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PCP Guaranteed Future Value


stevie_350z

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On the plus side, a brand new Zed in Japan is only about £6.50 anyway so the money you may lose will be offset with the money you save :thumbs:

:lol: Yes - the car is the easy bit: 250 quid/MONTH for a parking space in central Tokyo....

 

We are looking at not owning whilst we are there and then renting something really special when we need to (a GTR is deffo on that list!)

 

Glen

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On the plus side, a brand new Zed in Japan is only about £6.50 anyway so the money you may lose will be offset with the money you save :thumbs:

:lol: Yes - the car is the easy bit: 250 quid/MONTH for a parking space in central Tokyo....

 

We are looking at not owning whilst we are there and then renting something really special when we need to (a GTR is deffo on that list!)

 

Glen

 

How much are the parking tickets?

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I can see some logic in this, but does the car ever feel like its yours, I don't think it would to me?

 

Over 85% of vehicles under 3 years old are on finance. This percentage reduces on older cars, but even then very few people actually own their cars outright. Cars are a high value item and car finance is a huge business, to the extent that many of the car "supermarkets" are actually backed by finance companies. Those places make more profit on the finance than they make on the car.

PCPs are a decent idea and suit many people, however they work best if you simply hand the car back and start again with another new one ( this is what they were actually designed for, to secure the dealers repeat business ).

They have always tended to be higher interest rates than conventional HP or a Bank Loan but they suit people who can't afford the repayments on the whole amount.

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Guest prescience
I can see some logic in this, but does the car ever feel like its yours, I don't think it would to me?

 

Over 85% of vehicles under 3 years old are on finance. This percentage reduces on older cars, but even then very few people actually own their cars outright. Cars are a high value item and car finance is a huge business, to the extent that many of the car "supermarkets" are actually backed by finance companies. Those places make more profit on the finance than they make on the car.

PCPs are a decent idea and suit many people, however they work best if you simply hand the car back and start again with another new one ( this is what they were actually designed for, to secure the dealers repeat business ).

They have always tended to be higher interest rates than conventional HP or a Bank Loan but they suit people who can't afford the repayments on the whole amount.

 

That's an amazing stat :wacko: Financing a car makes not much sense to me anyway as it's a rapidly depreciating asset. So basically you're paying only for the enjoyment factor and/or the kudos of ownership

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I can see some logic in this, but does the car ever feel like its yours, I don't think it would to me?

 

Over 85% of vehicles under 3 years old are on finance. This percentage reduces on older cars, but even then very few people actually own their cars outright. Cars are a high value item and car finance is a huge business, to the extent that many of the car "supermarkets" are actually backed by finance companies. Those places make more profit on the finance than they make on the car.

PCPs are a decent idea and suit many people, however they work best if you simply hand the car back and start again with another new one ( this is what they were actually designed for, to secure the dealers repeat business ).

They have always tended to be higher interest rates than conventional HP or a Bank Loan but they suit people who can't afford the repayments on the whole amount.

 

That's an amazing stat :wacko: Financing a car makes not much sense to me anyway as it's a rapidly depreciating asset. So basically you're paying only for the enjoyment factor and/or the kudos of ownership

 

I'm only amazed that that stat is not higher. Even a Golf costs £20k or so nowadays. How many people who drive Golfs have £20k lying around to buy a car outright? Not many. :)

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Guest prescience
I can see some logic in this, but does the car ever feel like its yours, I don't think it would to me?

 

Over 85% of vehicles under 3 years old are on finance. This percentage reduces on older cars, but even then very few people actually own their cars outright. Cars are a high value item and car finance is a huge business, to the extent that many of the car "supermarkets" are actually backed by finance companies. Those places make more profit on the finance than they make on the car.

PCPs are a decent idea and suit many people, however they work best if you simply hand the car back and start again with another new one ( this is what they were actually designed for, to secure the dealers repeat business ).

They have always tended to be higher interest rates than conventional HP or a Bank Loan but they suit people who can't afford the repayments on the whole amount.

 

That's an amazing stat :wacko: Financing a car makes not much sense to me anyway as it's a rapidly depreciating asset. So basically you're paying only for the enjoyment factor and/or the kudos of ownership

 

I'm only amazed that that stat is not higher. Even a Golf costs £20k or so nowadays. How many people who drive Golfs have £20k lying around to buy a car outright? Not many. :)

 

I'm guessing you financed the lambo ;)

 

Who's side are you on - the cash brigade (moi :blush: ) or the HP brigade :headhurt:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

:lol:

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I can see some logic in this, but does the car ever feel like its yours, I don't think it would to me?

 

Over 85% of vehicles under 3 years old are on finance. This percentage reduces on older cars, but even then very few people actually own their cars outright. Cars are a high value item and car finance is a huge business, to the extent that many of the car "supermarkets" are actually backed by finance companies. Those places make more profit on the finance than they make on the car.

PCPs are a decent idea and suit many people, however they work best if you simply hand the car back and start again with another new one ( this is what they were actually designed for, to secure the dealers repeat business ).

They have always tended to be higher interest rates than conventional HP or a Bank Loan but they suit people who can't afford the repayments on the whole amount.

 

That's an amazing stat :wacko: Financing a car makes not much sense to me anyway as it's a rapidly depreciating asset. So basically you're paying only for the enjoyment factor and/or the kudos of ownership

 

I'm only amazed that that stat is not higher. Even a Golf costs £20k or so nowadays. How many people who drive Golfs have £20k lying around to buy a car outright? Not many. :)

 

I'm guessing you financed the lambo ;)

 

Who's side are you on - the cash brigade (moi :blush: ) or the HP brigade :headhurt:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

:lol:

 

I'm not on any side :lol:

 

I'm talking from my experience of speaking to clients about the in's and out's of their finances everyday of the week. I would say that every single client I've spoken to in the last month with a new car (Less than 3 years old) owed on it, in one way or another. ;)

 

 

PS: The lambo was more than 3 years old ;):p

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Imnot sure about this, looks like i need to do some research, do the maths and see if its worth it.

 

If it is, this could be a new way to get back into a zed. However i guess it will restrict modding a lot.

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I'm only amazed that that stat is not higher. Even a Golf costs £20k or so nowadays. How many people who drive Golfs have £20k lying around to buy a car outright? Not many. :)

 

Thats the figure I was given when I started at Perrys many years ago. By now it could well be higher.

I've never had a car on finance, but I have had a few bikes on finance on interest free deals.

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