Renault Megane III 2013 Dynamique 1.6(Payments)

[CerburA]

Hi guys

So i started my first job in January and needed a car to travel from Vanderbijlpark to Sandton everyday. I bought myself a Renault Megane III 2013 Dynamique 1.6 , due to some problems(My contract said I am a contractor) I had to take the car over 4 years with insane interest rate. I bought the car for R160 000.00 and I am currently paying around R4 600 per month, and my insurance for the car is about R1 600. I think I am paying a lot more then I should and was looking at a cheaper alternative. Can anyone maybe give some guidance on what would be the best thing to do at this stage to lower my monthly car expenses.

Some options I have thought of:
Buying a new car over a longer term.
Refinance my current car.

Any help will be much appreciated

 

[Toxxyc]

I was in the same position with my first car dude, don't feel bad. I would recommend you stick it out for while, at least a year, and your next purchase should be a lot lower on interest.

To give you an idea, I signed my first car on 18.5% interest. The second one, which I bought just over a year later, was signed at 11.5%. From there is just went down as well, to where I am now.

If you really have to, sell off the car and look into getting a ~2010 model Honda Jazz. They're relatively cheap these days and they give EXCEPTIONAL value for money. You should be able to pick one up with decent kilos for around R90,000, meaning you'll look at a ~R2,000 monthly repayment, even with bad interest.

Regarding insurance - get your father to insure the car on his name with you as the primary driver. I'm doing the same - instead of paying ~R1,200 per month on insurance, I pay just under R400 on my Jazz. Worth it? Totes.

 

[Overide]

Some advice from an Insurance point of view, I initially wanted to insure my car on my fathers name but through talking to his broker it was suggested that i take out a minimum household insurance and add the car to that. Worked out way cheaper than getting standalone insurance.

 

[PCUSER]

I was in the same position with my first car dude, don't feel bad. I would recommend you stick it out for while, at least a year, and your next purchase should be a lot lower on interest.

To give you an idea, I signed my first car on 18.5% interest. The second one, which I bought just over a year later, was signed at 11.5%. From there is just went down as well, to where I am now.

If you really have to, sell off the car and look into getting a ~2010 model Honda Jazz. They're relatively cheap these days and they give EXCEPTIONAL value for money. You should be able to pick one up with decent kilos for around R90,000, meaning you'll look at a ~R2,000 monthly repayment, even with bad interest.

Regarding insurance - get your father to insure the car on his name with you as the primary driver. I'm doing the same - instead of paying ~R1,200 per month on insurance, I pay just under R400 on my Jazz. Worth it? Totes.

I did this when I still lived with my parents, many moons ago.

I would try to re-finance the car. It will cost nothing to just get a quotation. I went from Santam to Absa regarding my insurance. Its makes a couple of hundreds difference. So shop around for better prices.
Otherwise, to buy a new car will for sure get you lower installments, but it might come with baloon payments.

 

[DeathByIp]

Wisdom imparted on my. Don't skimp on insurance and if you can't afford the car with insurance, you can't afford it.

Trade the Megane in for a Clio as resale on Renault will hurt your soul for any other brand.

 

[PJtheKILL3R]

Hi guys

So i started my first job in January and needed a car to travel from Vanderbijlpark to Sandton everyday. I bought myself a Renault Megane III 2013 Dynamique 1.6 , due to some problems(My contract said I am a contractor) I had to take the car over 4 years with insane interest rate. I bought the car for R160 000.00 and I am currently paying around R4 600 per month, and my insurance for the car is about R1 600. I think I am paying a lot more then I should and was looking at a cheaper alternative. Can anyone maybe give some guidance on what would be the best thing to do at this stage to lower my monthly car expenses.

Some options I have thought of:
Buying a new car over a longer term.
Refinance my current car.

Any help will be much appreciated

Your insurance sounds insane!
I only pay slightly more than that for my Golf 6 R's insurance and I am considered such a high risk (Under 25) that most insurers didn't even want to give me a qoute

Like others have said shop around for cheaper insurance I don't see how (given a low risk profile : Age,No prior accidents etc) that your insurance on a vehicle worth R160 000 should be more than 1K
I had a Nissan Navara valued at R220 000 insured for R1350 with miway, but yeah each persons risk profile differs.

 

[Ravin']

Your insurance definitely sounds too high, I bought a 2012 Mazda 3 two months ago for Uber, the car is on an open-driver policy, my hired driver is main driver though, but they don't record that, business insurance with passenger R5 million liability (All this should easily be double than personal insurance) and I'm paying R1300 per month :/ Outsurance quoted me R1650 p/m

Get some more quotes there bud, that's insane

 

[Greekking]

Insurance depends on

Age
Years with license
Area and so on ... I know someone paying R1800 on a golf and someone paying R760 on same golf ... phone around and ask ... start with outsurance so you can get R400 back but read ts and cs ...



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