cycle scheme help

jh2004

dear all,
Please can you help me on the www.cyclescheme.co.uk

I am thinking of buying a £1000 bike, and the want to use the cycle scheme to get roughly 50% off. my company has used it plenty of times before.

However, do you own the bike or hire it?

and then do you just pay a little at the end?

Quote:
"What is the hire period and when do I own the bike package?
The hire period is considered to be the time over which you are still paying your employer for the bike package (typically 6-12 months). You have full use of the bike and equipment during this time and are responsible for the insurance, storage, security and maintenance of it. At the end of the agreed hire period, you may be offered the opportunity to pay the fair market value of the bike package to your employer from your net salary. The fair market value cannot be confirmed before or during the scheme. However historically 5% of the original retail price appears to be typical."

has anyone had any experience with it, or is it just a pain in the neck?

cheers
JH

Pew_Pew_Pew_Lasers!

It is apparently a very good scheme. Just what kind of bike were you thinking of, and have you left about 10% of the budget for tools, accessories, and clothes?

Chippy_Minton_2

Your company own it until you make the final payment.

TEAM.MARLEY

jh2004 wrote: »

Quote:
"What is the hire period and when do I own the bike package?
The hire period is considered to be the time over which you are still paying your employer for the bike package (typically 6-12 months).
JH

Hi there,

Has anyone who has used this scheme ever had a hire period of less than 12 months?

Many thanks.

BillScarab

Your company buys the bike. You then pay over 12 months and then pay approx. 5% of the value as a final payment. Unitl that point your company own the bike.

At our company the hire period is 12 months. I don't know if it possible to have a shorter one or not. I think I've heard of places wheer it is 18 months though so it may be possible.

It's a really excellent scheme. My local bike shop does a roaring trade in cycle scheme bikes. I'm currently waiting for my voucher so I can go and pick up my new bike.

Ian85

Thought I'd bump this thread rather than starting a new one about the same thing.

I'd been under the impression that you hire bike until you pay the last payment (and the 5% market value) then it becomes yours. However after reading the bit the OP quoted:

"What is the hire period and when do I own the bike package?
The hire period is considered to be the time over which you are still paying your employer for the bike package (typically 6-12 months). You have full use of the bike and equipment during this time and are responsible for the insurance, storage, security and maintenance of it. At the end of the agreed hire period, you may be offered the opportunity to pay the fair market value of the bike package to your employer from your net salary. The fair market value cannot be confirmed before or during the scheme. However historically 5% of the original retail price appears to be typical."

I'm beginning to doubt myself. Can anyone confirm this as the use of "may" seems a bit vague.

Cheers!