PCP finance.

Shefwedfan · 01-04-2016 09:00AM

I have this for the 5008

Min Deposit
Price: €32,589
Deposit: €8,000
Repayment: €369.70
APR 2.9%
GMV: €12,872

If going with min repayment the repayment is €507.29

Shefwedfan · 01-04-2016 09:16AM

OSI wrote: »

Wow, Ford's APR is a bit of a kick in the balls isn't it? So you'd be paying about a tenner extra a month in interest on the lesser deposit. Personally, I prefer to have the extra money in my pocket every month, but I can see why people would prefer to pay a bit more to worry less about coming up with extra deposit the next time around.

No I am with you, extra money is always good. Plus the Peugeot is auto, full leather and with DVD in head rests. The Ford is the base Zetec model.

The only reason I would go with SMAX is a little bit bigger than the 5008 inside but if I just keep for 3 years it is not a big concern....

R.O.R · 01-04-2016 09:29AM

You are more likely to end up with a larger amount of equity on the S-Max than the 5008, based on those figures.

grogi · 01-04-2016 09:30AM

Shefwedfan wrote: »

No I am with you, extra money is always good. Plus the Peugeot is auto, full leather and with DVD in head rests. The Ford is the base Zetec model.

The only reason I would go with SMAX is a little bit bigger than the 5008 inside but if I just keep for 3 years it is not a big concern....

Too bad you started looking that late - C4 Grand Picasso (which shares the drivetrain with 5008, but is slightly larger, lighter and gets better mileage) was at 0% PCP. Until the 31st. They come with 5-year-warranty as well.

Maybe give a Citroen dealer a call - you could avail of a already registered model?

Shefwedfan · 01-04-2016 09:44AM

grogi wrote: »

Too bad you started looking that late - C4 Grand Picasso (which shares the drivetrain with 5008, but is slightly larger, lighter and gets better mileage) was at 0% PCP. Until the 31st. They come with 5-year-warranty as well.

Maybe give a Citroen dealer a call - you could avail of a already registered model?

I test drove the Picasso, hated the inside of them. So much glass.

grogi · 01-04-2016 09:47AM

Shefwedfan wrote: »

I test drove the Picasso, hated the inside of them. So much glass.

De gustibus non est disputandum

Shefwedfan · 01-04-2016 09:53AM

R.O.R wrote: »

You are more likely to end up with a larger amount of equity on the S-Max than the 5008, based on those figures.

Ok this is where I get confused a bit. So at the end I have a final pay off price on the 5008 of €12,872.

Is the €12,872 then used as a deposit on the new car? or if I just refresh to a new 5008 what is then used against the new car?

That is the bit I am not sure about

FrontDoor · 01-04-2016 09:58AM

Shefwedfan wrote: »

Ok this is where I get confused a bit. So at the end I have a final pay off price on the 5008 of €12,872.

Is the €12,872 then used as a deposit on the new car? or if I just refresh to a new 5008 what is then used against the new car?

That is the bit I am not sure about

You still owe 12872 on the car if I'm not mistaken?

The difference between this figure and the trade in value you get for can form the deposit for your next car.

Or am I missing something?

grogi · 01-04-2016 10:07AM

Shefwedfan wrote: »

Ok this is where I get confused a bit. So at the end I have a final pay off price on the 5008 of €12,872.

Is the €12,872 then used as a deposit on the new car? or if I just refresh to a new 5008 what is then used against the new car?

That is the bit I am not sure about

No. The car will be worth a bit more than that and you'd be offered probably in the area of €17000 - so the difference between that and the GFV is what you can finance the deposit with.

Shefwedfan · 01-04-2016 10:08AM

OSI wrote: »

No, at the end your car will be given a trade-in value. You can either pay the final payment of €12,872 and keep the car, hand the car back and pay nothing, or if you wish to enter a new agreement, they will take the current car, pay off the final payment and use the difference between it's trade-in value and the final payment as the deposit on the next car.

eg, if at the end of the agreement they decide the car has a value of €20,000, you will have €7,128 as a deposit on the next car.

Ok that makes sense, I asked the person in dealer yesterday and had no idea at end of conversation.

The Ford would of course hold its value better but it is a higher cost and a lower spec.

Things to mull over.....

0ph0rce0 · 01-04-2016 10:15AM

I can't figure this out myself. I have heard people saying you need the deposit again in three years?

So i buy a car (not correct numbers just example)

€30,000 OTR
Deposit: €8,000
Monthly: €400

After 3 years car is worth €12,000

Does the €12,000 cover the next deposit in three years?

sheff the ref · 01-04-2016 11:11AM

While PCP deals are based on 3 year terms, has anyone changed every year or every two years while on PCP???

ajamesr · 01-04-2016 03:09PM

sheff the ref wrote: »

While PCP deals are based on 3 year terms, has anyone changed every year or every two years while on PCP???

In a few months I'll be two years in and I'm thinking of trading up. I'm waiting to see what I'll get offered on the trade in. I rang the VW Bank to check my current amount outstanding and so I know now what I need to get offered on the trade in for it to be worth my while.
Cars like mine are available at dealers for about 22500 at the moment, and I would need to be getting around 20500 on the trade in for me to have the deposit I originally started with. Not sure if dealer will go that high? But then again car is mint with nothing to do put take it of me and put on forecourt. Even still has 1 year Mau Warranty left on it. And I'll have it serviced on service deal before trading in.

Could be that most the depreciation takes place in 1st 2 years and maybe the 3rd year is where you get equity coming back your way.
Anyway its due a service in next week or two and I'll get it valued with view to trading in. Will see then how things break down.

sheff the ref · 07-04-2016 07:50PM

Would imagine it would be easier get a deal in Year 2 than Year 3, never car, lower mileage, remaining guarantee etc.

ajamesr wrote: »

In a few months I'll be two years in and I'm thinking of trading up. I'm waiting to see what I'll get offered on the trade in. I rang the VW Bank to check my current amount outstanding and so I know now what I need to get offered on the trade in for it to be worth my while.
Cars like mine are available at dealers for about 22500 at the moment, and I would need to be getting around 20500 on the trade in for me to have the deposit I originally started with. Not sure if dealer will go that high? But then again car is mint with nothing to do put take it of me and put on forecourt. Even still has 1 year Mau Warranty left on it. And I'll have it serviced on service deal before trading in.

Could be that most the depreciation takes place in 1st 2 years and maybe the 3rd year is where you get equity coming back your way.
Anyway its due a service in next week or two and I'll get it valued with view to trading in. Will see then how things break down.

kerosene · 08-04-2016 11:46PM

is it possible to use the scrappage allowance deal as a deposit for pcp? When the 3 year term is up, is the outstanding payment for full ownership due in a lump sum or can a further finance agreement be reached?

Lantus · 09-04-2016 07:56AM

If the manufacturer is offering scrappage then it can be used as the deposit. Nissan being the obvious offer out there for 4 k.

ajamesr · 09-04-2016 09:50AM

So I got a dealer to give me trade in price - it was nearly reasonable. Similar cars are tipping 22,950 on the Main Dealers website - good few around 22,500 and 21,900 for much higher mileage examples.
I appreciate that they won't sell for that, dealers probably allowing room for negotiation with buyer, but still have to think they'll be looking to take at least 21,800 for the one listed 22,950.
I got offered 19,000 for mine on trade in, which still has 1 year Manu Warranty left. I felt this was at least 500 too low, and I was expecting to get maybe 20,000 from the dealer - I mean if he shifts mine for 21,500, thats not bad for a straight forward turnaround for them.

But then I asked to negotiate the MRSP on the new car I was interested in. He was almost insulted, said he had allowed all his margin on the trade in and the MRSP was the MRSP thats its, no discount.

So no value on trade in if thats the attitude. And I'd imagine when the 3 years PCP is up they will feel they have you over more of a barrel because you are now under pressure to make a decision.
I reckon I'll look into selling privately, get my 20,000, clear the finance take my balance and go in with no trade in to get % of MRSP.
Having spent some time looking around I think 5% of MRSP is very achievable.

micks_address · 09-04-2016 10:23AM

ajamesr wrote: »

So I got a dealer to give me trade in price - it was nearly reasonable. Similar cars are tipping 22,950 on the Main Dealers website - good few around 22,500 and 21,900 for much higher mileage examples.
I appreciate that they won't sell for that, dealers probably allowing room for negotiation with buyer, but still have to think they'll be looking to take at least 21,800 for the one listed 22,950.
I got offered 19,000 for mine on trade in, which still has 1 year Manu Warranty left. I felt this was at least 500 too low, and I was expecting to get maybe 20,000 from the dealer - I mean if he shifts mine for 21,500, thats not bad for a straight forward turnaround for them.

But then I asked to negotiate the MRSP on the new car I was interested in. He was almost insulted, said he had allowed all his margin on the trade in and the MRSP was the MRSP thats its, no discount.

So no value on trade in if thats the attitude. And I'd imagine when the 3 years PCP is up they will feel they have you over more of a barrel because you are now under pressure to make a decision.
I reckon I'll look into selling privately, get my 20,000, clear the finance take my balance and go in with no trade in to get % of MRSP.
Having spent some time looking around I think 5% of MRSP is very achievable.

Yeah so I contacted my dealer yesterday. I've 15 months left to run on my pcp.. If I bought a car worth 49k he was giving me 6k equity for my own once finance cleared.. 4k if I bought a car worth 35k..id assume I'll be looking at something like 4k equity next year if I decide to go pcp again.. Basing that on having cleared more of the finance by the time we get there.

I'll have to look at prices and check what my car would be worth on the market.

If I went for the same deal again I'd say my monthly payment would increase unless I go for a lower mileage allowance...

Millem · 09-04-2016 10:51AM

ajamesr wrote: »

So I got a dealer to give me trade in price - it was nearly reasonable. Similar cars are tipping 22,950 on the Main Dealers website - good few around 22,500 and 21,900 for much higher mileage examples.
I appreciate that they won't sell for that, dealers probably allowing room for negotiation with buyer, but still have to think they'll be looking to take at least 21,800 for the one listed 22,950.
I got offered 19,000 for mine on trade in, which still has 1 year Manu Warranty left. I felt this was at least 500 too low, and I was expecting to get maybe 20,000 from the dealer - I mean if he shifts mine for 21,500, thats not bad for a straight forward turnaround for them.

But then I asked to negotiate the MRSP on the new car I was interested in. He was almost insulted, said he had allowed all his margin on the trade in and the MRSP was the MRSP thats its, no discount.

So no value on trade in if thats the attitude. And I'd imagine when the 3 years PCP is up they will feel they have you over more of a barrel because you are now under pressure to make a decision.
I reckon I'll look into selling privately, get my 20,000, clear the finance take my balance and go in with no trade in to get % of MRSP.
Having spent some time looking around I think 5% of MRSP is very achievable.

Can you sell it privately before paying off the finance? I assumed you would have to pay off finance first then sell privately?

ajamesr · 09-04-2016 05:34PM

I think strictly speaking you can "Arrange" a sale, pay the finance then confirm the sale. But as long as you are honest with the buyer and structure it in such a way that they are sure the finance is paid, then there is no problem. Bank just want the balance and buyer just wants the car.
I know of one case where the buyer just contacted the finance company directly and settled the balance then paid the seller the remainder of the agreed sale amount. Essentially thats all the dealer is doing when you trade in. They settle balance with finance company and then put rest of balance towards your next deposit.

sheff the ref · 09-04-2016 09:11PM

If you have a 142 car, would it be worth moving now and going for a PCP on a 162 rather than waiting for the third year

micks_address wrote: »

Yeah so I contacted my dealer yesterday. I've 15 months left to run on my pcp.. If I bought a car worth 49k he was giving me 6k equity for my own once finance cleared.. 4k if I bought a car worth 35k..id assume I'll be looking at something like 4k equity next year if I decide to go pcp again.. Basing that on having cleared more of the finance by the time we get there.

I'll have to look at prices and check what my car would be worth on the market.

If I went for the same deal again I'd say my monthly payment would increase unless I go for a lower mileage allowance...

mickdw · 09-04-2016 09:18PM

sheff the ref wrote: »

If you have a 142 car, would it be worth moving now and going for a PCP on a 162 rather than waiting for the third year

I think you are getting the worst deal ever with that particular timing. The trade tend to value 141 and 142 the same so you are loosing out by buying the car late in the year in 2014 and throwing money away again by buying late in 2016. I'd wait for a 171 reg anyway. Possibly an idea might be to finish the 3 years then buy a 171 plate when the 172 is available. That car would be worth more or less the same at end of term as a 172 and you will get a few thousand off purchase.

sheff the ref · 09-04-2016 09:27PM

A lot of these cars have a 2-3 month wait anyway

mickdw wrote: »

I think you are getting the worst deal ever with that particular timing. The trade tend to value 141 and 142 the same so you are loosing out by buying the car late in the year in 2014 and throwing money away again by buying late in 2016. I'd wait for a 171 reg anyway. Possibly an idea might be to finish the 3 years then buy a 171 plate when the 172 is available. That car would be worth more or less the same at end of term as a 172 and you will get a few thousand off purchase.

micks_address · 09-04-2016 09:30PM

mickdw wrote: »

I think you are getting the worst deal ever with that particular timing. The trade tend to value 141 and 142 the same so you are loosing out by buying the car late in the year in 2014 and throwing money away again by buying late in 2016. I'd wait for a 171 reg anyway. Possibly an idea might be to finish the 3 years then buy a 171 plate when the 172 is available. That car would be worth more or less the same at end of term as a 172 and you will get a few thousand off purchase.

I think I'll hold on till end on year three and see.. If I want to stick with Honda the new civic should be around a couple of months at that stage.. My current civic tourer even though was mid spec, I've pretty much turned it into a top spec with high end double din unit, leather upholstery with heated seats and auto dimming mirror (which Honda said couldn't be done) ive a few other nice touch like ambient foot well lighting, steel pedal covers, custom steel foot rest plate.. I doubt I'd see the value in the additions back in a trade.. Trading for a 162 tourer would be pointless as would be very much like for like.. I'm currently on 1.6 diesel.. The mpg is phenomenal but I'd like more power (currently 120bhp) I'd also like an auto box.. And I'm leaning back towards petrol..

Here's a 131 civic with similar mileage to what I'll have next year.. Spec not as good as mine but probably ball park price i could expect in a trade next year.

17500

http://m.carzone.ie/used-cars/Honda/Civic-I-DTEC-SE/201114563053020600

Cheers,
Mick

jj90120 · 11-04-2016 09:13PM

I'm just nearing the end of a 3 year term and a bit disappointed with the dealer offer,
Originally
21000 OTR
3000 deposit
8200 GFV
350 monthly repayment
Mileage allowance 30000 km per annum.

I've been offered 10500 as trade in against a new car (21000OTR) so left with 2300 of equity and without further deposit monthly repayment jumps to 409.

I'd prefer to change to a better quality car so not inclined to stick with the same manufacturer.

11-04-2016 10:03PM

21000 OTR
3000 deposit
8200 GFV
350 monthly repayment...........

That's €15600 (repayments and deposit) it's cost you to drive the car for 3 years, certainly an example where a loan over 5 years might have been a better option.

mickdw · 11-04-2016 10:07PM

Augeo wrote: »

21000 OTR
3000 deposit
8200 GFV
350 monthly repayment...........

That's €15600 (repayments and deposit) it's cost you to drive the car for 3 years, certainly an example where a loan over 5 years might have been a better option.

Well if they put 3k down originally and the car is worth 2300 more than is owed on it, the true cost over the 3 year is the repayments plus 700 unless they were to hand the car back but that would be idiotic.

mickdw · 11-04-2016 10:12PM

jj90120 wrote: »

I'm just nearing the end of a 3 year term and a bit disappointed with the dealer offer,
Originally
21000 OTR
3000 deposit
8200 GFV
350 monthly repayment
Mileage allowance 30000 km per annum.

I've been offered 10500 as trade in against a new car (21000OTR) so left with 2300 of equity and without further deposit monthly repayment jumps to 409.

I'd prefer to change to a better quality car so not inclined to stick with the same manufacturer.

There is something else changing besides the deposit belong 700 less than last time. That smaller deposit would only lead to a small increase monthly - 20 quid plus interest so there is something else. Is the gfv significantly less on the new deal or is the interest rate significantly different or what?

jj90120 · 11-04-2016 10:32PM

mickdw wrote: »

There is something else changing besides the deposit belong 700 less than last time. That smaller deposit would only lead to a small increase monthly - 20 quid plus interest so there is something else. Is the gfv significantly less on the new deal or is the interest rate significantly different or what?

very similar terms again, 6.9% apr and similar gfv with the same 30k km pa.
I'm going to shop around, good to learn from this thread about not being tied to the same make.

mickdw · 11-04-2016 10:36PM

jj90120 wrote: »

very similar terms again, 6.9% apr and similar gfv with the same 30k km pa.
I'm going to shop around, good to learn from this thread about not being tied to the same make.

Seriously, the figures don't add up from what you tell us. Either you are making a mistake in the figures you have reproduced here or the dealer is making a mistake. Why pay €59 extra × 36 months to make up only a 700 shortfall?
That extra payment amounts to 2124.

PCP finance.

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