Peugeot "Just Add Fuel"?

onlyroz

patman99 wrote: »

The thing to also consider that once the free insurance has finished, you will need to arrange your own insurance. They will treat you as a new customer and you will have no NCB.

According to the T&Cs you get to keep your NCB, and you accumulate one while you're in their scheme.

onlyroz

sabretoothtigger wrote: »

nor the clutch or exhaust probably

Would these things be expected to fail within 3 years? If not, I'd expect them to be covered by the warranty. Fair enough for brake pads/discs - but I wouldn't expect to have to replace either more than once in the 3 years.

daveyjp

onlyroz wrote: »

The quotation we were given was assuming an annual mileage of 15000. Assuming that we bought the car at the end of the three years, then the total cost comes to around £2k more than the "list price" This is counteracted by the free insurance, servicing and road tax, and also the interest that we could make if we put the same amount of money into a savings account for three years.

Considering that we probably would want to do a trade-in after the three years is up, the consideration is then how this deal compares with the sort of car that we could otherwise afford to buy. As a comparison consider the following options:

1) Get a brand new 208 using this deal. We have been given a quotation which would cost around £11k over the three years, including servicing, insurance, tax and a warranty. At the end of the three years we trade it in - and any money in excess of the final loan amount goes towards the new car (e.g. we have been told that the final pay-off to buy the car is around £5600, but the car might be worth around £7k, and so in this circumstance there would be a £1-1.5k deposit for the trade-in).

2) Buy a second hand car. We have seen a 308 with a 2010 plate for £8.5k that would be suitable. On top of this you have insurance, tax and servicing to pay for, which would be in the region of £2k. In addition there is the risk that the car needs a repair due to something failing. At the end of the three years the car can be traded in for a depreciated value (say £3k? Possibly more?)

From a financial point of view the two options appear to be similar but in the first instance you get a new car to drive with a much lower initial outlay and limited risk of having large repair bills to pay. It's tempting...

11k plus £5,600 for a 208 is £16,600 for you to own it.

I'd be seeing what a broker such as drivethedeal can source one for as that amount looks very high for such a car.

onlyroz

Nearly_Old wrote: »

That 308 looks to be a bit overpriced as there are quite a few around the £7k mark; e.g. http://www.autotrader.co.uk/classified/advert/201301114873769/sort/default/usedcars/maximum-mileage/up_to_40000_miles/maximum-age/up_to_3_years_old/fuel-type/diesel/model/308/make/peugeot/onesearchad/used/postcode/ls74dn/page/1/radius/1501?logcode=p

You do need to check about the "scheduled" servicing as looking at typical servicing worksheets including Citroen (Peugeot/Citroen share engines, etc) the only listed scheduled service items are:
Oil
Filters - oil, air and pollen
Brake fluid - usually changed every 2 years but can vary.
Anti-freeze - coolant usually changed every 3 years but can vary.

Even the fluid for the DPF on the Citroen is not scheduled, brake pads, discs, etc are generally not scheduled as the wear rate varies considerably between different drivers.

Good luck whichever way you decide to go.

PS I had 3 French cars (Citroen Xantias) as company cars and covered over 400,000 miles and only had to call the AA once in 10 years. Our current winter, shopping, general car is a 10 year old Citroen C5 on 115k that is still going strong!

We've owned a number of Citroens and Peugeots over the years and are pleased enough with them. Our current "main" car is a 5008, which we like a lot - much better than the Ford Galaxy that we traded in.

We'll definitely clarify what items we might expect to pay for outside of servicing. I would anticipate in the three years possibly changing the brake pads and discs, and probably a new set of tyres at some point. But anything outside of this I would expect to be either included in the service or covered by the warranty.

onlyroz

daveyjp wrote: »

11k plus £5,600 for a 208 is £16,600 for you to own it.

I'd be seeing what a broker such as drivethedeal can source one for as that amount looks very high for such a car.

The list price is £14500 or so. I think deals like this are meant to work out best if you *don't* intend to buy the car after the three years. The dealer wants a regular income from you, and a ready supply of good-condition 3-year-old cars to put on the used market. In return you get to drive a new car with a known monthly cost in perpetuity.

As I said above, our intention would not normally be to spend £14k on a new car. Our intention in going to the dealership was to look at used cars around the £8k mark. But if we can get a new car for a similar overall cost then it seems like it could be a good deal.

oscarward

LandyAndy wrote: »

Are brake pads and discs EVER part of scheduled maintenance?

My wife had 2 pug 307 cc cars. She only covers about 5k miles per year.

The first one bought in 05 had to have the disks skimmed then replaced under warranty due to brake vibration.

The second one (08 model) had the same issues but was not covered by warranty as Peugeot had changed the terms and wouldn't pay for it. She had to have the disks and pads changed at 12k miles in the third year of ownership.

She's just bought a lexus ct200h and loves it! Not least because of 0k road tax and 60mpg against £250 ved and 26mpg.

agrinnall

oscarward wrote: »

She's just bought a lexus ct200h and loves it! Not least because of 0k road tax and 60mpg against £250 ved and 26mpg.

But at many thousands of pounds more to buy than a Peugot, amd the fuel consumption is a minor factor if she's only doing 5K miles per annum. If she prefers the car that's fine, but the financial case for it is doubtful.

londonTiger

these deals are only worthwhile to young lads who have to pay 2-3k insurance per year. not for people with drving ecperience or over the age of 25

Tilt

http://www.mirror.co.uk/news/uk-news/peugeot-307-the-car-thats-worth-1546649

sabretoothtigger

Peugeot 307: The car that's worth £77 less every seven days

By that reckoning, its cheaper to rent then to buy

one of Britain's biggest sellers

A victim of its own success maybe. Excess supply second hand will wreck prices, not all cars age gracefully

Ironically Ive read porsche is one of the best to sell second hand because limited supply, good durability mean prices stay high when selling