Buy 2 Let Cars

Kevie192

Hi all,

Heard about this on the radio yesterday and wondered if anyone on here has done it? Seems like a low risk way of making a good return but wanted the benefit of experience before taking the plunge!

Thanks,

Kevin

southcoast70

In theory, sounds like a good idea, and I was getting really excited and spreading the word about it, but then I read a few forums and have gone all cautious! Reasons being:The company is new; it is not 3 years old yet, so its promise of a return after 3 years cannot be tested. The company owner had a business which failed. But so did a lot of billionaires! It's not protected by the compensation scheme. Having said that, it is a business investment and not a savings plan. Some feel the returns are too high to be sustainable, and the company says in the case of default, it will keep paying, but how?

The Guardian newspaper article recommendation was :don't invest.

I'm personally going to put it on hold, and check in about a year and a half to see what peoples' experience has been like. It is a bit chicken and egg, because if people don't invest, then there is less chance of it succeeding, and then if it doesn't succeed, people don't invest, so it's always a risk one takes.

I do like the whole concept of peer-to-peer lending, and this is an example of it, but I will wait and see; and may take a risk, or partner with others, spread the risk and returns.

antrobus

That Guardian article is here;
http://www.theguardian.com/money/2014/sep/05/buy-let-cars-returns

Previous threads on the topic here;

https://forums.moneysavingexpert.com/discussion/4551923
https://forums.moneysavingexpert.com/discussion/4627291

What I find curious is that there no mention anywhere I can see of what to do about income tax. If you are running a car leasing business then you pay tax on your profits; being the total rentals received less the available capital allowances on the car that you own. (Less any other expenses, of course.)

Wouldn't anyone who invested with Buy2letcars need to go through the whole HMRC self-employed self assessment thing whilst worrying about the exact CO2 emissions of their investment?