Finishing up a PCP

tusk

Hi Guys,

I'm coming to the end of my PCP agreement in March. We've decided to keep the car and pay the balloon - was kind of our plan all along.

Just wondering what is the actual process for this?

Do we need to call the finance office/pay by cheque/money transfer?

No clue what to expect!

Cheers

Rusky rusky

tusk wrote: »

Hi Guys,

I'm coming to the end of my PCP agreement in March. We've decided to keep the car and pay the balloon - was kind of our plan all along.

Just wondering what is the actual process for this?

Do we need to call the finance office/pay by cheque/money transfer?

No clue what to expect!

Cheers

It should be described in your pcp contract. VW takes the ballon payment by DD a month after the last monthly payment.

What Username Guidelines

Yep, the final agreed payment is just taken from the Direct Debit account. If you call VW Bank they'll give you the settlement date on which your account will be debited to ensure you've the balance in there.

tusk

Yeah I need to root the documentation out. It's for a Hyundai, so went through BOI.

What Username Guidelines

tusk wrote: »

Yeah I need to root the documentation out. It's for a Hyundai, so went through BOI.

Ah sorry, saw VW in first reply and assumed Presume it's same with BOI, a call to them should give you the date. But that's how it worked with VW for me.

Lantus

Just call them and advise you want to pay off and get terms over 1, 2 or 3 years or the structure on offer. Confirm and advise that payment date should be the same unless advised otherwise.

Very easy.

colm_mcm

Do they offer finance on the balloon amount?

JoeA3

colm_mcm wrote: »

Do they offer finance on the balloon amount?

Yeah I’d say most of them do. It would probably be more of a traditional loan or HP type of arrangement.

tusk

Cheers folks. Still too lazy to actually find the documentation.

We have the balloon payment there ready to go, so no need to worry about refinancing

James Bond Junior

colm_mcm wrote: »

Do they offer finance on the balloon amount?

BMW do and double interest rate.

GavMan

James Bond Junior wrote: »

BMW do and double interest rate.

Which is probably still cheaper than most bank HP offerings

colm_mcm

GavMan wrote: »

Which is probably still cheaper than most bank HP offerings

Or personal loan/credit union presumably.

Wonder if it’s tied to the car though, ie can you sell the car with the loan outstanding?

James Bond Junior

GavMan wrote: »

Which is probably still cheaper than most bank HP offerings

Public service credit unions are about 6% so it made no sense to stay with BMW anyway.

Wheety

colm_mcm wrote: »

Or personal loan/credit union presumably.

Wonder if it’s tied to the car though, ie can you sell the car with the loan outstanding?

If you pay off the PCP with a bank loan, you now own the car (if you didn't use the car as security).

colm_mcm

Wheety wrote: »

If you pay off the PCP with a bank loan, you now own the car (if you didn't use the car as security).

I’m saying with whatever arrangement VW Bank are offering.