Good, Bad + Ugly car deals

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Skull
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Good, Bad + Ugly car deals

Post by Skull » 17 Jun 2019, 15:55

DS7 Saving of £11,236 @ Evans Halshaw (only @ DS York)

DS7

Can anyone see how you save that much with this finance offer :^o Cash yes but this saving deal seems linked to the finance offer :roll:

I always thought they had to include the total interest paid as well ie TOTAL INTEREST CHARGED £££

Been 20 years since I bought a new car or bike and I can't really see it changing ....
ds7.png
Evans Halshaw webpage

Gibbo2286
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Re: Good, Bad + Ugly car deals

Post by Gibbo2286 » 17 Jun 2019, 16:17

That's not a purchase it's a hire with the option to buy after three years, I don't know how they work as I've never done one but if you want to be sure you need advice from a finance house.

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GiveMeABreak
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Re: Good, Bad + Ugly car deals

Post by GiveMeABreak » 17 Jun 2019, 16:28

This is one of those personal contract hire things.

Unless I'm mistaken:

(47*£399) = £18,753.00
(+Deposit) = £3,999.00
Sub Total = £22,752.00

Add the Optional Payment to own of £17,733.00 at the end of 4 years of misery to the £22,752.00 already coughed up and that comes to the total of £40,485.00

So you don't actually own it unless you cough up the £17,733.00 at the end of the 4 years and by then you will have paid the £40,485.00.

Which to me is actually only a saving of £4,000 off the MRRP of £44,485.00!

Either way a lot of dosh for a car that will loose over half that value in 2-3 years I suspect.

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Re: Good, Bad + Ugly car deals

Post by NewcastleFalcon » 17 Jun 2019, 16:52

So the MRRP is £44,485 (yes what ever that is? very precise though)

After 4 years of forking out on your finance deal at £399/month and having stumped up a deposit of £3,999 they reckon its worth £17,733.

You may have been lucky and had a paltry 6,000 miles per year of scratch and dent free motoring and avoid the curse of all rental arrangements "Further charges may apply subject to vehicle condition and mileage if you return the vehicle at the end of the agreement." Just wonder if the further charges might be a lever towards you buying the car at the end of the agreement to "avoid" paying them.

Of course the general public, are free to choose what they spend their hard-earned on and some might enjoy a nice big chunk of depreciation for the privilege of 6000 miles a year in a nice new vehicle. From my bargain basement, spend the minimum on motoring standpoint, it's got to be madness though....surely.

Regards Neil
Last edited by NewcastleFalcon on 17 Jun 2019, 17:46, edited 1 time in total.

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Skull
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Re: Good, Bad + Ugly car deals

Post by Skull » 17 Jun 2019, 17:03

Sounds like we're all in agreement then UGLY DEAL for me [-X

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Re: Good, Bad + Ugly car deals

Post by myglaren » 17 Jun 2019, 17:07

I'll stick to my £650 unimpressive 16 year old C5 thanks :)
And replace it with a similar one when it falls to bits.

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Re: Good, Bad + Ugly car deals

Post by mickthemaverick » 17 Jun 2019, 17:14

I did a few years in the car leasing business working for a finance company. The PCP is basically designed to make "buying" the car more attractive. As Marc says you would in this case end up saving 4000 against RRP on the face of it, but if you walk into a dealer with cash you will probably get more than that off.
The problem here is in the small print, the contract is 6000 miles per annum and excess mileage will be charged if you exceed that. So if you take it back at the end with say 32000 on the clock you will be penalised for 8000 x the excess mileage rate which of course you have to "ask for". Generally it is between 7 and 12 pence a mile, though I have seen it up to 32p a mile, but it does depend on the car, dealer, finance house etc. You would also be responsible for bodywork damage over and above wear and tear and they usually find something to sting you with. Thus you feel forced to buy the car, rather than give it back and pay the excesses, and they will offer a new credit deal for you to pay off the "Balloon". So once you accept that offer and carry on paying £399 a month for however long it takes to clear it you will probably end up paying RRP +around 25% for the car, and have a car by then that is 7 or 8 years old and worth 10-20% of your investment. Great deal!!! (it is for the dealers and finance houses) [Figures subject to my age, been out of the industry since 2000!] :( :(

I'll stick with my £700 C5 Exclusive MK1 thanks :-D :-D

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Re: Good, Bad + Ugly car deals

Post by bobins » 17 Jun 2019, 17:58

I can't remember where I saw it, but I noticed quite a few garages specialising in preparing cars for return to the dealers at the end of the finance deal. The idea being that you drop your car in to them and they fix all the dents, dings, scrapes, muck out the interior and make it shiny again and basically make it really difficult for the dealers to find fault with the car so they can't surcharge you when you return it :lol:

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Re: Good, Bad + Ugly car deals

Post by NewcastleFalcon » 04 Sep 2019, 11:18

Some decent contributions to this thread and a decent enough home for this little bit of TESLA news.

Add ons are a big part of generating profit, and as we well know "insurance" was milked by the finance industry for years until their misselling was rumbled.

With so many cars (all?) now being "sold" (er rented out) on finance deals, only a matter of time before (if it isnt already happening) Insurance becomes part of the package.
Tesla Backs Car Insurance for California Owners and Promises Rate Cuts

"Repairing a Tesla, which is still a comparatively low-volume vehicle with expensive proprietary electronics, is often impossible at independent shops. Just look at the curved windshield of a Model X. If you buy a Tesla, you're not buying aftermarket parts, and neither can your insurance company. "

Tesla says it will expand insurance to other states, but first, we'll wait to see whether California customers come out saying they've saved money.
Good old TESLA! They are just interested in saving their customers money by offering insurance.
Just a guess but I would think TESLA Service Centres will get 100% of "insurance work" for their customers.

Regards Neil

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mickthemaverick
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Re: Good, Bad + Ugly car deals

Post by mickthemaverick » 04 Sep 2019, 11:37

NewcastleFalcon wrote:
04 Sep 2019, 11:18

Good old TESLA! They are just interested in saving their customers money by offering insurance.
Just a guess but I would think TESLA Service Centres will get 100% of "insurance work" for their customers.

Regards Neil
How very cynical Neil!! Since when did any motor manufacturer do anything to force the customer towards the dealer network? [-X :-D

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Re: Good, Bad + Ugly car deals

Post by NewcastleFalcon » 21 Sep 2019, 08:33

Which report:Hidden cost of insurance extras when buying a new car
You could be charged 278% more by the dealership.

This isnt "normal" car insurance but Guaranteed Asset Protection (Gap) insurance, to cover the difference between the amount your insurer pays out if your car is stolen or written off, and the price you paid for it.

When buying a new car, you may also be offered cosmetic scratch and dent insurance and alloy wheel and tyre insurance.

REgards Neil