HELPDESK:Answering all your motoring queries is Michael McAleer
From B Smyth: If there is a scrappage scheme introduced, what guarantee do I have that dealers won't simply raise their prices and swallow up the tax rebate?
That is an understandable concern, although the market is so competitive at present - with prices falling by the week - that manufacturers and dealers would be silly to try such a stunt. Customers would quickly spot it and the damage to their reputation of doing something like that during a recession would be extremely damaging to the brand.
However, your point is well made. Anecdotal evidence from the UK scrappage scheme suggests some dealers used the scrappage to reduce their discounting position, particularly the unpublished discount margins dealers can use to haggle with.
If a scrappage deal is included in the Budget it will be important that buyers still haggle over the price and ringfence the scrappage offer outside their own negotiations.
From Mary B: We have a 2000 Toyota Yaris and we've been considering changing it for some time. Aside from the likelihood of a scrappage scheme, what would you suggest? We have a budget of about €7,000. We don't really want anything bigger than the Yaris, but perhaps something a little more stylish.
Your Budget means if there is no scrappage scheme introduced, you are looking at buying a used model. There have been significant discounts on cars already this year but they have not dropped to that level.
I don't know what you plan to do with your Yaris, but it could fetch up to €3,000 in trade-in if it's in good condition. That's one of the issues with a scrappage scheme - it doesn't necessarily benefit owners with cars that are in good shape and that hold more value than the scrappage offer. If your car is worth more than the proposed €2,000 tax rebate then it's better to pursue the regular trade-in deal.
Put a good condition Yaris together with a €7,000 saving and you should be able to shop around the secondhand market for cars with €10,000 price tags.
In terms of choice there is a vast array of potential buys. For a start you could pick up a 2008 Yaris for that money. There are plenty of 2008 previous generation Fiestas on the market that have low mileage - if any - and meet your budget. You could also consider a 2008 Nissan Note, one of the run-out previous generation VW Polos or a Suzuki Swift. Renault are offering good deals on Clios as well, so if you don't pick one up new you could surely get a nearly new one for your money.
Given the fact you mention style, I'd also phone a few Fiat dealers to see if anyone would do a deal on the smart-looking 500. Mostly they are going for slightly more than your budget allows, but if you catch a dealer on the right day you might get a bargain.
From GO'M: I'm considering getting a motorbike and selling the car. I commute from Lucan to the city centre and am sick of the traffic, the cost of the car and the parking hell. I've never been on a motorbike and last had a pushbike about 15 years ago. Obviously I'll get some training but should I buy a cheap old bike to start out and then move to a proper one later or go for new from the start?
For this query we turned to our our rather bruised biking colleague Geoff Hill. He responds: "You'll revel in the feeling of filtering through traffic past disgruntled car drivers, and as we reported only last week modern bike gear is so good that the weather needn't be a problem.
"My advice is to find out if biking suits you first, and there's no reason why it shouldn't if you were used to a pushbike.
"If you fancy a spin up to the North, you can get a free one-hour lesson, use of bike and gear under the Get On scheme (geton.co.uk). If not, just look in the phone book and organise a lesson.
"When you want to buy, you can either pick up something like a new Honda CBF125 or pick up a good used commuter bike for less than €2,000.
"If you've the budget, go for new or something up to a couple of years old, and bring along a biking friend who knows what to look out for.
"It's a perfect time to buy, with the credit crunch meaning dealers are offering loads of bargains at the moment."
"If a scrappage deal is included in the Budget it will be important that buyers still haggle over the price . . .