Just add fuel scheme question

property.advert

The maths on these does not work out in your favour, at any time.

It sounds good but it is a financial ball and chain.

pineapple

Credit_Crunched wrote: »

GFV will be roughly 85% of expected book value in 3 years. In fact in most cases there will be equity involved at trade in.

As in all PCP deals, excess mileage is only an issue if you hand the car back to the finance company. If you trade in, the valuation will reflect the mileage, if you pay off the GFV it really does not matter.

Just set the mileage limit to what you think you will do.

Mileage limit is 6667. Above that, excess charges apply.
http://www.google.co.uk/search?q=just+add+fuel++mileage&ie=utf-8&oe=utf-8&aq=t&rls=org.mozilla:en-US:official&client=firefox-a

I've been trying to work out this deal myself. Note it's not quite as simple as stated by credit_crunched - the passport and the lease programmes are in fact separate options of the Just Add Fuel scheme.
If you intend this just to be lease, compare to other lease packages. But don't forget that a minor scratch here and there could cost you dearly! Just prey you don't get hit by a wandering supermarket trolley....
If you want to own outright, do the sums and compare to other schemes as well as straightforward purchase. Not forgetting it is possible to do good deals on new cars including offers of insurance etc.

Credit_Crunched_2

pineapple wrote: »

Mileage limit is 6667. Above that, excess charges apply.
http://www.google.co.uk/search?q=just+add+fuel++mileage&ie=utf-8&oe=utf-8&aq=t&rls=org.mozilla:en-US:official&client=firefox-a

I've been trying to work out this deal myself. Note it's not quite as simple as stated by credit_crunched - the passport and the lease programmes are in fact separate options of the Just Add Fuel scheme.
If you intend this just to be lease, compare to other lease packages. But don't forget that a minor scratch here and there could cost you dearly! Just prey you don't get hit by a wandering supermarket trolley....
If you want to own outright, do the sums and compare to other schemes as well as straightforward purchase. Not forgetting it is possible to do good deals on new cars including offers of insurance etc.

You can set the mileage higher than 6667. They only state that on the advertising as that is the lowest it can be set, and it creates a lower monthly payment due to the higher GFV. Think you can go as high as 30000 pa, but it will lower the GFV.

It is as simple as I have stated. There is only a Just Add Fuel PCP. There is not a Just Add Fuel lease as a separate agreement. Peugeot do offer a personal finance lease but it is not available on Just Add fuel.

col4461

Just wanted to share my thoughts. I have had my car three weeks now and I am very happy. What I would say to people its all about getting the best deal when you speak to the salesman. I said I wanted to pay no rental deposit and I had no car to trade in. Make sure you get the model you want. I did not want the basic 207 and decided I wanted a 5 door deisel active with air conditioning and bluetooth etc. I told the salesman I would be doing 10000 miles a year and there was no problem. I am paying 36 payments of 250. Choice of handing back which will be my choice or I can make a payment and keep it. You will find the salesman bends over backwards.

Jonesya

col4461 wrote: »

I am paying 36 payments of 250. Choice of handing back which will be my choice or I can make a payment and keep it. You will find the salesman bends over backwards.

£9k over 3 years and you don't even own it at the end, are you sure it's the salesman bending over?

property.advert

col4461 wrote: »

Just wanted to share my thoughts. I have had my car three weeks now and I am very happy. What I would say to people its all about getting the best deal when you speak to the salesman. I said I wanted to pay no rental deposit and I had no car to trade in. Make sure you get the model you want. I did not want the basic 207 and decided I wanted a 5 door deisel active with air conditioning and bluetooth etc. I told the salesman I would be doing 10000 miles a year and there was no problem. I am paying 36 payments of 250. Choice of handing back which will be my choice or I can make a payment and keep it. You will find the salesman bends over backwards.

From reading further this deal lends itself much more to those who want to hand it back rather than those who want to keep it.

That said, a friend of mine in Oz got rid of their owned Mercedes and has had a similar scheme over there for his Merc S class for 2 renewals now. He just puts gas in it and they give him a new one every 3 years.

daveyjp

col4461 wrote: »

Just wanted to share my thoughts. I have had my car three weeks now and I am very happy. What I would say to people its all about getting the best deal when you speak to the salesman. I said I wanted to pay no rental deposit and I had no car to trade in. Make sure you get the model you want. I did not want the basic 207 and decided I wanted a 5 door deisel active with air conditioning and bluetooth etc. I told the salesman I would be doing 10000 miles a year and there was no problem. I am paying 36 payments of 250. Choice of handing back which will be my choice or I can make a payment and keep it. You will find the salesman bends over backwards.

So paying 9k to rent a car for three years is better than paying 10k and owning it after three years?

Credit_Crunched_2

daveyjp wrote: »

So paying 9k to rent a car for three years is better than paying 10k and owning it after three years?

Not everybody has the odd 10k floating around. If you are happy to pay the monthly payment that includes insurance, RFL and servicing, then so be it!

Works for some people.. Not for all

col4461

I do get your point about paying 9000 upfront and keeping the car to save money. I should mention the car I have costs 12000. My insurance would be about 1200 over three years and Peugeot servicing would be 500 over 3 years. Then breakdown 120 and tax only 60 over three years. That's 13880. After three years I will hand it back. I think it's a good deal to drive a new car. Don't forget once a car is three years old and out of warranty its going to cost a bit to keep on the road. I do accept its cheaper to run a older car.

KTF

The difference is that if you 'bought' the car via a loan, etc then after 3 years you would get back some of the 13880 (using your figures) back when you sold it.

With this deal you get nothing back at the end.

Its just a lease at the end of the day and it may be worth speaking to a few companies that specialise in leases to see if they will give you a better deal.