Rant about PCP’s and how Dangerous they can be

[grahamcol]

I've kind of gone the other way with my SLK - heated leather (non-black) seats are about my only requirement. I've gone away from a lot of the electrickery as it's becoming too often the reasons why owners are getting big bills or changing their cars. I'm going to hit 100K today in it and I can't see me changing it at all.

Absolutely my viewpoint too. Far too. Much to go wrong on new cars these days. My SLK has electric seat adjustment but not heated. It's fine!

 

[Ron240]

My biggest gripe with optional extras, and this mainly applies to premium manufacturers such as Audi, BMW and Mercedes...is equipment that you take for granted and should be standard like it is on cars from mainstream manufacturers sometimes costing half the price, but the premium manufacturers ask you to pay extra for them because they know you will.

 

[00slk]

Absolutely my viewpoint too. Far too. Much to go wrong on new cars these days. My SLK has electric seat adjustment but not heated. It's fine!

Ours has manual cloth seats and no factory options cheap and much lighter so huge fuel economy

 

[Styles997]

I've just sold my second pcp car at the midway term point. Sold privately for far more than the outstanding payment amount. Been completely transparent and buyers have called my finance company and paid the balance with the realmainder to my account. Seems a no brainer.

I'm having a few years away from new cars however and that is what brought me here with a w204 320cdi estate.

I think as with all large purchases your homework pays dividends. Something I was always taught is 'if your offer isn't insulting, it's not low enough'. Look out at dealer stock nationwide and what hasn't shifted for the best deals. For eg, a bm330d I had new in 2012 was fairly low spec and ordered in for the MD's use. Thankyou very much!

My local dealer were absolute ass hats and I went 50mi away to speak with another.

 

[sausage]

With a number of ways to finance a car, once you are past the half way mark paying the money back, or half way on the length of the contract you can chose to surrender the vehicle and walk away without penalty. I don't know if this applies to PCP, or how it would work if it does apply. However it gives a nice option to change cars more frequently than the full length of the hire/pcp/finance term. This information might influence how you chose to finance a car if this option is of interest

 

[Corns]

Sometimes a PCP deal is the way to go to get a nearly new car that SHOULD be reliable. My daughter has bought a 3 year old Nissan Micra on PCP. It is top of the range on spec sat nav reversing camera everything you could want. She got it on a 4 year deal 8k miles per year ( she averages 6 to 7k) all for less than £100 a month. They also said it came with 3 free services. Regardless of the the end value I can't imagine this is one you can beat with HP on and 9K car.

 

[SL63 Mark]

The new hyper screen that’s on the EQS and i dare say the future of Mercedes dash is an £8k option if your cheaper variant doesn’t have it.

I think even 20 years ago, sat nav was standard in the SL (at least it was in the 55, not sure about others).

So I suppose it's obvious really, if you buy a budget car it is more likely to be an option.

It will be standard in a big expensive luxury car.

So, another reason to buy used, IMHO.

Thinking back, our 2010 Audi A5 company car did not have sat nav, which was a bit of a shock to me at the time. I assumed things had moved on in the last 10 years, as the tech becomes cheaper and more universal, but clearly not.

 

[sl500amgsport]

Sometimes a PCP deal is the way to go to get a nearly new car that SHOULD be reliable. My daughter has bought a 3 year old Nissan Micra on PCP. It is top of the range on spec sat nav reversing camera everything you could want. She got it on a 4 year deal 8k miles per year ( she averages 6 to 7k) all for less than £100 a month. They also said it came with 3 free services. Regardless of the the end value I can't imagine this is one you can beat with HP on and 9K car.

The question is what deposit and final balloon?

£99 p/m 4 yrs = £4752.00, if she put £1k deposit, cost £5752.00 she may have say £5000 balloon at end of 4 yrs so cost = £10752.00 on a £9k car. If she borrowed £8k from her bank over 7 years at 3.3% payments would be £107 p/m, she would own the car and not pay a fortune for dents/scratches at the end of the term, would have unlimited mileage and an asset to sell towards her next car of £4k.Total cost £9988.00 and she would own it from day one.

This would mean she could sell the car at any stage, pay off the loan and start again so much more flexability.

This is based on First Direct currents published loan rate.

Sent from my SM-G988B using Tapatalk

 

[Corns]

The question is what deposit and final balloon?

£99 p/m 4 yrs = £4752.00, if she put £1k deposit, cost £5752.00 she may have say £5000 balloon at end of 4 yrs so cost = £10752.00 on a £9k car. If she borrowed £8k from her bank over 7 years at 3.3% payments would be £107 p/m, she would own the car and not pay a fortune for dents/scratches at the end of the term, would have unlimited mileage and an asset to sell towards her next car of £4k.Total cost £9988.00 and she would own it from day one.

This would mean she could sell the car at any stage, pay off the loan and start again so much more flexability.

This is based on First Direct currents published loan rate.

Sent from my SM-G988B using Tapatalk

She pays £95 a month and gave no deposit. So, she will pay £4560 over 4 years. Ok she may have a couple of dents or scratches that she has to get sorted but if not she can hand it back. They will sent someone out to check it over a collect it after the 4 years if its worth less than the balloon payment as a part ex. Its a Nissan Micra and I doubt she would want to keep it for 7 years. Your figures don't add up, £1000 down and 4 year at £107 costing over £6000, she would still owe over £3600 on a car worth about £4500-£5000. And it could be more if her rate is more than 3.3%, as she has just taken out a mortgage which is why she PCP rather than buy the car outright.