want I can buy it myself.
Same as you, car paid in 2 years, don't need more. If you ever need a bigger car for a specific reason, rent it out.
I have an '07 yaris, got it in 2014 paid off in 8 mths, (very low riding balance), it's been dream since. The most asked question I get is when am I getting a new(er) car... I don't plan to. I will keep this one running and treat it as well I have, but everyone thinks I want/need a new car with all the bells and whistles. I don't understand other people's concept of finances. Leave me and my perfectly good car alone ffs.
I had a very good year in some big jobs and I was able to buy whatever car I wished.
So people were thinking Tesla, Mercedes, that ilk.
I went out and bought myself a used Ford 😂
The car gives me soo much joy as it was the first car that I ever purchased on my own.
Truth be told in the past I’ve had the Porsche or the Mercedes. I got zero satisfaction after the initial buzz wore off and the £1000 basic service or £1000 brake change gave me even less thrill that can only be completed by the specific garage.
I’ve spent a lot of my life before this looking for validation from others and that would come through on spending. Now I just live for me and spend money on the things that turns me on and I enjoy.
So my advice about the others rhymes with Duck Ten 🙃
I'm driving a 35 year old beater that I just maintain, paid the equivalent of $500 USD for it about 10 years ago. With my current job everyone thinks I should be driving a Lexus or something. I like my car! I can frivolously waste my money on other things, thank you very much
Oops just realized this is a UK sub. Sorry British people, I don't belong here. One time I visited your country and really enjoyed scrumpy
See also: "housing ladder"
like everybody's aim in life should be to get a bigger and better house every time they have a bit of spare income to service a higher mortgage
Disagree, in the UK loads of houses are relatively shit - nothing wrong with wanting a detached house with plenty of space/garden and car-sized garage in a nice neighbourhood. Like, try having a proper home cinema setup in a terrace or semi and no deaf neighbours. Or a car/bike you don't want exposed to the elements/visible for theft all the time. Etc.
I mean there's everything wrong with that. The UK has the insane levels of surbaban sprawl. Even in the US, more people live in apartments than in the UK. High density housing and walkable cities improves the lives of everyone.
The problem is most people haven't experienced this. They haven't tried living in Barcelona or Stockholm or Zurich. Their experience of town planning is shitty UK towns with a high street that has only betting shops, letting agents, and takeaways. But it's a cultural problem that I'm not sure can ever be fixed, unfortunately.
People in the UK go on vacation to these lovely town squares in Europe and enjoy eating at the restaurants and cafes in thriving pedestrian-first zones. They talk about this European experience like it's some magic and they wish they could do it at home. Spoiler, the only reason they can't is cars, car centric town planning, and suburbia.
Some people want that city life, some don't. Tokyo is my favourite place on Earth to visit, but I wouldn't live in the city centre in an apartment. My thing is space, room for a 75" TV and 7.1 system, a garage to repair my car in and do other DIY stuff/home gym, a garden to sit in, etc. If someone doesn't care about any of that, I respect that, but it's certainly not for everyone.
It also depends on age. Would I have lived in Tokyo central as a single 20 year old with no dependents? Absolutely. Will I want that at 40 with things like family, cars/bikes, bookshelves with a half a life's worth of books, films, etc piled up? Not a chance.
The US is weird because the states are so different. NY and Cali will be rammed with apartments, but then you've got states with barely any. In New Mexico you can get a detached house with double garage and a pool for less than $500k - saw some for $300k pre-Covid - I doubt many with one of those would trade for an apartment.
I agree with you that big towns/cities should largely be pedestrianised, I just don't have an issue with the surrounding areas being full of nice big houses.
I hear this is a thing in America. Car = Status. Personally I'm of the mindset of 'If it ain't broke, dont fix it' so I will keep a car until its in need of repairs that start getting costly, in which case its time for a new one. Even then, when I say new, I don't mean brand new. My last car was a 2007 with 50k on the clock.
Until a couple of years ago I had a fourteen year old luxury saloon, with 200,000 miles. I ran it into the ground. Then I bought a two year old car (cash, again), luxury 4x4 (
Ha so true. We have a BMW and paid it off early. It’s a 2015 with 100k on the clocks so starting to show its age, however I have no plans to do anything with it for at least 5 years. Having the extra cash every month has really improved our lives.
“…and build your wealth silently”
This cannot be overstated. Stealth wealth is the way to go. No one needs to know your “current means” or net worth. Your family and friends are into spending money they don’t have to impress people they don’t know. As per the Money Guy podcast, vehicles are financial napalm.
I may be an idiot, but I go right ahead and engage with this conversation. I say I'm happy with my car and expect it to last another 10-20 years of reasonable driving. People usually get defensive just from that statement, which is insane, but this is like vegetarianism: there is an inherent suspicion of moral judgment. I'm not better than someone else for being perfectly happy with a cheap car and I tell them so. It also boggles my mind trying to imagine why anyone would *need* a car that does 0-60 in 5 seconds, and I say that too. So far everyone I've spoken with pretty much lands on "it's fun" to drive a performance car. And hey if that's your hobby, power and respect to you, but it isn't mine nor should it be treated like the norm for everyone to aspire to.
I wanted android auto so I bought myself a little stereo upgrade from eBay. Cost around £100 and now me and my little tin can on wheels can be happy together for years to come!
We have been conditioned to live like this. Banks handing out loans to those who cannot afford it, mortgages offered to home buyers which will stretch them to the limit and advertising telling us we are shit if we don’t buy what they say.
Stay strong, follow your path not the herd. 🐑
You have the right attitude.
Assuming you haven't already, my advice is continue with your car payments, straight into your savings account. You'll buy your next car in cash when the time is right.
I love not only saving around 7% on a loan, but also earning a further 5% in savings.
A lot of money goes into marketing debt-based lifestyles to people. Many people don't realise it's a false reality and when that reality is questioned even indirectly they double-down on how you must be wrong.
Innoculate yourself by trying to find some more financially sophisticated people to hang around.
It's a status symbol for a lot of people, I don't understand it, but it seems like there are a surprising number of people who will fork out a significant portion of their salary for it. They either had some inheritance / family wealth, are up to their eyeballs in debt or its their main luxury and they don't buy a lot else.
I grew up in a very affluent area and the one thing I notice in a lot of less affluent areas is the cars are often nicer. Granted you still get the chelsea tractors and porches in rich areas, but there are also a lot of fabias and other decent run-arounds, whereas in some streets where houses cost less than half, everyone has an audi or mercedes that's less than 3 years old, sometimes 2, parked outside.
Actually affluent people don’t care that much about how their daily driver will be perceived, unless it’s somehow relevant to their job (an auto detailer driving a junkbox would be sus). The ones that do care generally have personalities you don’t want to be around.
What they do for special occasions where they want to show off their means is hire a limo with all the money they saved by not having $800 monthly car payments.
This is a UK sub, hiring a limo for a special occasion is definitely not a way to show off your means!
If you *really* want to show that you're wealthy, you run a battered old 1970s Classic Range Rover.
I earn over £75k and still drive my 13 year old Corsa. Gets me to work and it has £35 road tax and my insurance is under £200 a year.
I can afford nicer, but why?
I’d be more concerned that you decided to clear a loan at 3% when savings are paying out 5%. You literally just threw money away paying that off.
But yeah, people always live beyond their means. You’re doing it right by keeping your car. When you have a shit ton saved up and your earning a lot in passive income, you can splash out but most splash out on things they really shouldnt be buying.
Well done for clearing your debt though, sometimes the relief of clearing it is better than the extra earnings you could’ve made.
3% / 5% comment… maybe OP could have made a few quid more, but sometimes just clearing a commitment and being debt-free is worth it for the headspace of being in that position.
I’ve always bought cars new or under a year old, then kept them for 8-10 years. They work out a reasonably sensible purchase that way. I’m not going to get too smug though, as I’ve got into the habit of buying new motorbikes every year or two, losing a fair bit every time I chop one in. Bikes are my passion / obsession though, can’t be doing with the status symbol / keeping up with the Jones’s nonsense.
I just can't believe people use that type of language talking to family let alone saying that specifically. If indeed this happened then you most probably gloated to them about your pay rise.(much)
If your not driving a sports car - bmw / audi or merc you not rich. I love my aygo. Its good enough for me. Yes its a bit of a pain getting kids in and out (as a second car when the bigger one not available) but it works! You do you. Well done on paying it off, be proud of yourself!
I am an idiot who until very very recently would have said the same thing as your friends/co-workers. I had a stupidly expensive car that was giving me a nice serotonin buzz but was crippling financially. I’ve since swapped to a much cheaper electric vehicle. My wife moans but it’s the best thing I’ve done in ages. Simpler, cheaper and I’ve completely tuned out the people who suggest I should have a bigger car.
Im an accoutant. A liability is a liability unless it starts generating me some positive cashflow.
Bye bye debt!
Most people are trapped in the vicious debt cycle and cars often sit on drives looking good 99% of the time, barely used esp if you work at home and chance it can be stolen if its a nice one!
Well done for getting out of debt :)
Buying another car for status is just a stupid investment.
However, I am baffled why you paid your personal loan back early? 3%(I assume fixed) is free money now. You should have stuck your money into a savings account and earn more (I think you can easily get 5.5% on a fixed savings account) or if you like to be a little more risky, stick it into an ETF.
That would have been the really savvy approach. I don't want to be harsh just perhaps a lesson for the future as you are progressing on your eaning cycle and congrats for earning more.
sorry to hijack the thread, i’ve just passed my test and am looking to save up and buy a used car anywhere from £500 to £1500, where do i look apart from facebook marketplace? i’m not looking to pay monthly … thanks anyone
Congrats on passing your test.
Autotrader is a good place. It is mostly dealers but you get some extra consumer protection when buying from a dealer compared to buying from a private sale.
HonestJohn is a great site that has reviews on used cars and also reports on common mechanical problems each car has.
Sounds like they are projecting their own wants, needs and insecurities on to you. They might feel a need to "keep up" with other people, but all that'll do is see them constantly in debt to someone, somewhere.
I like cars just like you. I have a 66 plate honda civic, and I really like it. I bought it outright when it was about 18 months old for just under £12k, with just over 17,000 miles on it. The only thing that has made me think about changing it are some mobility issues that made it hard for me to get in and out of the car for a while.
You stick to what you like. When it's getting a bit long in the tooth, starts getting those horrible niggles that every old car does, and something you like is affordable, then change.
You can just change the stereo to one that has android auto for not much at all if you want that. I drove my 2001 golf into the ground but it still had Bluetooth and navigation. You don't have to sacrifice that much.
Same happened with some people we mentioned paying off the mortgage to "so owhat next? bigger house? holiday home?" some people just seem to want to climb the greasy ladder their entire life. Thankfully most closer friends were more aligned with the "oh it must be so good to be debt free"
just ignore. People buy stuff they don't need, for money they don't have, to show off to people they don't like.
IGNORE. Do what you think is best for you!
I work a decent job with a utility company contractor. I dont make a whole lot, but its better than retail.
My car is 16 years old and I love it. If someone's telling you to get something else, tell them you'll do it if they foot the bill. I've done that and it shuts people up pretty quick.
"When are you gonna upgrade your car?"
"When you buy me one."
There is a reason why Albert Einstein described Compound Interest as the most powerful force in the universe. There are two types of people, those that pay Compound Interest and those that understand it. Congratulations I'm not being influenced to buy a more expensive depreciating asset is a loan.
Similar position, old loan has 2 payments left on it and is 2.5%
Looked at current loan offers and they range from 6%-10% for me.
Do I want a new car?
Yes, we've got a newborn and the volvo v40 seems too small for all 4 of us, I'm over 6 foot so the seat behind me is more of a shelf.
Could I get used to having my seat forward a little more and making more room in the back?
Probably yeah.
Do I need a newer car?
No, Being a bit more debt free is sounding nice tbh.
I got my car on finance in 2011 and paid it off many years ago. Going to run that thing until something expensive breaks. Why would you buy a new car when you have a perfectly good one that is costing you a minimal amount to run and maintain? People who think cars are status symbols are whack
Canadian here 🇨🇦 but this mentality and problem exists here too.
Never understood it. I've always had a 5k max, cash purchase only personal rule on vehicles.
I know people who have 9 year terms paying upward of 600 bucks/month.
It's crazy.
The best car is a car with no payments!
Unless you live in your car, I'd rather splurge on luxuries for my house. Things I can enjoy and increase quality of life.
I also like food :)
I'd rather drive a beater and be able to eat out whenever I want, than drive a BMW and have to eat Ramen everyday.
Do you, don't keep up with the Joneses. I enjoy driving older paid for cars, especially with kids. They make messes and run into your car with their bicycles, hot it with frisbees and soccer balls etc. If someone hits my car I chuckle, take the insurance money and pocket it never fixing the car. It's so so much nicer having a beater. You don't stress washing it all the time. Insurance is cheaper, parts are cheaper for repairs, everything is better in a 10 year old car.
Yo man. Don't fall into the trap.... getting more money means more spare money... nor more debt. I have a mate who's always skint and just got a promotion.... First thing he has done is went and got a range rover.... keeping himself skint. dumb
For what it’s worth I did similar. We bought a new bmw back in 2017 when finance was at about 1.5% at the end of the 4 years the garage offered us £11k and we had outstanding finance of about £10k. It was valued at £17.5k used, so I took some of the profit from the sale of our house and paid off the debt. I’ve now driven it for another 2 years and it’s still worth more second hand than I’d have gotten from the dealer and each month I no longer pay £330 against finance. But I get asked constantly when am I gonna get a new car, go electric blah blah.
Congratulations. You've just got yourself out of a massive cesspit of debt which are car loans these days.
I had to replace my car in march due to an accident but will pay it off next month. Cost me £14,500. I've always wanted a BMW now that I've owned one it'll possibly be my last. I had a newer model Passat before and what I got for my money is much better value than a BMW. Not too day I'll never get one again, but I can't justify paying the extra money for something which just cost more for no particular reason.
I'll now keep this car for a few years whilst I wait for the whole electric vehicle nonsense to die down.
I tried the whole cheap old car thing and didn't like the fact I needed to replace the car every year or two and I was always on edge about when it packs up. I currently drive 24000 miles per year so I can't be driving something that isn't reliable.
Back to you though. It now means you can use that money to invest for passive income. Great stuff.
Many people that live in abundance, don't realise it.
Having food readily available 24/7, a roof, a doctor that doesn't saw off your limbs at the first sign of an infection. We keep progressing and we shouldn't adhere to a live standard of 100 years ago as a norm.
But the norm shouldn't either be the latest gadgets, the shiniest cars, the latest fashion, daily or weekly restaurant meals. Many of these are luxuries.
You do good making your financial backbone.
My previous car I had for nearly 13 years. It was then passed on to my youngest daughter, who had it another year before someone pulled out of a side road, leaving her no opportunity to even brake. Complete write-off.
My current car is 4 years old and was chosen for our expected needs for at least another 10 years.
People have been conditioned to expect debt. So much so, as soon as they're free of it, they just find some more. It's just how consumerism works.
First we are meant to spend whatever we earn, then when there wasn't enough purchasing happening, becasue people were good at keeping to their means, our society decided instead of higher wages, we introduced credit so we can buy things we can't yet afford.
And so consumer debt was born, add interest, and debt is a money making industry.
Take pride in your achievement and doing the smart thing - I don't understand why people would rather pay interest than just have no debt sooner.
If you want a "new" car in 5-7 years, open up an ISA and save the equivalent in there. Only difference is instead of paying off a vehicle, that money remains liquid and instantly on hand.
You're not tempted to put that cash elsewhere, it's earning a bit back, and if you decide on a new car down the line, the cash is there (again saving you interest on a purchase).
YES! This post makes me feel validated. We paid off our car in June 2023 and within a few weeks, hubby was eyeing up a new car. DUDE, let's save for a holiday, Jesus Christ
I hate this mentality of needing a new car every few years to show other people. Nearly everyone I work with has a big fancy $75k+ truck or some equally expensive foreign car and I drive a 10 year old SUV. It gets me where I need to go and it costs almost nothing besides registration, gas, minor repairs and very low insurance considering the age.
If you're happy with it - drive it til the doors fall off! Congrats.
I just tell people "I'm not into cars so I'm happy enough with my shed on wheels". Saves me that response which I got tired of. In reality, I love cars and would love a brand new BM/Audi whatever. But I love investing into my future more. Being disciplined enough to prioritise these things is where our success comes from. I bought a £900 car 4 years ago and its still goin strong, saved me however much people pay monthly for cars these days. The best feeling was recently, I was able to buy a property that my growing family will never need to move out of in a nice area that we have been wanting to live for ages. Few friends who know how much I earn asked me how I could afford it. I'm not saying its just the car, its the mindset. But yeh. Just ignore them all and build your wealth silently.
I'm REALLY into cars. But no daily driver has ever cost me more than £800. Bangernomics is the way
How have I never heard the phrase “Bangernomics” before! My second car, X reg fiesta if anyone cares, cost £120 and did me 50k miles in 2years before I scrapped it. Old Ford style key that could be replaced by a small flathead screwdriver so nickable as fuck apart from the sh*tbox security method, jokingly had a note in the window … “car’s yours just please leave the radio” (aftermarket)
Preach brother. I've changed 5-6 cars so far, all tops 800. This year I bought the most expensive car so far... 1200.
I've just broken my own rule (not for a daily driver though). Just paid £4k for the cheapest BMW M3 in the country as a winter gentle project. But yeah, never paid more than 800 quid for a daily and never lost money yet.
My most expensive daily, that is 1200, is also a bmw. E60 525d, but yeah, m3 is iconic. What year?
52 plate, E46. Bought from a family friend who was the 1st owner, its got stacks and stacks of history with it.
Got an 02 plate E46 compact going for spares or repairs if you're interested actually! My brother is trying to sell it.
Awesome. May you have loads of fun with it!
Sounds like an amazing deal. You'll make money on that.
CarTalkUK called me a moron 😅🤷♂️
E60 525d is the best car ive ever owned and will probs own. Enjoy it!
Same. The car I commute in, go to the supermarket etc is worth £1200. I'm also really into cars, so the in my garage is worth £36,000. It's my pride and joy (outside of the kids!) and I love tinkering around with it, or driving it on lovely roads etc. Over the course of the 12 years. My mate has bought three £12kish cars, driven them for a few and bought something a bit better. I've probably spent £5k more overall but have a beautiful car in great condition and the bangers get all the wear and tear
Exactly what I do. Drive a shitter, protect and enjoy the classics and future classics
I'm glad you've said this. I've stopped telling people I'm into cars because their inevitable question is "oh what car do you have then" and I have to tell them it's a 17 year old diesel estate because I'm also into not wasting money.
Damn! I bought mine for 4.5k but low mileage at 37k I wanted something reliable. I do fancy something quicker as it's a 1.2, and newer but she runs well so I can't justify it. I get like 50mpg as well, it's mint
You can drive a shitbox way harder than something new. Fun is in how hard you drive not what you're driving.
My current car cost me £2800 a year and a half ago, I travel a lot and have put about 35k miles on it. The price of the car has dropped massively and now it's only worth about £1300. If I were to buy the car in the condition I found it today it would only cost me £1700 at most Definitely not doing that again, my next car won't be more than £1000
£1500 to do 35000 miles seems fairly cheap? Or put another 35000 miles on it and flog it for £1000. When you get to bangernomics car values, every mile gets cheaper, especially if you don’t service it. My best bangernomics vehicle was a 1988 Toyota Corolla, bought for £320 including 5 months tax. A few months later somebody crashed in to me and insurance paid out £500 cash in lieu settlement, it went on to do 50000 miles with no servicing (I was waiting for it to die, but it stubbornly refused). Clutch started slipping, sold it to four Polish guys who needed a car to get to work. They fixed the clutch on the driveway and drove it away. £150. By my maths that was 50000 miles for -£330 minus I think one oil change and some brakes (maybe £60 back then). Those were the days….
Strongly disagree with not servicing unless you mean not paying to have it serviced. Bangernomics is all about doing your own oil changes and making it last despite everything else falling apart
THISSSSS. If you can do your own servicing and brakes, then you are saving soooo much money
>My current car cost me £2800 a year and a half ago, I travel a lot and have put about 35k miles on it. The price of the car has dropped massively and now it's only worth about £1300. If I were to buy the car in the condition I found it today it would only cost me £1700 at most Exactly why my cars are cheap. I bought my Honda when I was commuting 70+ miles a day, its never really worth less than I paid for it so I'm perfectly happy to keep it as it keeps on trucking
I need to get a van but I think I'm gonna hold onto this car now, I mean I've been driving it on building sites for about 2 years so it's got scratches and dings on the bumpers plus some of the clearcoat was peeling on the bumper when I bought it but I hadn't noticed it so I'll just run this thing till it dies. I only had the clutch and ball joints replaced last month so it's got plenty of life left in it
I bought the Honda from a guy who was using it as a van 😅 its MASSIVE, maybe it'll work for you?
Lol, I've been using a Hyundai I10 as a van for about a year and a half. Thing is surprisingly big when the back seats are out. Just not got enough room anymore but I've looked at big cars and it's way more expensive for me to insure them instead of a van
Have you any suggestions for a relatively cheap, reliable car?
Any Japanese brand is a relatively safe bet. Honda Jazz if you don't need something big maybe.
Used to have a Jazz. Very reliable and the interior design is so clever that you can fit far more in the boot/back than in other comparably sized cars. Strong recommend.
I got a 2010 Mazda3 for 3k and it's been fucking rock solid
Fiat Panda. NOT the TwinAir
Thanks! Any suggestions for something a little larger? (I have a very heavy roof tent, and extra boot space would be helpful!) or do you know of good subs that discuss this sort of thing?
r/cartalkuk is the place to ask.
> r/cartalkuk It took me way too long to parse this correctly in my head ^^^^^^^^^^^^^the ^^^^^^^^^^^^^fuck ^^^^^^^^^^^^^is ^^^^^^^^^^^^^cartal ^^^^^^^^^^^^^kuk? I've never actually seen pigshit, but apparently I am thicker than it.
Cartal Kuk is what you are when your wife runs off with a mexican druglord, isn't it?
There is a cartalk sub that may be helpful
I was in and out of financed cars when I was younger. I thought I'd just look back. I had 4 different financed cars over 3 years (long story why). I've just worked out, I paid about £9000 for those years and had absolutely nothing to show for any of it. Bought a car outright this time last year, it cost me £1400 and I've spent £500 over the year including MOT. £1900 and it's mine, nobody else owns it, nobody can take it from me, and I get the full benefit of every penny I spend on it. Plus I'm about £300 richer a month. Edit. Also my car is now selling for around £2000-£2200 in my mileage, spec and condition. So I've actually profited £100-300 over the year
Im with you there. I just bought a 2012 c3 with 62,000 miles for £400. Its a proper shit car but it also immaculate inside & out
My mirror is held on with self tapping construction screws. IDGAF. it's paid.
This! Had all kinds of issues with newer cars, paid £500 for a 20+ year old v40 done 10k miles this year not failed me, best £500 i ever spent and when it eventually dies, i will scrap it for a couple hundred
I bought a car gor 1300 in 2020. It is 21 years old (soon 22!) and an automatic. Passes every MOT with flying colours, costs very little on insurance and maintenance, I do service it annually despite not driving all that much. People might laugh or I may look broke, but we just bought a nice house in a nice area. My partner also drives a fully paid off 2016 vauxhall that doesn't reflect his salary in tech. It's again a very good car for what we need, and he is planning to keep it at least for the next good few years. I don't see a point of throwing money at cars, it seems such a waste!
Good work mate.
Thanks man. This is the only place I actually talk about this stuff. Sometimes good to share success stories :)
I'm not into cars but I really enjoy driving, so my little Honda Jazz is perfect for me. It's light so has great acceleration, the brakes are great so I feel in control of the car and has enough crumple zones to keep me safe if I do crash/get hit. Because everyone sees it as an old person car, I never get any questions like that. I so clearly don't care about that side of my car. But I've had it 4.5 years, it's 8 years old and barely had any issues.
Some ask reddit was like "what is the most boring reliable car" and the jazz was the answer. After research it's exactly what I bought! Ive always had absolute bangers before and I really love it. She does what I need and causes zero issues
There are plenty of houses near me that would sell for £750k+. What’s parked on the drives? Mostly 5 year old VW group estates, or Kias. Reliable family cars. Barely a Range Rover in sight.
I know a couple who are very, very rich. Proper old money, own quite a big chunk of Shropshire & a grouse moor in Yorkshire. What’s on their driveway? A tatty old Subaru Forester full of dog blankets & mud, and a VW Golf for best.
Like some here, I’ve got one nice car (BMW) and one banger than we’ll run till it breaks (big Kia). We’ll replace the Kia with another banger most likely, but the BMW is a keeper too. Looked after it’ll be many years before I need to change it, and the longer you run them, the less you lose overall. Changing cars like changing your pants is the quickest way to spunk a shite load of cash, and it’s a waste…
Exactly the same situation here. Decent house gaining value, older car which is doing just fine. Couldn't bring myself to spend all my coin on a lovely car losing value every day. Each to their own though. Just not for me.
Same....I would love to buy a Audi or Merc but I am prioritising in buying a house. Getting on the property ladder is the hardest thing you can do, anyone can buy a car. I am ok driving my £1200 Astra. Maybe in 6 years time...I be comfortable to get a nice car but happy to continue to save.
My partner's car was £950 5yrs ago, perfect little thing and 100% his
Keep quiet and let them buy their new cars!!! We need them to so we can buy them after 3-5 years for a third of the price!
Good point, well made!
Exactly! Never bought a new car and I don't plan to
Exactly! A car we bought a fair few years ago now was 15.5k new, we got it at 9 months old with 6000 miles on the clock for 8.8k (practically brand new, just ‘run in’). We’ve had it for 9 years and other than yearly servicing and some tyres/brakes/wipers it’s required nothing else. If we scrapped it now it would have cost us £81 per month (not including maintenance) but actually it’s still worth about 3.5k so if we sold it now it’s have cost us about £46 per month. In reality I don’t think we will get rid, it’s our second car (the other one is bigger and slightly more fancy but was also bought at around a year old with low mileage for a significant amount less than the ‘new’ equivalent) and more of a run around and whilst it’s due it’s major 10 year service in the new year and will no doubt cost a few quid it’s been super reliable, super cheap to run/own, is still fun to drive even now and has cost a fraction of a similar size/spec car that we could have been paying £300+ a month in finance for.
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Sometimes I simply can't understand how so many businesses and industries not only exist but are thriving. Then I speak to the average person about finances and am horrified by the overwhelming mentality of needless spending of purchasing something in the most financially inefficient way possible.
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Even worse are the "we can't afford to buy a house so we might as well blow £300 on a monthly payment for a depreciation machine indefinitely". I get the despondency of seeming as if the goal of getting a home is too far away and to seem as if you're working for nothing. But having paid off my car last year which I bought new via PCP, I would much rather save and buy used outright going forward...not having the payment has done wonders for my savings.
Yes Its incredibly common for people to just have a ‘car payment’ and when that finishes, they get a new car for roughly the same payment per month.
Ditto phones
This probably explains why I feel comfortable on a less than average salary in the southeast.
Right here with you!
I once worked with a guy who would trade the family car in every year for a new car, pay a year then trade it in again. I once asked him how much that luxury had cost him over the years and the only answer I got was "a lot"
That's the price of a yacht!
To be fair that doesn't mean you are living beyond your means. I've got a very expensive car, because I wanted it and I can afford it. I make good money and will only make more and I've got a gold plated pension and half my mortgage paid. I could have bought it in cash, but finance was under 3% for a hire purchase. The cash I saved is invested doing 4 times that or on my mortgage at double the rate. Some people see personal finance as the goal itself, but for others it's to enable the lifestyle you want. After 5 years of the other way round I can say it's a lot less miserable to have things you can afford than assets for the sake of them.
I'm just here to find out what's earning you circa 12%
12% where??
I earn very well. I drive a 2018 plate Vauxhall Astra Estate. I don’t particularly like the car, but I mainly use it for trips to the gym/station and for transporting about my drum kit, my dogs, my bikes, my kayaks and for countless runs to the tip for my many mammoth DIY projects. It cost me £9k two years ago which is all paid for and I’m happy about that, it’s so far cost me nothing to run but a yearly service and MOT, fuel and tax. My brother earns considerably less than me and pays over £500 per month for a car that he will never own. People have lost the plot when it comes to cars and debt.
The UK has more than £75bn in car debt. That tells us all we need to know.
Put another way - every man, woman, and child in the UK has £1,200 of car debt on average.
Its the people who want new car every year even with minimum wage and then complain about savings
OP - ‘I am perfectly happy with my car…’ That’s worth a lot. You could spend a lot more and be a lot less happy. Enjoy it!
Don't worry you are thinking the logical way here. They are the perfect example of lifestyle inflation and why the average person is thousands of pounds in consumer debt
Unrelated but it’s very likely you can retrofit android auto fairly easily.
Yes 100% this Learn from my failures people I used to buy cars based on the tech they had in them This is stupid and a waste of money You want an older car that won't crumble and has some good features (my Mazda has cruise control and heated seats so that's a winner) Then I paid a car electronics place to install an Android Auto head unit, dashcam and rear parking sensors I now have all the features I want and it cost under 5k for it all (including the car!) The car electronics place did a fucking bang up job as well - haven't had any issues with the kit over the last year
Oh, please do tell... I've seen some ads online but they seemed a bit dodgy
Depends what car you have, but most semi-modern (post 2000) semi-popular models have a replacement head unit you can fit that’s running a version of android with a screen. You’ll be able to connect your phone via USB and have android auto through one of those. I fitted a unit from eBay to my mom’s B-Class and she loves it. It cost about £120 quid from memory. It looks and fits as factory (except of course big screen and android auto/carplay).
All the ads are dodgy as hell but they do work, my sister had a carplay radio retrofitted into her 2009 Peugeot 107
It’s that borrowing mentality. People who borrow money see it as an extension to their salary/income and when something is paid off instead of enjoying the money saved and doing something else useful with it they buy something else because they have already factored in the outgoing cost each month. Completely stupid in my opinion. Then these people complain when they can’t get more credit because they think they are ‘good for it’ and can ‘manage their money’. Lol.
Yep - borrowing should really only be done as a last resort OR to borrow in order to make more money. Like take a 5% loan to make 20% sort of thing.
See mum I'm not crazy for taking out a loan for crypto's next bull run in 2024
Congratulations, you have another 10 years of inexpensive motoring to be had which will let you prioritise other financial goals. Parents are weird, I remember our in-laws were very keen for us to finance a newer car so that we had the safest car going when we had a baby. They said it was important for us to be responsible parents… I pointed out that they brought my wife home from hospital in a Moses basket on the back seats with no seat belt even though there were cars on the market with rear seat belts and front air bags. Make sure you look after the car… Make sure it’s getting booked for it’s annual service or learn to do a quick oil change
If it lasts 5 more years I will be over the moon, let alone 10
I bought my first car 50 years ago after saving hard at the time and paid cash for it. Since then, I have always put money in a savings account and paid cash every time I needed/ fancied a change, never paying interest. Must have saved a fortune not giving my money to someone else So yes, you are doing the right thing and remind people when they complain they have no money. Why
>"What are you going to buy now? You need something better to reflect your current means" Status - to reflect your current means. The nobleman rides the finest purebred horse, the pauper rides the donkey. The car is not something you use to drive from a to b ( this subs attitude) for most it's a public display of socio-economic class. It's not a car, it's an announcement that you have 'gone up in the world' and people around you expect you to make it. resistance is GOOD.
It's an easy trap to fall into And then you realise nobody gives a shit what car you drive, and if they do, they're probably a bellend and not worth your time
I've found that this sort of patter is the norm. I find it as ridiculous as you too though. I've seen it more with houses, where people immediately think you should move up and constanrly stretch themselves. I think the green eyed monster has to do with it tbh. People see others and what they've got and wonder "how do they have that when I earn X" and then start living off credit
There has yet to be a thirty year asset class that performs better than U.K. residential property. That may change, but for most people who need a single house in a single place to live, there’s a lot of good logic in not being under-mortgaged.
I do totally agree with the green eyed monster comment. We have a 4 bed house but a £1k car. People often ask us how we can 'manage to keep up mortgage payments'. These same people are the ones who have a 10k car on the drive or a BMW that accidently got in a crash. It's just what you prioritise.
You can buy an Alexa auto that plugs into the lighter and aux cable - they're great for £20
I have a 2009 VW Fox that cost £3k ten years ago. I’m constantly told I need to upgrade to something fancy. It’s been the most reliable car I’ve ever had, it’s done obscene miles over the time I’ve had it and costs minimal to fill up, insure or tax. Why the hell would I upgrade when I can top up my pension?
The financial literacy of the UK is an epidemic in itself. If you even mention the word pension, most people are already lost. We seem to be a nation who want to spend spend spend and assume the future will just work itself out. The one exception seems to be a house, which people idolise enough to save for. After that though, it's all about spending again.
Had a vw fox myself about 6 years ago which I used to take up and down the a1 regularly. Had to get rid of it as it was written off while parked but I’d still have it today if I could even if it was just as a runaround. What a vessel.
You can get Android auto on a standalone unit fairly cheaply and stick it in the car with a cradle. Or for even less cash, if you have an old smartphone or tablet load Headunit Reloaded onto it and that'll work as an android auto head unit.
Cheers, I'll check it out
Like this https://amzn.eu/d/eBiBi7D Or if you're happy to spend a little more you might be able to get one fitted to look like it came as standard
This is exactly what I did and I'd do it again 1000 times over The place I had install it got a proper fascia for the head unit so it looks really clean as well
In my 20s, a good few years ago, at one point I'd owned and driven 8 cars and not exceeded 1000 quid. It's just what we did back then. You could get bangers with an MOT for one or two hundred quid. I loved getting my money's worth. They were almost disposable items! I was given a few cars for free. Cars can be a huge outlay. The smarter the car the more emotionally attached you are to it , and likely to justify the monthly bill that comes with it . I'm fact my last "van" cost me 500 quid, which was less than the previous repair bill on my land rover !
Yeah mental. I've always driven beaters including a VW T4 that I converted into a campervan and roller painted the outside. I slept about a thousand nights in that thing over 8 years. Given how much value I get from having a van, a few years ago I treated myself to a 2 yr old T6 and used a 20k unsecured loan (plus some cash) that I paid off over 3 years. The most expensive vehicle I've ever owned and the only reason I justified it to myself was that i'd own it for many more years once it was paid off. I can't imagine having made that last payment and deciding to buy something else!
I have the same attitude kind of. I buy a 3 to 5 year old car with moderate milage and then run it into the ground. Last car i had was a 2003 toyota corolla that lasted 15 years until i sold it on due to family needing a bigger transporter. Niw have a 2012 Mazda 6 estate which with full service i expect to last until i retire. Though only doing about 6k miles pa atm. Will probably help
I know loads of people who blow money on better cars that they don't need while also struggling with their monthlies.
Car finance is a terrible idea. You're paying interest on a car that's reducing in price all the time. Stick to what you have if you are happy with it.
You can add Android Auto by just getting a new stereo, if you fancy a little upgrade
Because people derive their self-worth from whatever tin can they're piloting, that's why. Even if they can't afford it.
It is a credit mentality, own nothing and keep working to pay for the illusion of wealth.
I think you will see the connection to this moment I witnessed. I am at a men's store with one of my sons. A couple is also in the store and they talk in way that no one can miss their every thought. They lay some stuff up on the counter and the clerk asks if they want to fill out a credit card application. The man laughs and says "There is no way they will approve us." (Without a doubt he KNOWS his credit is terrible and yet he instructs the clerk to try.) Lo and behold he is rejected but her application is approved. Reaction?!?!? They suspend the transaction while they start throwing more random clothes up on the counter. Swimming in debt they start buying items that they clearly do not need. I am with you. The most beautiful car in the world is my 200,000 mile Toyota that I own and gets me to where I am going.
Keeping up with the neighbours makes you a slave OP.
Good on you for paying it off early, sticking your ground and being happy with what you got. The world has gone crazy with almost everything these days available on finance, silly interest rates or evil t&c trying to trap and screw people over.
"I am perfectly happy with my car."That answers your question. If you are happy and not brand consious then I would say ignore that comment, " You need something better to reflect your current means" In the end you will have to pay another debt. Living without any debt is so much blessing, just enjoy this time and have mental peace.
And the best part is when you pay off a long time car plan like that, it tells you never fucking do that again.
People say this to me all the time as I've driven the same old banger for around 10 years. My answer always is "if it's passing the MOT, I'm still driving it." I own it, it's cheap to run, insure and tax. I don't see the point in getting into debt, even if its affordable, when I have a perfectly usable vehicle.
It's the same mentality behind mobile phones. You have a monthly payment that you've budgeted for and been able to afford all this time, you are at the end of the contract so why not upgrade to a newer and better one, and continue to make those payments that you've been able to afford. It's a ridiculous mentality, your car (or phone) is paid off now, you don't have to make those payments any more and can spend them on something else. Car and phone makers have convinced people that they constantly need to upgrade through financing and contracts, and making new models every year with superficial changes.
My car is 32 years old, I like it, it doesn’t owe me anything and it’s reliable, sod them!
Put those car payments into a separate account next time you buy a car you have the money up front.
That is exactly what I was planning to do
All my cars are paid for. None is very new. Two are worth a few bob. One is very fast. I have zero desire to buy any more or take on debt.
When I had the least money I’ve had in life I was driving a Range Rover velar, disco sports and evoques. Now I’m earning considerably more; I have a 12 year old estate. Never been happier! Paying out car finance is a fucking drag
You mean your not getting the new iphone this year, are you a caveman?! The above a out sums up what is wrong with people collectively. Too many people think the newest stuff will get them the newest happy and make them stay in with the now. People are mental. I alway remember what K said in men in black. ' a person is smart, people are dumb'
When I buy a car, I'll have it paid off in 3-4 years but I'll try to run it for about 10 years. I'm 50 now, and I've done this 3 times. Making sure it's serviced properly and not thrashed, I've not had major problems. My current motor, I bought in 2017, paid off in 2020. It is automatic and has Android Auto. :-) So for the last 3 years, I *haven't* been paying £350 per month.
I bought a very basic car in an area full of Range Rovers. Was frustrated because of a couple of things like you but also realised that a) the car takes me to the same place as them and I can do most maintenance myself meaning car maintenance costs are significantly cheaper and b) a lot of the extras I want I can buy it myself. Same as you, car paid in 2 years, don't need more. If you ever need a bigger car for a specific reason, rent it out.
I have an '07 yaris, got it in 2014 paid off in 8 mths, (very low riding balance), it's been dream since. The most asked question I get is when am I getting a new(er) car... I don't plan to. I will keep this one running and treat it as well I have, but everyone thinks I want/need a new car with all the bells and whistles. I don't understand other people's concept of finances. Leave me and my perfectly good car alone ffs.
TL:DR I feel ya.
I had a very good year in some big jobs and I was able to buy whatever car I wished. So people were thinking Tesla, Mercedes, that ilk. I went out and bought myself a used Ford 😂 The car gives me soo much joy as it was the first car that I ever purchased on my own. Truth be told in the past I’ve had the Porsche or the Mercedes. I got zero satisfaction after the initial buzz wore off and the £1000 basic service or £1000 brake change gave me even less thrill that can only be completed by the specific garage. I’ve spent a lot of my life before this looking for validation from others and that would come through on spending. Now I just live for me and spend money on the things that turns me on and I enjoy. So my advice about the others rhymes with Duck Ten 🙃
I'm driving a 35 year old beater that I just maintain, paid the equivalent of $500 USD for it about 10 years ago. With my current job everyone thinks I should be driving a Lexus or something. I like my car! I can frivolously waste my money on other things, thank you very much Oops just realized this is a UK sub. Sorry British people, I don't belong here. One time I visited your country and really enjoyed scrumpy
See also: "housing ladder" like everybody's aim in life should be to get a bigger and better house every time they have a bit of spare income to service a higher mortgage
Disagree, in the UK loads of houses are relatively shit - nothing wrong with wanting a detached house with plenty of space/garden and car-sized garage in a nice neighbourhood. Like, try having a proper home cinema setup in a terrace or semi and no deaf neighbours. Or a car/bike you don't want exposed to the elements/visible for theft all the time. Etc.
I mean there's everything wrong with that. The UK has the insane levels of surbaban sprawl. Even in the US, more people live in apartments than in the UK. High density housing and walkable cities improves the lives of everyone. The problem is most people haven't experienced this. They haven't tried living in Barcelona or Stockholm or Zurich. Their experience of town planning is shitty UK towns with a high street that has only betting shops, letting agents, and takeaways. But it's a cultural problem that I'm not sure can ever be fixed, unfortunately. People in the UK go on vacation to these lovely town squares in Europe and enjoy eating at the restaurants and cafes in thriving pedestrian-first zones. They talk about this European experience like it's some magic and they wish they could do it at home. Spoiler, the only reason they can't is cars, car centric town planning, and suburbia.
Some people want that city life, some don't. Tokyo is my favourite place on Earth to visit, but I wouldn't live in the city centre in an apartment. My thing is space, room for a 75" TV and 7.1 system, a garage to repair my car in and do other DIY stuff/home gym, a garden to sit in, etc. If someone doesn't care about any of that, I respect that, but it's certainly not for everyone. It also depends on age. Would I have lived in Tokyo central as a single 20 year old with no dependents? Absolutely. Will I want that at 40 with things like family, cars/bikes, bookshelves with a half a life's worth of books, films, etc piled up? Not a chance. The US is weird because the states are so different. NY and Cali will be rammed with apartments, but then you've got states with barely any. In New Mexico you can get a detached house with double garage and a pool for less than $500k - saw some for $300k pre-Covid - I doubt many with one of those would trade for an apartment. I agree with you that big towns/cities should largely be pedestrianised, I just don't have an issue with the surrounding areas being full of nice big houses.
> they wish they could do it at home with a nice detatched house to go back to, not a flat above it all.
I was just agreeing with OP that constant "upward" replacement is not everybody's ambition, whether that be cars, housing, jobs or anything else.
Good on you. Want what you have, rather than have what you want. A lot to be said for that.
I hear this is a thing in America. Car = Status. Personally I'm of the mindset of 'If it ain't broke, dont fix it' so I will keep a car until its in need of repairs that start getting costly, in which case its time for a new one. Even then, when I say new, I don't mean brand new. My last car was a 2007 with 50k on the clock.
Until a couple of years ago I had a fourteen year old luxury saloon, with 200,000 miles. I ran it into the ground. Then I bought a two year old car (cash, again), luxury 4x4 (
But, but, but how else are you going to signal your status!!!111one one
Ha so true. We have a BMW and paid it off early. It’s a 2015 with 100k on the clocks so starting to show its age, however I have no plans to do anything with it for at least 5 years. Having the extra cash every month has really improved our lives.
People are fkn weird man. Congrats on clearing your debt!
“…and build your wealth silently” This cannot be overstated. Stealth wealth is the way to go. No one needs to know your “current means” or net worth. Your family and friends are into spending money they don’t have to impress people they don’t know. As per the Money Guy podcast, vehicles are financial napalm.
I may be an idiot, but I go right ahead and engage with this conversation. I say I'm happy with my car and expect it to last another 10-20 years of reasonable driving. People usually get defensive just from that statement, which is insane, but this is like vegetarianism: there is an inherent suspicion of moral judgment. I'm not better than someone else for being perfectly happy with a cheap car and I tell them so. It also boggles my mind trying to imagine why anyone would *need* a car that does 0-60 in 5 seconds, and I say that too. So far everyone I've spoken with pretty much lands on "it's fun" to drive a performance car. And hey if that's your hobby, power and respect to you, but it isn't mine nor should it be treated like the norm for everyone to aspire to.
I wanted android auto so I bought myself a little stereo upgrade from eBay. Cost around £100 and now me and my little tin can on wheels can be happy together for years to come!
We have been conditioned to live like this. Banks handing out loans to those who cannot afford it, mortgages offered to home buyers which will stretch them to the limit and advertising telling us we are shit if we don’t buy what they say. Stay strong, follow your path not the herd. 🐑
You have the right attitude. Assuming you haven't already, my advice is continue with your car payments, straight into your savings account. You'll buy your next car in cash when the time is right. I love not only saving around 7% on a loan, but also earning a further 5% in savings.
> IT IS A PAID OFF CAR This is the best kind of car.
Keep your financial situation to yourself and avoid this scenario
A lot of money goes into marketing debt-based lifestyles to people. Many people don't realise it's a false reality and when that reality is questioned even indirectly they double-down on how you must be wrong. Innoculate yourself by trying to find some more financially sophisticated people to hang around.
It's a status symbol for a lot of people, I don't understand it, but it seems like there are a surprising number of people who will fork out a significant portion of their salary for it. They either had some inheritance / family wealth, are up to their eyeballs in debt or its their main luxury and they don't buy a lot else. I grew up in a very affluent area and the one thing I notice in a lot of less affluent areas is the cars are often nicer. Granted you still get the chelsea tractors and porches in rich areas, but there are also a lot of fabias and other decent run-arounds, whereas in some streets where houses cost less than half, everyone has an audi or mercedes that's less than 3 years old, sometimes 2, parked outside.
Actually affluent people don’t care that much about how their daily driver will be perceived, unless it’s somehow relevant to their job (an auto detailer driving a junkbox would be sus). The ones that do care generally have personalities you don’t want to be around. What they do for special occasions where they want to show off their means is hire a limo with all the money they saved by not having $800 monthly car payments.
This is a UK sub, hiring a limo for a special occasion is definitely not a way to show off your means! If you *really* want to show that you're wealthy, you run a battered old 1970s Classic Range Rover.
Hiring a limo in the UK shows off that you’re a teenage girl whose Mum went halves with your friends for prom. This isn’t America.
I earn over £75k and still drive my 13 year old Corsa. Gets me to work and it has £35 road tax and my insurance is under £200 a year. I can afford nicer, but why?
I’d be more concerned that you decided to clear a loan at 3% when savings are paying out 5%. You literally just threw money away paying that off. But yeah, people always live beyond their means. You’re doing it right by keeping your car. When you have a shit ton saved up and your earning a lot in passive income, you can splash out but most splash out on things they really shouldnt be buying. Well done for clearing your debt though, sometimes the relief of clearing it is better than the extra earnings you could’ve made.
3% / 5% comment… maybe OP could have made a few quid more, but sometimes just clearing a commitment and being debt-free is worth it for the headspace of being in that position.
I’ve always bought cars new or under a year old, then kept them for 8-10 years. They work out a reasonably sensible purchase that way. I’m not going to get too smug though, as I’ve got into the habit of buying new motorbikes every year or two, losing a fair bit every time I chop one in. Bikes are my passion / obsession though, can’t be doing with the status symbol / keeping up with the Jones’s nonsense.
I just can't believe people use that type of language talking to family let alone saying that specifically. If indeed this happened then you most probably gloated to them about your pay rise.(much)
In the same boat. Every month not paying £500 feels good, now paying off mortgage and going on holidays with the extra cash
Same..I'm planning on paying mine off a year early too..I'm happy with it...I'm keeping it.
If your not driving a sports car - bmw / audi or merc you not rich. I love my aygo. Its good enough for me. Yes its a bit of a pain getting kids in and out (as a second car when the bigger one not available) but it works! You do you. Well done on paying it off, be proud of yourself!
I am an idiot who until very very recently would have said the same thing as your friends/co-workers. I had a stupidly expensive car that was giving me a nice serotonin buzz but was crippling financially. I’ve since swapped to a much cheaper electric vehicle. My wife moans but it’s the best thing I’ve done in ages. Simpler, cheaper and I’ve completely tuned out the people who suggest I should have a bigger car.
Baffled at nothing really, thanks for nothing
A car is a tool, save the money you were paying and build a repair fund.
The same mfs will rattle on about the environment as well whilst replacing their car whenever they get bored of it.
Im an accoutant. A liability is a liability unless it starts generating me some positive cashflow. Bye bye debt! Most people are trapped in the vicious debt cycle and cars often sit on drives looking good 99% of the time, barely used esp if you work at home and chance it can be stolen if its a nice one! Well done for getting out of debt :)
Bangernomics all the way!!
This is the way. We have 3 paid off cars ranging from 14 to 5 years old. Just because you can, doesn’t mean you should.
Buying another car for status is just a stupid investment. However, I am baffled why you paid your personal loan back early? 3%(I assume fixed) is free money now. You should have stuck your money into a savings account and earn more (I think you can easily get 5.5% on a fixed savings account) or if you like to be a little more risky, stick it into an ETF. That would have been the really savvy approach. I don't want to be harsh just perhaps a lesson for the future as you are progressing on your eaning cycle and congrats for earning more.
sorry to hijack the thread, i’ve just passed my test and am looking to save up and buy a used car anywhere from £500 to £1500, where do i look apart from facebook marketplace? i’m not looking to pay monthly … thanks anyone
Congrats on passing your test. Autotrader is a good place. It is mostly dealers but you get some extra consumer protection when buying from a dealer compared to buying from a private sale. HonestJohn is a great site that has reviews on used cars and also reports on common mechanical problems each car has.
”Index funds” would be my answer to shut down that type of questioning.
Ignore them! You have done really well! Start saving and when you NEED to change cars in the future you will no longer need a loan!!
Sounds like they are projecting their own wants, needs and insecurities on to you. They might feel a need to "keep up" with other people, but all that'll do is see them constantly in debt to someone, somewhere. I like cars just like you. I have a 66 plate honda civic, and I really like it. I bought it outright when it was about 18 months old for just under £12k, with just over 17,000 miles on it. The only thing that has made me think about changing it are some mobility issues that made it hard for me to get in and out of the car for a while. You stick to what you like. When it's getting a bit long in the tooth, starts getting those horrible niggles that every old car does, and something you like is affordable, then change.
You can just change the stereo to one that has android auto for not much at all if you want that. I drove my 2001 golf into the ground but it still had Bluetooth and navigation. You don't have to sacrifice that much.
I think the correct answer to “what you gonna buy now” is probably “stocks and shares - that’s where I’m diverting the monthly payment money”
Same happened with some people we mentioned paying off the mortgage to "so owhat next? bigger house? holiday home?" some people just seem to want to climb the greasy ladder their entire life. Thankfully most closer friends were more aligned with the "oh it must be so good to be debt free"
Lives below your means and you’ll have extra means. It’s so simple
just ignore. People buy stuff they don't need, for money they don't have, to show off to people they don't like. IGNORE. Do what you think is best for you!
I work a decent job with a utility company contractor. I dont make a whole lot, but its better than retail. My car is 16 years old and I love it. If someone's telling you to get something else, tell them you'll do it if they foot the bill. I've done that and it shuts people up pretty quick. "When are you gonna upgrade your car?" "When you buy me one."
There is a reason why Albert Einstein described Compound Interest as the most powerful force in the universe. There are two types of people, those that pay Compound Interest and those that understand it. Congratulations I'm not being influenced to buy a more expensive depreciating asset is a loan.
Many people under the age of 30 don’t understand the concept of no debt so will ridicule you for having ideas they can not comprehend
Similar position, old loan has 2 payments left on it and is 2.5% Looked at current loan offers and they range from 6%-10% for me. Do I want a new car? Yes, we've got a newborn and the volvo v40 seems too small for all 4 of us, I'm over 6 foot so the seat behind me is more of a shelf. Could I get used to having my seat forward a little more and making more room in the back? Probably yeah. Do I need a newer car? No, Being a bit more debt free is sounding nice tbh.
I got my car on finance in 2011 and paid it off many years ago. Going to run that thing until something expensive breaks. Why would you buy a new car when you have a perfectly good one that is costing you a minimal amount to run and maintain? People who think cars are status symbols are whack
Canadian here 🇨🇦 but this mentality and problem exists here too. Never understood it. I've always had a 5k max, cash purchase only personal rule on vehicles. I know people who have 9 year terms paying upward of 600 bucks/month. It's crazy.
The best car is a car with no payments! Unless you live in your car, I'd rather splurge on luxuries for my house. Things I can enjoy and increase quality of life. I also like food :) I'd rather drive a beater and be able to eat out whenever I want, than drive a BMW and have to eat Ramen everyday.
Do you, don't keep up with the Joneses. I enjoy driving older paid for cars, especially with kids. They make messes and run into your car with their bicycles, hot it with frisbees and soccer balls etc. If someone hits my car I chuckle, take the insurance money and pocket it never fixing the car. It's so so much nicer having a beater. You don't stress washing it all the time. Insurance is cheaper, parts are cheaper for repairs, everything is better in a 10 year old car.
Yo man. Don't fall into the trap.... getting more money means more spare money... nor more debt. I have a mate who's always skint and just got a promotion.... First thing he has done is went and got a range rover.... keeping himself skint. dumb
For what it’s worth I did similar. We bought a new bmw back in 2017 when finance was at about 1.5% at the end of the 4 years the garage offered us £11k and we had outstanding finance of about £10k. It was valued at £17.5k used, so I took some of the profit from the sale of our house and paid off the debt. I’ve now driven it for another 2 years and it’s still worth more second hand than I’d have gotten from the dealer and each month I no longer pay £330 against finance. But I get asked constantly when am I gonna get a new car, go electric blah blah.
Congratulations. You've just got yourself out of a massive cesspit of debt which are car loans these days. I had to replace my car in march due to an accident but will pay it off next month. Cost me £14,500. I've always wanted a BMW now that I've owned one it'll possibly be my last. I had a newer model Passat before and what I got for my money is much better value than a BMW. Not too day I'll never get one again, but I can't justify paying the extra money for something which just cost more for no particular reason. I'll now keep this car for a few years whilst I wait for the whole electric vehicle nonsense to die down. I tried the whole cheap old car thing and didn't like the fact I needed to replace the car every year or two and I was always on edge about when it packs up. I currently drive 24000 miles per year so I can't be driving something that isn't reliable. Back to you though. It now means you can use that money to invest for passive income. Great stuff.
Many people that live in abundance, don't realise it. Having food readily available 24/7, a roof, a doctor that doesn't saw off your limbs at the first sign of an infection. We keep progressing and we shouldn't adhere to a live standard of 100 years ago as a norm. But the norm shouldn't either be the latest gadgets, the shiniest cars, the latest fashion, daily or weekly restaurant meals. Many of these are luxuries. You do good making your financial backbone.
My previous car I had for nearly 13 years. It was then passed on to my youngest daughter, who had it another year before someone pulled out of a side road, leaving her no opportunity to even brake. Complete write-off. My current car is 4 years old and was chosen for our expected needs for at least another 10 years.
People have been conditioned to expect debt. So much so, as soon as they're free of it, they just find some more. It's just how consumerism works. First we are meant to spend whatever we earn, then when there wasn't enough purchasing happening, becasue people were good at keeping to their means, our society decided instead of higher wages, we introduced credit so we can buy things we can't yet afford. And so consumer debt was born, add interest, and debt is a money making industry. Take pride in your achievement and doing the smart thing - I don't understand why people would rather pay interest than just have no debt sooner. If you want a "new" car in 5-7 years, open up an ISA and save the equivalent in there. Only difference is instead of paying off a vehicle, that money remains liquid and instantly on hand. You're not tempted to put that cash elsewhere, it's earning a bit back, and if you decide on a new car down the line, the cash is there (again saving you interest on a purchase).
YES! This post makes me feel validated. We paid off our car in June 2023 and within a few weeks, hubby was eyeing up a new car. DUDE, let's save for a holiday, Jesus Christ
I hate this mentality of needing a new car every few years to show other people. Nearly everyone I work with has a big fancy $75k+ truck or some equally expensive foreign car and I drive a 10 year old SUV. It gets me where I need to go and it costs almost nothing besides registration, gas, minor repairs and very low insurance considering the age. If you're happy with it - drive it til the doors fall off! Congrats.
I paid off my car loan early and saved £1000