id like to gaurantor for him , i work and have good credit history , do you think there will be a problem getting a car for him , thanks
2007-09-29 20:14:09 · 13 answers · asked by suz 2 in Business & Finance ➔ Credit
can i just add that my son is very sensible and i would be prepared to take the payments over if he were to stop paying , i would also take the car off him, i just wandered if there would be a problem getting the finance , thanks
2007-09-29 20:24:32 · update #1
sorry i should have said that he already has an old car that is constantly breaking down , he needs reliable transport to get him to work and i should have said that it isnt a brand new car he wants , maybe a car a few years old costing £4000, thanks
2007-09-29 20:57:02 · update #2
DON'T DO IT unless you plan to make the car payment. A 19 yr old is not responsible enough to stick with it and then YOU will be stuck with the problem...good credit now, ruined credit later..it happens ALL THE TIME! My advice...never sign as a guarantor for anybody!
2007-09-29 20:21:14 · answer #1 · answered by MeInUSA 5 · 1⤊ 1⤋
I agree with the person above saying that a new new car isn't advisable for that age group, however a decent used car will also often mean taking some credit. If you go guarantor for him, he is responsible for the loan, it comes out of his bank account etc, but you will be responsible for paying the loan if he defaults. You will both be credit checked and scored. I have to object to the person who says 19 is too irresponsible - it depends on the person. My Mother went guarantor for my first car when I was 19 and there were no problems at all. I paid the loan in full and it helped kick start a good credit rating. If you trust your son then there's no problem and he'll thank you later for getting him on the credit ladder, it's hard enough to get a mortgage these days!
2007-09-30 03:28:22 · answer #2 · answered by Xai 5 · 0⤊ 0⤋
IF you are able to take over the payments if he can't and
IF you will take the car away if you have to do this. Then this sounds like you have a good plan, since it does not seem as if you are looking for an expensive car. The only thing you might want to do is to wait until he is at the job just a little longer, especially if this is his first job. Even if you are a Co-Signer the banks are going to want to see several months of job history from him.
2007-09-30 04:12:48 · answer #3 · answered by OC1999 7 · 0⤊ 0⤋
Basically what you will be doing is co-signing on the loan for him, based on what you say, you have good credit history, you also need to look at how much you bring in and how much goes out. Can you afford to make the payments if he doesn't?
A new car is not really smart in this day and age, they lose their value the minute they are titled.
Consider a used car, the insurance will be cheaper, but since he is 19 and a boy, it still will be high.
2007-09-30 03:23:53 · answer #4 · answered by dogwarrior2001 4 · 2⤊ 0⤋
Best bet would be to buy the car for him and let him use it, pay the tax and insurance etc. Then take without fail a set amount from his wages every week or month until it is paid off. Then sell it to him for a pound and transfer ownership. This will give him real taste of paying on credit as long as you do not give him any payment holidays.
2007-09-30 03:32:25 · answer #5 · answered by ANF 7 · 0⤊ 0⤋
The only problem will be if he doesn't keep up the payments and becomes 30 days late it will go on your credit history too.
Have him give you his check to mail the payment or use your checks and have him pay you so you can control your credit rating.
My parents cosigned a loan for me at that age but it was only 6 payments of $50.
2007-09-30 04:05:55 · answer #6 · answered by shipwreck 7 · 0⤊ 0⤋
I agree with dog warrior - check the insurance cost before you buy the car. You could be adding another £2000 to the cost, as he's a 19 year old lad.
We've paid £1000 to insure our 19 year old son 3RD PARTY ONLY on a 1.0l S-reg car. If it's a newer car, you'd need comprehensive cover as it's worth more.
You'd be better off getting an X or Y reg Corsa for £2k
2007-09-30 04:20:18 · answer #7 · answered by chip2001 7 · 0⤊ 1⤋
so you want an 08 or 07 ?
you may want to keep one for yourself !they'll see you comming a mile or 2 away.
some used , car dealers have their own finance .the more Money you put Down,the lower finance charges may be.then you have ins. you can get aproval to use your own if you follow their requirements
2007-09-30 03:29:31 · answer #8 · answered by martinmm 7 · 0⤊ 0⤋
No problem what so ever as getting finance on a car is usually secured anyway:
http://www.financecomparator.co.uk/carloan.html
2007-10-01 14:08:21 · answer #9 · answered by John S 4 · 1⤊ 0⤋
Yes, it will work.
But I advise against it unless you are perfectly OK with the idea of taking over the payments at any time, for the life of the loan.
2007-09-30 03:25:10 · answer #10 · answered by Uncle Pennybags 7 · 1⤊ 1⤋