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  • FIRST POST
    • JamesHuntingdon1
    • By JamesHuntingdon1 11th Oct 16, 9:13 PM
    • 1Posts
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    JamesHuntingdon1
    PCP or Cash?
    • #1
    • 11th Oct 16, 9:13 PM
    PCP or Cash? 11th Oct 16 at 9:13 PM
    Hi all,

    After a little advice. I'm looking to buy a used car, for £11,000, from a main dealer. I have the cash to pay for the vehicle in full right away.

    The dealership currently has an offer on, whereby you get £500 deposit contribution, 2 years free warranty, breakdown cover, MOT insurance and 2 free services IF you take out one of their PCP plans to finance the car. Search for VW used car event in google to see the offer as I'm not allowed to paste the link

    The dealer suggested that if I take out the plan, and then pay it off in full after 6 months, that I will be able to take advantage of all of the benefits and pay comparatively little to end the PCP finance.

    He said that I will simply need to pay 6 months worth of interest on the monthly payments (the normal monthly payment is £150ish, rate 10%, so around £15x6). This would mean that I could enjoy these benefits worth ~£1000 for around £100.

    I know he's probably on commission...but does this sound too good to be true? There's not much in the pre-contract information document about paying it off early - just that you are free to do so whenever you want.

    I'm not sure if this would work out very expensive/worthless or actually be a good deal and a genuine example of a 'good' salesman...(I must point out the dealership has also won multiple trading standards awards)...

    Any thoughts VERY much appreciated! Has anyone done something like this before?

    Thanks!
Page 1
    • neilmcl
    • By neilmcl 11th Oct 16, 11:17 PM
    • 8,570 Posts
    • 5,607 Thanks
    neilmcl
    • #2
    • 11th Oct 16, 11:17 PM
    • #2
    • 11th Oct 16, 11:17 PM
    You don't have to wait 6 months, you can settle the finance at any time, immediately if yo so wish.
    • straighttalker
    • By straighttalker 12th Oct 16, 12:08 AM
    • 701 Posts
    • 557 Thanks
    straighttalker
    • #3
    • 12th Oct 16, 12:08 AM
    • #3
    • 12th Oct 16, 12:08 AM
    The salmon is probably saying 6 months so the clawback on his commission doesn't kick in.
    • Rain Shadow
    • By Rain Shadow 12th Oct 16, 9:52 AM
    • 1,397 Posts
    • 2,558 Thanks
    Rain Shadow
    • #4
    • 12th Oct 16, 9:52 AM
    • #4
    • 12th Oct 16, 9:52 AM
    The salmon is probably saying 6 months so the clawback on his commission doesn't kick in.
    Originally posted by straighttalker

    Sounds fishy to me.
    Last edited by Rain Shadow; 12-10-2016 at 10:59 AM.
    • neilmcl
    • By neilmcl 12th Oct 16, 10:30 AM
    • 8,570 Posts
    • 5,607 Thanks
    neilmcl
    • #5
    • 12th Oct 16, 10:30 AM
    • #5
    • 12th Oct 16, 10:30 AM
    The salmon is probably saying 6 months so the clawback on his commission doesn't kick in.
    Originally posted by straighttalker
    "Salmon" ?
    • Rain Shadow
    • By Rain Shadow 12th Oct 16, 10:58 AM
    • 1,397 Posts
    • 2,558 Thanks
    Rain Shadow
    • #6
    • 12th Oct 16, 10:58 AM
    • #6
    • 12th Oct 16, 10:58 AM
    "Salmon" ?
    Originally posted by neilmcl

    I'm guessing 'salesman'.
    • Oakdene
    • By Oakdene 12th Oct 16, 11:01 AM
    • 500 Posts
    • 677 Thanks
    Oakdene
    • #7
    • 12th Oct 16, 11:01 AM
    • #7
    • 12th Oct 16, 11:01 AM
    Yep, pretty much what's been said above. The sales exec's I worked with used to have their commission clawed back if a customer paid in full within 6 months. There's nothing stopping you phoning up & paying a day after you physically get the car.
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