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Confused about car PCP agreement...
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I'm confused, hopefully someone can help.
I have a car on a 3 year PCP scheme, with 6 months/payments left. In feburary, I get the option of handing it back or paying the final guaranteed value amount (in this case £4276).
I have a bit of spare cash and, as this agreement is at 10% interest I rang up to get a settlement figure. The figure they quoted is 6073 with a £100 rebate bringing it down to 5973. Working this out, my monthly repayments being £286 , 6073 - (6 x 286) =4357 is about the same amount - surely therefore there's little point me doing this?
I (maybe ignorantly) thought that the early settlement figure would be negotiable based on the assumption that they won't really want me to give the car back come February (ie they'd rather get a fixed amount back rather than be lumbered with a car to auction off?)
If anyone can offer advice on the best way to 'play' the PCP scheme at this stage it would be most appreciated. Car-wise, this is an Alfa, that's currently worth probably a little less than the finance outstanding. Also worth considering is that excess mileage charges will add a few hundred quid onto the bill should i decide to give it back in feb.
I have a car on a 3 year PCP scheme, with 6 months/payments left. In feburary, I get the option of handing it back or paying the final guaranteed value amount (in this case £4276).
I have a bit of spare cash and, as this agreement is at 10% interest I rang up to get a settlement figure. The figure they quoted is 6073 with a £100 rebate bringing it down to 5973. Working this out, my monthly repayments being £286 , 6073 - (6 x 286) =4357 is about the same amount - surely therefore there's little point me doing this?
I (maybe ignorantly) thought that the early settlement figure would be negotiable based on the assumption that they won't really want me to give the car back come February (ie they'd rather get a fixed amount back rather than be lumbered with a car to auction off?)
If anyone can offer advice on the best way to 'play' the PCP scheme at this stage it would be most appreciated. Car-wise, this is an Alfa, that's currently worth probably a little less than the finance outstanding. Also worth considering is that excess mileage charges will add a few hundred quid onto the bill should i decide to give it back in feb.
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If your car is under 3 years old, they will be more than happy to take it off you. They then pass it on to companies such as Yes Car Credit (if they are still around) and make an absolute fortune on the interest.0
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I have the same sort of deal, with £4000 to pay off next June. As I have the money saved up, I asked for a settlement figure in April, but it was the same - no reduction for early payment. So I have put the £4000 into Premium Bonds for a year - already won £50. Might win a million. (Then again, might not).I used to think that good grammar is important, but now I know that good wine is importanter.0
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Graham_Devon wrote:If your car is under 3 years old, they will be more than happy to take it off you. They then pass it on to companies such as Yes Car Credit (if they are still around) and make an absolute fortune on the interest.
They went into liquidation last year. Hidious companyNo longer using this account for new posts from 20130 -
Gemmzie wrote:Hidious company
Not if you used to make a killing selling vehicles to them they weren't
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