Buying a new car - HELP

[Shellywoozle]

Has anyone had any experience with leasing cars.

What is better a PCP / leasing / buying outright.

Plus in leasing is you get road tax thrown in, car is new and less maintenance costs and you don't need a huge deposit which fits in with my finances at the mo.

Also the payments are probably lower than what a bank loan would be.

But buying the car is yours. Skoda are doing zero VAT and I am looking at VRS 200bhp super dooper model.... £16,000 new but I would need to buy that and have no deposit.

Argggh help !! Anyone gone through a PCP / leasing decision and which way did you go???

Don't know much about it, but have a look at Broadspeed.com as they might have some good deals (and they show prices based on whether you want to buy or lease)

[Sir Trev]

PCP is a very expensive way of buying a car/bike - a large sum is left back and you pay interest on that all the time. You can give the car back and walk away if you like but it's like renting a house - you have nothing to show at the end of it. You are also liable for servicing (unless you can get a package for this) and road tax. Depending on how things look at the end of your term the amount offered against a new car (equivelent of part-ex) may be derisory. Ciroen lost a lot of customers this way a few years ago.

Leasing is also like renting a house in that you have nothing to show for it at the end. You may also be liable for servicing and road tax depending on the package - check this when asking for quotes.

If you can get a loan at a good price I would always buy outright. Trouble is if you don't have a good chunk of the 16k you need for the skip (sorry, Skoda) the monthly repayments will be higher than PCP or leasing. Go for a longer peiod to keep the payments down and you get the asset at the end of it (or up front if you use a third party loan like a bank).

Or buy a car that's a year old and save a fortune!

PCPs and leasing are only good if you want to change your car on a regular basis like every 2 or 3yrs.

[Biker Biggles]

Dont buy new at all.Buy two years + old and save 40-50% of your money.

[Shellywoozle]

Originally Posted by The Guru

PCPs and leasing are only good if you want to change your car on a regular basis like every 2 or 3yrs.

that is what I want.

Originally Posted by Biker Biggles

Dont buy new at all.Buy two years + old and save 40-50% of your money.

Have no dosh to be able to buy a car at mo .. but need a new car hence trying to find affordable way to do it without major bank loan repayments ...... but now thinking should I get a bank loan? But I would need £15k for the cars I want and the repayments are toooo big.


I have been paying £160 on a bank loan for my 206 for 5 years, it's mine but at the mo its worth £2k and I have £1500 on my loan to pay of so in effect I still will have nothing at the end of the 5 years loan. If I sell my car I will be paying off the loan.

I have ben driving round in an old car for 5 years and had to pay for tax, maintenance which is obvioulsy more on a old car.

I would lease for a 2 yr contract and chance every 2 years. I do less than £10,000 miles a year so wouldnt need to fork out for tyres and exhausts, road tax so should pay the lease price per month depending on what I have.

The Skoda VRS is £230 pm plus VAT. I have just spotted a deal on a Honda Civic Type S for £163pm plus VAT. OK not the performance car I wanted but still a brand new good looking motor for £40ish more than I pay for my Pug.

Not mine at the end of it but I will be driving around in a new car, no depreciation, no tax, no tyres, little maintenance as will have warranty.

But it's the not owning it I can't get my head around.... but would be cheaper than bank loan repayments on say a £15k loan for the Skip (Skoda) if I purchased myself.

[Biker Biggles]

Not meaning to sound hard but it sounds like you cant afford it.If you are still paying for the existing car and cant raise much savings for the new one perhaps you should keep the one you have until its paid for,meantime try and save towards what you want?
Its a complete myth to say there is no depreciation on a lease car-----Its in the huge amount you pay the lease company for the use of their car after which you own nothing.

There is no point what so ever in taking a loan out to buy new. As in 5 years when you come to sell (like your 206) it will be worth pennies, and the monies gained from selling it will then only cover your remaining loan costs, so you will have nothing to show for anyways - so you may aswell lease the car.

But I suggest you take a loan for a second hand car. Less depreciation and less of a loan to take out. Never buy new IMO.

[Shellywoozle]

Originally Posted by Biker Biggles

Not meaning to sound hard but it sounds like you cant afford it.If you are still paying for the existing car and cant raise much savings for the new one perhaps you should keep the one you have until its paid for,meantime try and save towards what you want?
Its a complete myth to say there is no depreciation on a lease car-----Its in the huge amount you pay the lease company for the use of their car after which you own nothing.

I was gonna wait til Oct when loan is paid off or roundabouts then, but as my brother drummed into me I am paying £160 for the next 6 months and my car will be worth less, be harder to sell due to time of year and I will be paying for road tax blah blah ............... cost £1400

If i sell my car and get £1750 I would get £350 cash in hand which will pay for a half a deposit on a lease scheme car.

So I will get a new car and still pay what I am paying now or thereabouts

OR

Sell car now get £2k ..... pay off bank loan - £600 in hand = full deposit.
Get a new car and pay £165 pm so by Oct I will have paid out £1700 approx but driving round in a newer car and get more dosh for my PUG.

See my way of thinking .... doing it now (albeit back to front) I am not payng much more to drive a new car for 8 months. And I will have 8 months of no maintenance that I may have on my 8 yr old car.

[yorkie_chris]

Sounds like a mental amount of money for a car. £40 a WEEK and you think it will save you money on maintenence? The older cars I work on generally get £300 a year on servicing and MOT repairs max.

+1 for eeeeh you've more money than sense thee