HaydnH Posted June 21, 2012 Share Posted June 21, 2012 I posted a thread about these sorts of schemes a few years ago when I was looking at getting some sort of Audi/BMW estate for the family. But, if I'm honest, I just don't 'get' it. I work in Finance so I understand how the contracts work, I'm just yet to see one that I can actually see a benefit to?? From what I can see, they all consist of you driving around in a car you couldn't normally afford to purchase, so you rent it for three years and then give it back........meaning that when you give it back you have nothing to show for it apart from spending over £10k in rent Personally I agree, maybe the benefit is that you're meant to pose for 3 years, hopefully get a fit wife, and then go back to your normal life afterwards with slightly less money? Quote Link to comment Share on other sites More sharing options...
ioneabee Posted June 21, 2012 Share Posted June 21, 2012 it works far better if your a business and vat registered you get half the vat back and can wite the car down to tax plus you get to put all the maintenance "and etc stuff" to tax as well Quote Link to comment Share on other sites More sharing options...
Leeroy Posted June 21, 2012 Share Posted June 21, 2012 you rent it for three years and then give it back........meaning that when you give it back you have nothing to show for it apart from spending over £10k in rent I'd rather wait for 3 years for the car to be affordable to buy, even if you have to take a loan out - at least you have a car at the end of it and don't have to worry about mileage and being hammered for minor damage at hand-in time. I'm looking at cars at the moment and good RS4's (b7 shape) can be had for less than £20K, S4's (b7) and BMW 335i's for £15K. I'd rather gt one of these than splash £10K plus on something I don't even own Quote Link to comment Share on other sites More sharing options...
Iwantone Posted June 21, 2012 Share Posted June 21, 2012 I posted a thread about these sorts of schemes a few years ago when I was looking at getting some sort of Audi/BMW estate for the family. But, if I'm honest, I just don't 'get' it. I work in Finance so I understand how the contracts work, I'm just yet to see one that I can actually see a benefit to?? From what I can see, they all consist of you driving around in a car you couldn't normally afford to purchase, so you rent it for three years and then give it back........meaning that when you give it back you have nothing to show for it apart from spending over £10k in rent I agree total with you. It depends upon whether you have a buy it or rent it mentality. Personally, I like to own something when I've paid my hard earned cash. Steve Quote Link to comment Share on other sites More sharing options...
Sarnie Posted June 21, 2012 Share Posted June 21, 2012 you rent it for three years and then give it back........meaning that when you give it back you have nothing to show for it apart from spending over £10k in rent I'd rather wait for 3 years for the car to be affordable to buy, even if you have to take a loan out - at least you have a car at the end of it and don't have to worry about mileage and being hammered for minor damage at hand-in time. I'm looking at cars at the moment and good RS4's (b7 shape) can be had for less than £20K, S4's (b7) and BMW 335i's for £15K. I'd rather gt one of these than splash £10K plus on something I don't even own +1 A year or so ago, i set aside about £10k to get the Mrs a car as she wanted rid of the M3. I very nearly considered putting that down as as deposit and getting a Q7 for about £650 a month. But once I worked out that in three years I would have spent £34k on the car only to then gve it back and have nothing to show for it, I had to slap myself! In the end I bought a decent car outright that was only three years old at the time and not had to pay out £24k in rent. My car is probably only worth half what i paid for it but it's ours to do what we want with. Quote Link to comment Share on other sites More sharing options...
vern Posted June 21, 2012 Share Posted June 21, 2012 I think some people are missing the point a bit........ It only really works if you want or need a brand new car. If you do and bought and sold it in 3 years, the depreciation would almost certainly be higher than the figure you would have spent on the lease and don't forget that road tax is included in the lease figure. As I said in my earlier post, I did the sums on an RX8 and a VXR Astra and the RX8 was a massive saving to lease and on the VXR about 2k. That's assuming that I could have even sold the car at the Parkers car guide figure and does not make allowance for the hassle and cost to advertise etc. I would suggest that it's more cost effective to buy a 12 month old model and then sell two years later, but as I said, if you want a brand new one, then it's normally cheaper. The car manufacturers obviously sell the cars to the lease company at a much higher discount than we could negotiate at the dealership, so that's obviously where the saving is. Quote Link to comment Share on other sites More sharing options...
Sarnie Posted June 21, 2012 Share Posted June 21, 2012 If you do and bought and sold it in 3 years, the depreciation would almost certainly be higher than the figure you would have spent on the lease and don't forget that road tax is included in the lease figure. I can't get my head around this bit at all. If I bought and sold a car after three years, yes the depreciation may be slightly more than the rent, but I would have the money back from selling the car whereas you would have nothing to show for your three years worth of rent? Quote Link to comment Share on other sites More sharing options...
Stew Posted June 21, 2012 Share Posted June 21, 2012 If you do and bought and sold it in 3 years, the depreciation would almost certainly be higher than the figure you would have spent on the lease and don't forget that road tax is included in the lease figure. I can't get my head around this bit at all. If I bought and sold a car after three years, yes the depreciation may be slightly more than the rent, but I would have the money back from selling the car whereas you would have nothing to show for your three years worth of rent? £20000 - £10000 = £10000 = -£10000 assuming £20k cash purchase and 10k resale. £0 - £10000 = -£10000 assuming £10k lease fees and an empty bank account to begin with. So it's decent if you don't have the cash to begin with and want / need a new car. Quote Link to comment Share on other sites More sharing options...
marzman Posted June 21, 2012 Author Share Posted June 21, 2012 If you do and bought and sold it in 3 years, the depreciation would almost certainly be higher than the figure you would have spent on the lease and don't forget that road tax is included in the lease figure. I can't get my head around this bit at all. If I bought and sold a car after three years, yes the depreciation may be slightly more than the rent, but I would have the money back from selling the car whereas you would have nothing to show for your three years worth of rent? £20000 - £10000 = £10000 = -£10000 assuming £20k cash purchase and 10k resale. £0 - £10000 = -£10000 assuming £10k lease fees and an empty bank account to begin with. So it's decent if you don't have the cash to begin with and want / need a new car. This. I haven't got the cash flow to spend £30k on a car, nor do I want to save up for a long time to get that pot of cash. Furthermore if I did have £30k lying around I would be investing it in something that is going to appreciate rather than throwing it away on a car. On the other hand, just because I dont have that £30k to hand doesn't mean that I'm too poor to own an expensive car - it just means I'd rather divert my savings elsewhere, yet drive a car which I feel is appropriate. It may well be a bit cheaper to buy the car outright and sell it after 2 years making a lot of money back, but I'd need to get a £30k loan in order to buy it... Which is gonna be close to £1k a month over 5 years. Quote Link to comment Share on other sites More sharing options...
Sarnie Posted June 21, 2012 Share Posted June 21, 2012 If you do and bought and sold it in 3 years, the depreciation would almost certainly be higher than the figure you would have spent on the lease and don't forget that road tax is included in the lease figure. I can't get my head around this bit at all. If I bought and sold a car after three years, yes the depreciation may be slightly more than the rent, but I would have the money back from selling the car whereas you would have nothing to show for your three years worth of rent? £20000 - £10000 = £10000 = -£10000 assuming £20k cash purchase and 10k resale. £0 - £10000 = -£10000 assuming £10k lease fees and an empty bank account to begin with. So it's decent if you don't have the cash to begin with and want / need a new car. This. I haven't got the cash flow to spend £30k on a car, nor do I want to save up for a long time to get that pot of cash. Furthermore if I did have £30k lying around I would be investing it in something that is going to appreciate rather than throwing it away on a car. On the other hand, just because I dont have that £30k to hand doesn't mean that I'm too poor to own an expensive car - it just means I'd rather divert my savings elsewhere, yet drive a car which I feel is appropriate. It may well be a bit cheaper to buy the car outright and sell it after 2 years making a lot of money back, but I'd need to get a £30k loan in order to buy it... Which is gonna be close to £1k a month over 5 years. Your posts don't make sense. If you actually had £30k, you wouldn't spend it on a car. But instead your going to 'rent' a car that you'll never see ANY return on?? Also, £1k a month over 60 months is £60k, you need to find a cheaper loan provider Quote Link to comment Share on other sites More sharing options...
marzman Posted June 21, 2012 Author Share Posted June 21, 2012 If you do and bought and sold it in 3 years, the depreciation would almost certainly be higher than the figure you would have spent on the lease and don't forget that road tax is included in the lease figure. I can't get my head around this bit at all. If I bought and sold a car after three years, yes the depreciation may be slightly more than the rent, but I would have the money back from selling the car whereas you would have nothing to show for your three years worth of rent? £20000 - £10000 = £10000 = -£10000 assuming £20k cash purchase and 10k resale. £0 - £10000 = -£10000 assuming £10k lease fees and an empty bank account to begin with. So it's decent if you don't have the cash to begin with and want / need a new car. This. I haven't got the cash flow to spend £30k on a car, nor do I want to save up for a long time to get that pot of cash. Furthermore if I did have £30k lying around I would be investing it in something that is going to appreciate rather than throwing it away on a car. On the other hand, just because I dont have that £30k to hand doesn't mean that I'm too poor to own an expensive car - it just means I'd rather divert my savings elsewhere, yet drive a car which I feel is appropriate. It may well be a bit cheaper to buy the car outright and sell it after 2 years making a lot of money back, but I'd need to get a £30k loan in order to buy it... Which is gonna be close to £1k a month over 5 years. Your posts don't make sense. If you actually had £30k, you wouldn't spend it on a car. But instead your going to 'rent' a car that you'll never see ANY return on?? Also, £1k a month over 60 months is £60k, you need to find a cheaper loan provider Heh heh, I didn't add it up as I was eating my tea but it would be more like £650 a month which is still high. The only way to get any ROI on a car is to either keep it for a long time, or pay more upfront/monthly - neither of which I want to do. If I thought I'd still be driving the same car in 5-6 years I'd obviously be looking to buy, but I won't be. Even with used cars you get stung heavily on depreciation... My previous zed, I bought it for 13.5k and sold it for 8k... That's 5.5k lost in 2.5 years. For the same money I cold have been in a brand new merc on PCP. Quote Link to comment Share on other sites More sharing options...
gangzoom Posted June 21, 2012 Share Posted June 21, 2012 PCP is probably the best marketing tool ever, the customer loves it because they get to drive new car for £300 a months, the dealers love it because every 3 years they know the customer will be back to "trade up" to another new car with a new PCP contract (because in reality not many people just "hand the keys over" and become carless). I have a friend who is on his fourth PCP deal with renault...he pays about £200 a months and loves the fact he is driving around in new/nearly new car (Clio/Megane/Clio/ now Megane..no these aren't the RS versions). In 10 years his spent roughly £30,000 on monthly repayments/deposits, just worked out I have spent £41,000 in the last 10 years on buying/px cars which have included a few £500 run arounds (my friend at the time was driving around in a brand new Clio) but also a Mondeo ST24, Integra Type R (DC2), 350Z, and currently BMW 335i. If my friend was to hand in his Clio now he would be carless and down £30,000, therefore he almost had no choice but to carry out paying £200 a month for as long as he needs a car ....if needed I can traded in my 335i now I'll probably get £13K back, and go and buy a £500 run around and have £12.5K back in my pocket. Ofcourse the newest car I ever bought was the Z (just over 18months), and if I had bought all my cars brand new than I would have "lost" much more money. So by not buying new, and saving up, I've owned a much more exotic car list than my friend, despite spending a nearly identical amount of money!! (taking the equity in my current car into the calculation) So my own view on PCP...don't do it, yes your be driving around in a NEW car, but whats the point, surely its much better to save up, let some one else take the hit for buying new (probably someone buying on PCP ) and than get the car you really really wanted Currently I'm saving up for a F10 M5...only another 24months to go But the clearest guy I know bought a £7K corsa 10 years ago and is still driving around in it....no doubt he has enough in his bank account to buy a 911 but chooses to do better things with his money Quote Link to comment Share on other sites More sharing options...
marzman Posted June 21, 2012 Author Share Posted June 21, 2012 PCP is probably the best marketing tool ever, the customer loves it because they get to drive new car for £300 a months, the dealers love it because every 3 years they know the customer will be back to "trade up" to another new car with a new PCP contract (because in reality not many people just "hand the keys over" and become carless). I have a friend who is on his fourth PCP deal with renault...he pays about £200 a months and loves the fact he is driving around in new/nearly new car (Clio/Megane/Clio/ now Megane..no these aren't the RS versions). In 10 years his spent roughly £30,000 on monthly repayments/deposits, just worked out I have spent £41,000 in the last 10 years on buying/px cars which have included a few £500 run arounds (my friend at the time was driving around in a brand new Clio) but also a Mondeo ST24, Integra Type R (DC2), 350Z, and currently BMW 335i. If my friend was to hand in his Clio now he would be carless and down £30,000, therefore he almost had no choice but to carry out paying £200 a month for as long as he needs a car ....if needed I can traded in my 335i now I'll probably get £13K back, and go and buy a £500 run around and have £12.5K back in my pocket. Ofcourse the newest car I ever bought was the Z (just over 18months), and if I had bought all my cars brand new than I would have "lost" much more money. So by not buying new, and saving up, I've owned a much more exotic car list than my friend, despite spending a nearly identical amount of money!! (taking the equity in my current car into the calculation) So my own view on PCP...don't do it, yes your be driving around in a NEW car, but whats the point, surely its much better to save up, let some one else take the hit for buying new (probably someone buying on PCP ) and than get the car you really really wanted Currently I'm saving up for a F10 M5...only another 24months to go But the clearest guy I know bought a £7K corsa 10 years ago and is still driving around in it....no doubt he has enough in his bank account to buy a 911 but chooses to do better things with his money Interesting read. However the moral of that story seems to be you can either have lots of nice 2nd hand cars, or have occasional brand new middle of the road cars - for the same money. I guess it's horses for courses.... i'm planning on keeping my zed indefinitely, or in other words always keep a 2nd 'sports car' outside of any PCP plan, so i'll get my fill of fun cars too. That said, im not rushing out and signing up to a PCP deal... im just thinking in 12-18 months what my options may be. If i do the sums closer to the time and it's more economical to get a loan, then i'll go down that route. Quote Link to comment Share on other sites More sharing options...
Sarnie Posted June 21, 2012 Share Posted June 21, 2012 PCP is probably the best marketing tool ever, the customer loves it because they get to drive new car for £300 a months, the dealers love it because every 3 years they know the customer will be back to "trade up" to another new car with a new PCP contract (because in reality not many people just "hand the keys over" and become carless). I have a friend who is on his fourth PCP deal with renault...he pays about £200 a months and loves the fact he is driving around in new/nearly new car (Clio/Megane/Clio/ now Megane..no these aren't the RS versions). In 10 years his spent roughly £30,000 on monthly repayments/deposits, just worked out I have spent £41,000 in the last 10 years on buying/px cars which have included a few £500 run arounds (my friend at the time was driving around in a brand new Clio) but also a Mondeo ST24, Integra Type R (DC2), 350Z, and currently BMW 335i. If my friend was to hand in his Clio now he would be carless and down £30,000, therefore he almost had no choice but to carry out paying £200 a month for as long as he needs a car ....if needed I can traded in my 335i now I'll probably get £13K back, and go and buy a £500 run around and have £12.5K back in my pocket. Ofcourse the newest car I ever bought was the Z (just over 18months), and if I had bought all my cars brand new than I would have "lost" much more money. So by not buying new, and saving up, I've owned a much more exotic car list than my friend, despite spending a nearly identical amount of money!! (taking the equity in my current car into the calculation) So my own view on PCP...don't do it, yes your be driving around in a NEW car, but whats the point, surely its much better to save up, let some one else take the hit for buying new (probably someone buying on PCP ) and than get the car you really really wanted Currently I'm saving up for a F10 M5...only another 24months to go But the clearest guy I know bought a £7K corsa 10 years ago and is still driving around in it....no doubt he has enough in his bank account to buy a 911 but chooses to do better things with his money Interesting read. However the moral of that story seems to be you can either have lots of nice 2nd hand cars, or have occasional brand new middle of the road cars - for the same money. I guess it's horses for courses.... i'm planning on keeping my zed indefinitely, or in other words always keep a 2nd 'sports car' outside of any PCP plan, so i'll get my fill of fun cars too. That said, im not rushing out and signing up to a PCP deal... im just thinking in 12-18 months what my options may be. If i do the sums closer to the time and it's more economical to get a loan, then i'll go down that route. Totally with Gangzoom here. Nice 2nd hand cars or new middle of the road car? A nice car is a nice car irrelevant of how old it is. My Lambo was the best car I've ever owned but it was three years old when I bought it Also, even if the loan costs more than a lease, the extra money is actually buying you something, eg equity in the car, which becomes an asset for you. The benefit of a loan is that at some point it ends and you own the car fully outright. Think about if you lose your job. What are you gonna do about your 3 years worth of £300 a month??? If you own your car at least you could sell it....... It may seem that I'm against PCP and the like, but I'm not, I just still can't see much of a benefit to it.... Quote Link to comment Share on other sites More sharing options...
Builder49 Posted June 21, 2012 Share Posted June 21, 2012 In my opinion, go the same way every time, assets, assets, assets. If you can buy outright, even at the end of a loan, then you have something you can use if you need to raise capital ! Quote Link to comment Share on other sites More sharing options...
Sarnie Posted June 21, 2012 Share Posted June 21, 2012 In my opinion, go the same way every time, assets, assets, assets. If you can buy outright, even at the end of a loan, then you have something you can use if you need to raise capital ! Exactly. I'm not averse to finance but I don't see the point if your not going to actually own the car at the end of it? If i thought I was giving a car back in x months I'd probably never wash it as it was never going to be mine so who cares Quote Link to comment Share on other sites More sharing options...
marzman Posted June 21, 2012 Author Share Posted June 21, 2012 Totally with Gangzoom here. Nice 2nd hand cars or new middle of the road car? A nice car is a nice car irrelevant of how old it is. My Lambo was the best car I've ever owned but it was three years old when I bought it Also, even if the loan costs more than a lease, the extra money is actually buying you something, eg equity in the car, which becomes an asset for you. The benefit of a loan is that at some point it ends and you own the car fully outright. Think about if you lose your job. What are you gonna do about your 3 years worth of £300 a month??? If you own your car at least you could sell it....... It may seem that I'm against PCP and the like, but I'm not, I just still can't see much of a benefit to it.... No i appreciate what you're saying, and is why i started this thread (cant beat a bit of free financial advice ) But at the moment i dont agree with what you're saying... the additional cost of the loan to actually buy into the car - paying more every month to buy into a depreciating asset doesnt make sense to me. Likewise if i borrow £30k to buy a car, and like you say after 2 years i lose my job - i reckon i'll owe more money on the loan than what the car is worth, so after i've sold the car i'll still owe even more money! That argument shifts into your favour the longer i keep he car though, but as previously mentioned i dont currently intend to keep a car for that long. Quote Link to comment Share on other sites More sharing options...
Sarnie Posted June 21, 2012 Share Posted June 21, 2012 Totally with Gangzoom here. Nice 2nd hand cars or new middle of the road car? A nice car is a nice car irrelevant of how old it is. My Lambo was the best car I've ever owned but it was three years old when I bought it Also, even if the loan costs more than a lease, the extra money is actually buying you something, eg equity in the car, which becomes an asset for you. The benefit of a loan is that at some point it ends and you own the car fully outright. Think about if you lose your job. What are you gonna do about your 3 years worth of £300 a month??? If you own your car at least you could sell it....... It may seem that I'm against PCP and the like, but I'm not, I just still can't see much of a benefit to it.... Likewise if i borrow £30k to buy a car, and like you say after 2 years i lose my job - i reckon i'll owe more money on the loan than what the car is worth, so after i've sold the car i'll still owe even more money! That argument shifts into your favour the longer i keep he car though, but as previously mentioned i dont currently intend to keep a car for that long. But if you had a loan and sold the car, there is nothing anywhere that says you have to pay the loan off Any sort of finance and your fooked..... Quote Link to comment Share on other sites More sharing options...
marzman Posted June 21, 2012 Author Share Posted June 21, 2012 But if you had a loan and sold the car, there is nothing anywhere that says you have to pay the loan off Any sort of finance and your fooked..... Fair one... Quote Link to comment Share on other sites More sharing options...
ds2000 Posted June 22, 2012 Share Posted June 22, 2012 Lots of good points here. PCP with a company isn't even sensible these days, my accountant has advised that if I want to get my mrs a company car to run around in then its better pay her a dividend and buy it outright, then charge company 40p/mile for business use or buy outright via the company on something with less the 100m/g co2 so as not to affect her tax with a BIC charge, but then depreciation hits..... For me I always buy, usually something around 3 years old with low mileage. For the first time in 11 years I have no finance on anything (other than the mortgage) and its great. If I run out of work I have £7-8k sat in the zed that can be moved on, hopefully that'll not happen though! Quote Link to comment Share on other sites More sharing options...
Drayvn Posted June 22, 2012 Share Posted June 22, 2012 The problem also is when people also talk about depreciation. Ok you might pay say a good chunk of money for leasing the car and at the end of it you give it back while on the other hand people who have bought a car outright via a loan or what not, their car will depreciate more than if you were gonna lease it. The problem is when that doesn't happen. My dad has a Range Rover Sport TDV8, 2007 model. He bought it from the garage for i think £48000, ex-demo model and we live in the Channel Islands so don't pay VAT, with his mileage and year now, he can still get a good £30k for it if he doesn't mind the wait to sell it. And i believe the PCP plan for that in 2007 was around £700 to 800 a month! And if that was for 3 years, he would have paid £25k. He would actually be losing money! So it also depends entirely on the car and i believe the TDV8 were always the most sought after out of all the engines as it was the best of both worlds in terms of mpg and power. Also, we've been away countless times off-roading, biggest one was a trek across Morrocco, including sand dunes, and we fully kitted out the car for that purpose, 2nd set of wheels, protection, all that stuff, even tuned it, the PCP wouldn't have allowed us to use the car as it was intended! Quote Link to comment Share on other sites More sharing options...
Stew Posted June 22, 2012 Share Posted June 22, 2012 The problem also is when people also talk about depreciation. Ok you might pay say a good chunk of money for leasing the car and at the end of it you give it back while on the other hand people who have bought a car outright via a loan or what not, their car will depreciate more than if you were gonna lease it. The problem is when that doesn't happen. My dad has a Range Rover Sport TDV8, 2007 model. He bought it from the garage for i think £48000, ex-demo model and we live in the Channel Islands so don't pay VAT, with his mileage and year now, he can still get a good £30k for it if he doesn't mind the wait to sell it. And i believe the PCP plan for that in 2007 was around £700 to 800 a month! And if that was for 3 years, he would have paid £25k. He would actually be losing money! So it also depends entirely on the car and i believe the TDV8 were always the most sought after out of all the engines as it was the best of both worlds in terms of mpg and power. Also, we've been away countless times off-roading, biggest one was a trek across Morrocco, including sand dunes, and we fully kitted out the car for that purpose, 2nd set of wheels, protection, all that stuff, even tuned it, the PCP wouldn't have allowed us to use the car as it was intended! But presumably he paid cash for it. And it wasn't new. My Dad has done the PCP calcs many times. The cars he buys would be upwards of a grand a month. He buys his cars in cash when very nearly new and just accepts the depreciation hit, the cars have always taken a hit already. He always buys privately too as he reckons he'd pay too much in Company car tax purchasing it through his company. Pays your money and makes yer choice. I still maintain that PCP works well for those that don't have the cash and want a brand new car. Quote Link to comment Share on other sites More sharing options...
Drayvn Posted June 22, 2012 Share Posted June 22, 2012 The problem also is when people also talk about depreciation. Ok you might pay say a good chunk of money for leasing the car and at the end of it you give it back while on the other hand people who have bought a car outright via a loan or what not, their car will depreciate more than if you were gonna lease it. The problem is when that doesn't happen. My dad has a Range Rover Sport TDV8, 2007 model. He bought it from the garage for i think £48000, ex-demo model and we live in the Channel Islands so don't pay VAT, with his mileage and year now, he can still get a good £30k for it if he doesn't mind the wait to sell it. And i believe the PCP plan for that in 2007 was around £700 to 800 a month! And if that was for 3 years, he would have paid £25k. He would actually be losing money! So it also depends entirely on the car and i believe the TDV8 were always the most sought after out of all the engines as it was the best of both worlds in terms of mpg and power. Also, we've been away countless times off-roading, biggest one was a trek across Morrocco, including sand dunes, and we fully kitted out the car for that purpose, 2nd set of wheels, protection, all that stuff, even tuned it, the PCP wouldn't have allowed us to use the car as it was intended! But presumably he paid cash for it. And it wasn't new. My Dad has done the PCP calcs many times. The cars he buys would be upwards of a grand a month. He buys his cars in cash when very nearly new and just accepts the depreciation hit, the cars have always taken a hit already. He always buys privately too as he reckons he'd pay too much in Company car tax purchasing it through his company. Pays your money and makes yer choice. I still maintain that PCP works well for those that don't have the cash and want a brand new car. Brand new, just was a demo model, so had been tested a few times, barely 50 miles on the clock though, otherwise he would have paid £54k or something, he got a bargain! And nope, used a loan. Again as you said, each to their own, but me personally i would always buy my cars either via loan or ideally outright as even having a loan scares me! Quote Link to comment Share on other sites More sharing options...
Stew Posted June 22, 2012 Share Posted June 22, 2012 Brand new, just was a demo model, so had been tested a few times, barely 50 miles on the clock though, otherwise he would have paid £54k or something, he got a bargain! Not brand new then..... Like new would perhaps be more accurate. However, that's splitting hairs. My point was it was a physical car that had been driven by others (however briefly) and not a factory order. Quote Link to comment Share on other sites More sharing options...
Drayvn Posted June 22, 2012 Share Posted June 22, 2012 Brand new, just was a demo model, so had been tested a few times, barely 50 miles on the clock though, otherwise he would have paid £54k or something, he got a bargain! Not brand new then..... Like new would perhaps be more accurate. However, that's splitting hairs. My point was it was a physical car that had been driven by others (however briefly) and not a factory order. Im not seeing what your trying to get at? If it was from the factory, it would have cost £54k, if it was on PCP he would have had to pay roughly £25k for 3 years, after a 3 year stint if he had finished paying for it or bought it outright and he sold it after 3 years he would have lost less money on depreciation than using PCP. All i was stating was that with some cars on PCP you do lose out but on the flip side you at least were able to afford to use it for 3 years. Quote Link to comment Share on other sites More sharing options...
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