Motability is it worth it are there any pitfalls

2

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  • Chorlie
    Chorlie Posts: 1,029 Forumite
    First Anniversary Combo Breaker Photogenic
    edited 22 September 2014 at 2:28PM
    I had Mobility cars in the 90's (3) and have friends who have always had Mobility cars, the scheme is good; however for some (myself included) owning a car outright can better option.

    The advantage is you have a new car with all insurance, servicing etc included; you just put fuel in it and drive it.

    The downside is handing over almost £9000 and after 3yrs having nothing to show for it.
  • rogerblack
    rogerblack Posts: 9,446 Forumite
    http://www.toyota.co.uk/new-cars/aygo-offers-finance - for example.
    (I have am not specifically recommending this car.)

    If a 3 door hatchback would suit your needs, 7995 cash price.
    High/enhanced rate mobility is 245/mo.

    Selecting no deposit and 36 months leads to a HP payment of 150/mo.

    After 36 months, you have about 3600 pounds left over.
    You can either then simply purchase the car with that amount, or hand back the car and do the same with a new one.

    Argh - just noticed - the above vendor is 'business cars only'.
  • Indie_Kid wrote: »
    Does it? I thought that DLA mobility only stopped if you had the cash rather than the car and went into hospital/

    Adult DLA, stops 28 days after you enter an NHS hospital [as an NHS patient] or ‘similar institution’ [care home fully funded by the NHS etc]. If you were a patient on 8 April 2013 and had a Motability agreement, the amount payable from your DLA mobility component will still be paid while the agreement continues or until 8 April 2016 if this is earlier than the date that your Motability agreement is due to end. from April 2013 onwards, the DWP has started to treat all hospital in-patients in the same way, whether they have a Motability vehicle or not. If you leave hospital after 8 April 2013 but become a patient again more than 28 days later, this protection will no longer apply.

    Its self evidently the case that if you have an award for care and mobility needs that are met by the state twice, (1) as cash or car and [double cost] duplicated (2) whilst in hospital. Ditto for (3) carer's allowance - the stopping of DLA triggers the stopping of carers allowance. As soon as you are admitted to hospital, you or somebody acting on your behalf should contact DWP and Motability of your change in circumstance. If in doubt speak to Motability or the DWP.
    Disclaimer : Everything I write on this forum is my opinion. I try to be an even-handed poster and accept that you at times may not agree with these opinions or how I choose to express them, this is not my problem. The Disabled : If years cannot be added to their lives, at least life can be added to their years - Alf Morris - ℜ
  • TOBRUK
    TOBRUK Posts: 2,343 Forumite
    rogerblack wrote: »
    The upsides have been mentioned above.
    The major downside is that if there is a problem with your PIP claim, then you rapidly need to return the car - even if you can still fund it.

    You are paying 3000 pounds a year for a car on motability.
    Find a reliable small car for 2000 pounds, and you have 1000 pounds to spend on repairs and other costs a year, and then you have several thousand pounds extra in the next couple of years.
    There are even places offering aftermarket warranties if you want to be sure of the costs.

    Insurance costs for some will break this saving though, as that's paid for by motability usually.
    If you're paying 1500 quid a year insurance - it's unlikely to be sensible.
    I totally agree with you rogerblack, I am going to have to change my car in the near future - I have a 1996 astra automatic which I bought in 1997 and arranged to have the adaptions fitted myself. The M.O.T. is due end of January and I am not sure it will pass!!

    I suppose some will think the motability scheme will suit them better because 'everything' is paid for. You can be lucky or unlucky with any car you get - I have been extremely lucky with the car I have now and have hardly spent anything on it since 1997! Anything I had to have done I kept the bills and then looked at in order to compare to the motability scheme, if you know what I mean.

    As you point out, the amout of £3000 a year (every year) without owning a car to me is a hell of a lot. I would rather buy a second hand car and once you have paid for it your mobility allowance can be used for any work you may have to do on the car, or start putting it by for your next car!

    I have just paid my car insurance renewal and even with it being an adapted car and registered a disabled driver with the DVLA I paid £159.00, last year it cost £175.80 - both I think are a good price.

    Although I know I shall have to change my car soon, over the past year I have only had to have a little welding done (before it passing the MOT) and had to get a new tyre due to a blowout. So I haven't forked out much even though (a bit like me) it is a very tired car!

    I am a member of the RAC - with home start etc which was £103 this year. Even adding the whole cost, I will be doing the same again and buying a second hand car.
  • stefos
    stefos Posts: 52 Forumite
    First Anniversary Combo Breaker
    I bought new. A couple of thousand pounds deposit and gave up my DLA allowance for four years, incurring running costs and AA membership. After the four years it was a bit of a bonus owning the car and receiving DLA again. The car (Honda Jazz) is now 12 years old, just sailed through its MOT and would get a minimum of £1000 if I were to part exchanged it now. Replacement tyres, battery and exhaust (twice) have been the only running costs. it had been the right thing to do in my opinion.

    All BB users are equal; but some are more equal than others
  • sheeps68
    sheeps68 Posts: 670 Forumite
    First Anniversary Combo Breaker First Post
    edited 22 September 2014 at 4:58PM
    I did the sums too. Very little difference in costs of my buying a new car on HP, insurance AA membership etc when I took into account depreciation of my car. However I did have the reassurance it was mine at the end of the day so any hiccups in DLA or PIP renewal I didn't have that worry. Also I was maintaining my no claims bonus which it seems can be a slight issue with any notability claim. I have a protected no claims bonus! I did pay to ensure all servicing was covered over 3 years too!
    I think notability can be great if you need an adapted car a large car, or are a young driver, or someone without a good no claims bonus.
    As I don't intend changing my car at 3 years of age I'm going to be gaining in years 4+ even after taking into account servicing, AA etc
  • missile
    missile Posts: 11,684 Forumite
    Name Dropper Photogenic First Post Combo Breaker
    If you work out the sums, I think you will find you could buy a car on PCP for less with three years warranty and have money left over after you pay insurance et al.
    "A nation's greatness is measured by how it treats its weakest members." ~ Mahatma Gandhi
    Ride hard or stay home :iloveyou:
  • I don't have a good credit history so would probably struggle getting finance which is another reason I am thinking motability. Thanks for all your advice
  • bll78
    bll78 Posts: 213 Forumite
    A lot depends on what you need.
    If you can buy a cheap run about then it may not be your best option.
    However if you need specialist equipment, a car of a certain size etc.. then motability is great.
    I myself need a car with low sills so I can get in and out easily, and upright driving position (like sitting on a seat) otherwise I'm in agony in half an hour (so it needs to be 4x4 type of seating position), headroom (just because I'm tall), and room for a mobility scooter in the boot. Therefore not many cars are suitable but the Nissan Qashqai is perfect.
  • I like the peace of mind that comes with a motability car. I know it is expensive, but I went through so many cheap 2nd hand cars . I don't have 2 grand to put down on a car so I had to go for the scheme.
    Many thanks to all who contribute on MSE :)
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