DLA Motability

KaesarSosei

Hi,

I have a relation who is on DLA but is having serious car problems. Their finances are generally very tight so they are wondering if giving up the portion of the DLA for the new car is a good idea or not.

If someone needs a new car would you say going for this scheme is a no-brainer or are there other factors to consider? Currently I am under the impression that a DLA claimant basically gives up £50 a week but in return gains the following:

A brand new car (so no hassle with crappy 8 year old vehicles)
Taxed
Insured
Replaced with a similar new car every 3 years
60,000 mile limit
Free servicing?

Thanks

[Deleted User]

all they have to do is put petrol in it,really is a no brainer if a decent reliable car is needed

huxley

Hi I am entitled to the higher rate of mobility and all of this is taken for the car. Depending on what car you choose you may have to pay a deposit. You used to have to show that you were entitled to the benefit for the next 3years the length of the lease but I think this has changed slightly. It works for us having the car on the scheme because we have a reliable car that suits my needs, but if they have been used to the income and things are already tight think carefully before making the commitment.

tottybum

And there is movement in the government to cut back the number of people eligible for a Motability car especially when PIP comes in.

It would not surprise me that Motability has run it's course, has got too big and far too many undeserving claimants have one.

There is a lot a public opinion about this at the moment and Joe public does not see that it is right that these cars are being dished out willy nilly to all and sundry to some that have a dubious condition or disability.

If you go for a Motability car there is no guarantee that you will get another!

Better to buy your own out of the £2500 a year you get.

Ziggazee

You now only need to have at least twelve months to run on your award to be eligible for a Motability vehicle.

rogerblack

KaesarSosei wrote: »

If someone needs a new car would you say going for this scheme is a no-brainer or are there other factors to consider?

It's not a no-brainer for many.

For example.
20yo, no feet, needs adapted car.
Due to their age, insurance will be expensive, as will the adaption.
As they will never not get HRM (no feet) - it's an easy decision.

40yo, chronic fatigue syndrome, small car is fine.
No adaption needed, so more or less any car will do.
Due to the disability, the likelyhood is that the DLA award will be removed, and need challenged at least once during the lease. This will mean the return of the car.

Comparing motability with a cheaper used car - say 3500 direct from nissan, with a 12 month warranty.
Add in three years insurance and MOT, one set of wheels, and we're at 5000.

leaving you with around 3.5 grand.
You can do a lot of repairs for 3.5 grand on a micra.
And if it's still working after 3 years, you can carry on with it.

Even if you end up spending 1700 quid on repairs and servicing, you're still about a tenner a week up.
And that's assuming you get a replacement car after 3 years.

ariba10

As I posted at the beginning of the month.

Higher rate Mobility--- £51.40 per week = £2672.80 per year. = £8018.40 over three years.

After three years you have nothing.

Buying a car looks the better option to me.

Simon7685

I do around 4 to 5000 miles a year, I bought my Y (2001) plate fiat in 2008 for £1500. It had done only 38000 at the time. It has cost me 1 set of tyres £150, 1 full service £150, 2 x MOT £70, set of discs & pads £200, some brake pipe work £120 a cambelt £200 and thats it. It has just ticked over to 55000 and runs like a dream. So I guess it is down to personal choice, getting a decent motor, thinking about how much you will use it (I use mine most days, even if only to local supermarket) and whether the £200 a month can work better for you. For me it's a no brainer but we are all different. I know people who have the new car and go out once a week to the supermarket but feel comfortable knowing it's there sat on the drive and raring to go. So like I said it's personal choice and what you think is best for you. Oh I almost forgot the £6.83 a month I pay for AA Relay.

Ames

I have my second car on motability, and I'm looking forward to buying due to getting an inheritance.

Due to debts I sold my old car and got a motability one.

It's a REALLY expensive way of doing things, as said above, 8k with nothing to show for it. If you've got a good credit rating, getting a loan to buy a reasonably new second hand car is much better value. Unless you drive like a boy racer and need loads of repairs, I guess.

Also, if you end up with a little dint on your own car, it's up to you whether to have it repaired if it's just cosmetic, whereas you have to pay if it's a motability car.

TBH, I wish I'd never gone on the scheme, because once on it you're kind of stuck - the money's going down the drain, so if it stops (because of losing your award, for instance) then you're stuck without a car. Whereas if you buy a car, there'll always be some value in it, and you'll be getting the £200 a month to save up/pay for a loan for another.

I've seen motability on here described as Brighthouse for cars, and I think that's spot on.

tottybum

Ames wrote: »

I have my second car on motability, and I'm looking forward to buying due to getting an inheritance.

Due to debts I sold my old car and got a motability one.

It's a REALLY expensive way of doing things, as said above, 8k with nothing to show for it. If you've got a good credit rating, getting a loan to buy a reasonably new second hand car is much better value. Unless you drive like a boy racer and need loads of repairs, I guess.

Also, if you end up with a little dint on your own car, it's up to you whether to have it repaired if it's just cosmetic, whereas you have to pay if it's a motability car.

TBH, I wish I'd never gone on the scheme, because once on it you're kind of stuck - the money's going down the drain, so if it stops (because of losing your award, for instance) then you're stuck without a car. Whereas if you buy a car, there'll always be some value in it, and you'll be getting the £200 a month to save up/pay for a loan for another.

I've seen motability on here described as Brighthouse for cars, and I think that's spot on.[/QUOTE]

Totally agree!
Motability has run it's course. Far better to borrow the money at the current low rate of interest and use the DLA payment to pay for it.

The writing is on the wall as they have reduced the award period down to 1 year. What happens if you lose the HRM on renewal in a year - no more car, and no money coming in to buy one.

As for that last statement, you could not have described the system any better. Have you seen the prices they charge for furniture and TV's?
Yes Motability is best described at the 'Brighthouse Garage' !!!

Mupette

well i see it a bit different for me.

£50 a week has got me a car that i can drive, given me independance where i didnt have before, i would never be able to afford to save the money over a 3 year period as it would go over the savings threshold for the benefits i am on.

although things are about to change for me work/benefit wise (fingers crossed)

having a car that the only thing i needed to do is put fuel into has been great, i am happy to loose the £50 a week, to a car..

anything happens to the car (within reason) is covered, service is covered, tax is covered, some may see this as a no brainer but for me to save that kind of money would be having nothing for the (minimum) 3 years to start with..

OP as long as your dla is high rate mobility you should be able to look at motability cars.