PCP and lease hire on 370Z

[Dynamic Turtle]

Can anyone explain why large deposits on PCP and lease hire plans are viewed so negatively? It seems like common sense to me (like financing a fast-depreciating asset with a high APR, lol) but the consensus seems to be that a 10% deposit + much higher monthly payments is the way to go. Why shouldn’t I put down 30 or 40 per cent and have lower monthlies (and pay less in the way of financing costs too)?

[4RE Leather]

No reason at all mate.

Put as much down as you can as you never know whats round the corner.

It's you car your money and your choice:)

[Chris`I]

The reason finance companies want you to do it is so they can make more money. More balance on finance means more interest for them.

 

If you've got £20k-ish, you could have mine soon (maybe)

[Jay]

The reason finance companies want you to do it is so they can make more money. More balance on finance means more interest for them.

 

If you've got £20k-ish, you could have mine soon (maybe)

 

 

Dont even think about it chris

[Dblock]

The reason finance companies want you to do it is so they can make more money. More balance on finance means more interest for them.

 

If you've got £20k-ish, you could have mine soon (maybe)

 

How come?

[Sarnie]

Can anyone explain why large deposits on PCP and lease hire plans are viewed so negatively? It seems like common sense to me (like financing a fast-depreciating asset with a high APR, lol) but the consensus seems to be that a 10% deposit + much higher monthly payments is the way to go. Why shouldn’t I put down 30 or 40 per cent and have lower monthlies (and pay less in the way of financing costs too)?

 

One word; Interest.

[Dynamic Turtle]

Thanks for the replies chaps - makes sense.

 

Chris, if I'm going to get a 370 I'd want a BE with some exhaust mods. Still a 3-4 months away from pulling the trigger on something new, but I could be interested in late dec/early jan.

 

Cheers

DT

[Willieo]

Just read an Evo with long term test on a convertible and was taken aback by the stated depreciation over 12 months from new at £16k! Way past a grand a month before you even fill it up.

[Will370z]

Just read an Evo with long term test on a convertible and was taken aback by the stated depreciation over 12 months from new at £16k! Way past a grand a month before you even fill it up.

 

Yup thats why i bought a 10 plate with a smile on my face, let someone else pay for that depreciation

[Jay]

Just read an Evo with long term test on a convertible and was taken aback by the stated depreciation over 12 months from new at £16k! Way past a grand a month before you even fill it up.

 

Yup thats why i bought a 10 plate with a smile on my face, let someone else pay for that depreciation

 

BINGO.... that's exactly what I did bud

[ioneabee]

[Chris`I]

Just read an Evo with long term test on a convertible and was taken aback by the stated depreciation over 12 months from new at £16k! Way past a grand a month before you even fill it up.

Bit OTT IMO. Mine is a 2010 plate and looking at the guide price for trade in atm it looks like mine will have lost about £6k-£7k a year in the two and a half years I've had her which is about right for a large capacity sports car. One thing to be wary about is dealers that use the Glass guide. These guys are jokers, completely lowball prices in the guide, they are no where near market values. Parkers is far closer to prices seen on PH/Autotrader/eBay.

[glrnet]

Just read an Evo with long term test on a convertible and was taken aback by the stated depreciation over 12 months from new at £16k! Way past a grand a month before you even fill it up.

Bit OTT IMO. Mine is a 2010 plate and looking at the guide price for trade in atm it looks like mine will have lost about £6k-£7k a year in the two and a half years I've had her which is about right for a large capacity sports car. One thing to be wary about is dealers that use the Glass guide. These guys are jokers, completely lowball prices in the guide, they are no where near market values. Parkers is far closer to prices seen on PH/Autotrader/eBay.

+1 on Parkers