marzman

makes you wonder what sort of guys are running around with guns in the US Military

quality

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...

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.

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.

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.

I've done this day probably 10 times up to now. You will have an amazing time.

Checkout last summers efforts below (I bought an old Bmw specifically for oulton drifting!)

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.

Presumably that's on a 4 year agreement?

 

Plenty on 24 months at that sort of price.

 

Get on http://www.contracthireandleasing.co.uk and have a look

Cant see any for anywhere near that price mate.

Sorry - i was talking about the C-Class Mercedes at that price. BMW's seem to be a lot more expensive, as i guess they're more popular as company cars?

You can even get the new C-Class Coupe for £300

We are actually 6 months into our 4th lease in a row.

 

We've had a Clio 182, Maxda RX8, Astra VXR and now a Megane 250 cup.

 

There are no catches and the tax is also included. I did the depreciation sums on the RX8 and VXR and is was way cheaper over the 3 years to lease, although if you bought one of these cars when it was say 12 months old and then kept it for 3 years, it would obviously be a lot closer and possibly cheaper to buy instead of lease.

 

The figures quoted are usually based on 3 + 35. That's three months up front and then 35 payments. There is often an admin fee of say £125.00

 

The mileage is normally 10k and obviously this will go up if you increase the allowable mileage figure, although it's cheaper to do this on the contract rather than have this added on at the end at the excess mileage rate.

 

My advice would be to be flexible on the car you want as some manufacturers offer massive discounts to the lease companies and others don't and so the price fluctuations don't always reflect the list price of the vehicles. Also don't go overboard on the options list. These will just be added to the contract value by almost the exact value of the items selected.

 

Look at the deals out there and then try at least three or four different companies. The actual quoted price per month on our Megane varied by around £75.00 per month!!

 

One final (obvious) comment is that the car needs to be handed back in good condition. I've looked after our cars the same as I do my Zed and yet all the inspectors went over them in a lot of detail. We didn't have any issues, but on the last car (VXR) the inspector mentioned that he had noted on his report about all the stone chips on the front of the car (3 years old with 60k miles!!)

 

We have used the same company for the last three leases, so I can recommend Nick Walwyn N.Walwyn@vehiclecontracts.co.uk

Good post, thanks Vern.

Presumably that's on a 4 year agreement?

Plenty on 24 months at that sort of price.

Get on www.contracthireandleasing.co.uk and have a look

As far as I can see you only get a good deal for contracts with less than 10k mileage a year - and the penalties for going over are huge

 

I was quoted £0.06 pence per mile over the agreed allowance.

Yep this is what i've heard too... 6p a mile is nothing really so if you go 5k miles over your allowance they'll charge you £300. Bothered...

Good point about the deposites though... some deals you can get with 1 or 2 months payment as a deposit, but the Mercs im looking at require a £2k deposit and i hadnt factored that into the monthly equivalent..

If you fancy a change frequently then it's a good way to get into a new car.

My zed is the longest i've ever kept a car (last one was almost 3 years) but other than that, i change them frequently. In principle i think i'd always be handing the car back after a 2-3 year period and possibly knocking any outstanding value off the next car...

Yea, its that easy

 

My Mk3 MX5 was a lease car, you just pay every month and drive it about

 

.... well provided you don't go over your milage, don't give it back with damage and don't want to buy your self out of the lease, otherwise it can be costly.

 

I would do it again for a daily driver Make sure you negotiate on the milage, they normally can add a few thousand on for nothing

Wow...

So... every car i've ever bought has been either bought outright or i've got a personal loan to cover the cost (my zed, for example).

I've never considered PCP before, but a colleague at work has a brand new VRS Octavia and it costs him less than £250 a month... and my zed's costing me more than that and is 10 years old

I'm in the market for either a Mercedes C-Class or a Range Rover Sport to keep alongside my zed at the moment, and via http://www.contracthireandleasing.com you can get into a Merc for around the £250 a month mark on a 24 month contract... thats awesome!

Just as another example i just looked at the Ford Focus and you can get them for under £170 a month

http://www.contracthireandleasing.com/c ... s/6020462/

...am i missing something here or is it really that easy??

well, the decision has been made now. it's not worth repairing

 

Sorry to hear that mate.

What kind of quotes have you had to repair the damage?

I like that. I would have kept the reflector spaces personally, but it does look good.

Anthony Davidson crash was bad.

http://www.youtube.com/watch?v=7ToKBFK2ing&feature=related

Ahh right. I'd never been up there until last year, and then i found it there was a Subway there.... all this time and it's been 2 mins from my house

I rented it on xbox and got about 2/3rds of the way through. Some bits were really difficult, such as the bit on the docks/jeti's in brazil, and also the bit in the lobby of your employer's office when it was under siege.

Im planning on renting it again at some point and finishing it off as it was entertaining.

SMD... i was finding it hard as i was always conserving my bullet time so much... use this and it gets a bit easier

Spotted a photo opportunity as I passed this morning

Where's that, i live in tytherington and cant work out where that is, even with the premier inn in the background

Who'd been driving your car, edward scissor hands??

 

I know a lot of people complain about this part getting scratched easily, but i dont understand how it can happen... surely only your hands touch it??

 

I propper LOL'd at Ed Scissor hands

Who'd been driving your car, edward scissor hands??

I know a lot of people complain about this part getting scratched easily, but i dont understand how it can happen... surely only your hands touch it??

Thanks for the advice all.

I called the SLC today and they said there's nothing at all they can do, as it's my company that pays HMRC monthly, and then HMRC pay the SLC annually.

They advised me to check with my employer whether they can do anything about it, as in reality they control what is paid to HMRC.

Yeh im looking forward to seeing them too...

...although i wish i'd have cleaned my car before my shoot...