Used Car PCP

goater

Hello,

First post on here. I am looking to buy a BMW 3 series coupe - have been quoted the following:

£1950 deposit
£360 a month * 48 months
Final payment £6225

On a 330 coupe from an spproved BMW dealer - the APR is 13% and this assumes the depreciation on this car is approx. £3.3K per annum. The total payable is approx. £25k (price of car is £19450)

I don;t think it is a good idea to accept this proposal - ant tips on getting a better deal - or does anyone know of any dealers offering better finance on used cars? In present climate I am not comfortable entering this agreement.

Any tips on best way to fianance used BMW / Audi preferably PCP?

Cheers
Sam

Pew_Pew_Pew_Lasers!

Tesco do a loan at 8.9% APR over the same period. There's a difference of about £1,500 on the total repaid.

If you're uncomfortable, take that as your instinct - and don't ignore it.

izzzzythedog

alliance and leiceter are cheap also

best bet is to play off dealers with each other , if you cant get a reduction in the final price or an increase in the part exchange £ then aim for additional extras which in the longer will leave you with a car with a higher p/x value

redrolo

Hiya, They have margins on the finance which you should exploit. In my experience (before I get shot down) is that BMW are notorious for not offering deals. I have had this experience on a 3 and 5 series in the last 2 years. In the end I have gone to Audi for a A4.

HOWEVER
========
Things to consider and beware of: What is your annual mileage going to be? Is the car you are buying likely to be replaced soon. What are the clauses of gettign out. My wife bought a Golf on PCP last year on 10k a year mileage. I thought it was a little low, but the salesman convinced her that it didnt matter as she would px it at a future date (before the term of the pcp ran out)..... basically now the price of a new golf is being peddled at less than she owes one year on, and we are now forced to keep her car for the full 3 years as the value of the car is always going to lower than what we owe. The get out period is 2 years 7 months (this is the point when we would have paid 50% of car.

Honestly, really do your homework and read the small print on the deal before you commit. You are saying that you will own that car for 4 years, is this likely?

Personally I would go to VW, and get them to offer a deal on the outgoing R32. My neighbour got offered one for £18500 brand new (From VW dealer)before any haggling. Last year they were £25k new, so the depreciation has been taken out of it, and being german they will depreciate better than most.

Sorry for rambling, but seriously do your homework on the repayments, and if possible shorten the term of your loan period if you are still going after your BMW option.

Rich

Pew_Pew_Pew_Lasers!

You can't really compare a Golf R32 to a 3-series BMW. Its like comparing Jo Brand to Liv Tyler.

redrolo

Pew_Pew_Pew_Lasers! wrote: »

You can't really compare a Golf R32 to a 3-series BMW. Its like comparing Jo Brand to Liv Tyler.

Does Jo Brand Drive a Beemer?

WatlingA5

I posted a link to this thread on the MacFormat forum for someone looking for PCP; I am now returning the 'favour' by providing this link to 'ex-insider' DaveSoA's post. Worth taking into account - if it's not too late

Hintza

Best advice I can give is don't do it. Buy something more afordable (if you have to, better still keep what you have) until there is some light at the end of the economic tunnel.

APR of 13% when interest rates are getting close to zero? Even the standard 7% of a month or to back looks extortinate now.

Can you really afford it?

Although I don't think they are great deals have you thought of leasing one short term. Might be a bit more expensive but might get the "need" to have one out the system?