New car or lease?

OddballJamie

However you label it, a courtesy car is a hire car. It's been loaned out to customers whilst theirs is being repaired or serviced.

Ask yourself why it's £3000 cheaper than a local one that you can see.

I don't understand your logic about problems will be the next owners responsibility. You will be the next owner.

What happened to your original idea about buying a brand new car and selling it after a year at a £1000 loss? Would love to know the figures behind that.

Wavey75

Hi Oddball,

I was told that buying new and exchanging it for new every year cost £1,000. I stil don't beleive this is actually true, but when I have my new car next week, I will vistit my local dealer and ask what trade in price he will give me, if it's £1,000 I'll do it.

Personally, I can't see that being the case, as once you drive a brand spanking new car off the forecourt, it's value has already dropped by the VAT, 20%.

Why else would a dealer be offering 11 month old cars with low mileage and a 12 month warranty for £5,000 less than they cost 11 months ago.

Brand new these 2014 Honda Jazz's were £15,395 (this is the current OTR price of a 2015 model). Although it's not accurate, but if you deduct 20% from that price it's still means the car's worth £12,000 only 11 months old.

I have asked myself why is this car this price, and the answer I've gotten is that it's end of line. This dealer has 3 more Jazz's at this price, so if it's the great deal you suggest it is, would you like their number to buy one for yourself?

I don't blame you for being so distrustful of car saleman, I am too. But this car has a full 12 month warranty and if there are any problems I can take it to my local dealer. If there are no problems with the car within the 12 months, there is likely to be no problems with it at all for the 2 years I will own it before trading it in as previously explained.

What problems do you think could crop up with this car, if when it arrive there are none?

I vaguely remmber years ago, Ford did that options thing, where you bought the car on HP, and for an extra £1,000 each year you could part exchange for the new model, but it was still expensive even back then.

Spicy_McHaggis

OddballJamie wrote: »

However you label it, a courtesy car is a hire car. It's been loaned out to customers whilst theirs is being repaired or serviced.

Ask yourself why it's £3000 cheaper than a local one that you can see.

I don't understand your logic about problems will be the next owners responsibility. You will be the next owner.

What happened to your original idea about buying a brand new car and selling it after a year at a £1000 loss? Would love to know the figures behind that.

Don't knock it he's happy.

The facts numerous pensioners will have drive it round in first gear is not a problem to our OP, who is obviously a pensioner with a similar driving style.

OddballJamie

Where do I start...

Cars don't lose 20% instantly due to VAT at all. It's due to newness mostly and dealer margins. Buy the right car and you could actually sell it the next day at a profit.

Why are 11 month year old cars being sold with only 12 month warranties?

You're quoting retail prices to increase the saving, no one pays retail on a Honda hatch, get a price from a broker and you will see the real price difference.

As you say it has a warranty, should cover most things. Just not wear and tear, main thing I would be concerned with on an ex hire car is the clutch, warranty won't cover that and if you want to go down the SOGA route. It's a 360 miles round trip to the supplying dealer.

There was a post on here a few days ago about a micra with the clutch needing replacement within six months. Warranty wouldn't cover it £1100 bill!
https://forums.moneysavingexpert.com/discussion/5172590
There's loads more on here, usually when people buy cars without viewing or from dealers hundreds of miles away.

I've had a quick look on Autotrader, there's plenty of Jazz's around the country for around £10k at 12 months old. Surely one is within reach of viewing and more importantly test driving.

As for car salesmen, I met some good ones and some bad ones, I've even had ones do a walk around a car whilst on the phone describing the condition and found faults when I've turned up to view. At the end of the day their job is to get you to part with your cash.

OddballJamie

Spicy_McHaggis wrote: »

Don't knock it he's happy.

The facts numerous pensioners will have drive it round in first gear is not a problem to our OP, who is obviously a pensioner with a similar driving style.

I remember having a 308 courtesy car a while back. Got to the service desk early and they messed about for ages trying to work the photocopier. Finally got the keys and had do some spirited driving to get to work 20 miles away. Parked up with the fuel light flashing away and noticed the car had only covered 28 miles in total.

When I returned it, they asked me if I would like to be contacted when it goes on the used forecourt in six months.
F### NO!:rotfl:

There's a reason hire cars are the fastest in the world.

Wavey75

Hi Oddball,

I never said new cars loose 20% because of VAT, I said it’s what I’ve been told. I went on to explain that a new car with a OTR price of £15,395 11 months later was being sold for £10,495, which is a lot more than 20%. Your opinion on this has been valuable for me, and it’s different to what others have told me and it will go towards my own opinion on the matter when I make a well -informed one.

What’s a broker, do you mean a car dealer who is independent?

If there’s a problem with the clutch, it will be apparent within the first 12 months, which I will get repaired or they will have to replace my car. It will be repaired at my local Honda dealer, there would be no travelling all the way back to the dealer, I’ve already had this conversation with them.

I also have a 30 day money back guarantee, so any clutch problems should be apparent, and if not if it starts to develop a problem on the 1st day of month 13, then I’ll just trade in a year early.

What’s SOGA route?

your experience with your 308 sounds like a nightmare. Personally, I’d never buy Peugeot.

jaydeeuk1

Wavey75 wrote: »

If there’s a problem with the clutch, it will be apparent within the first 12 months, which I will get repaired or they will have to replace my car. It will be repaired at my local Honda dealer, there would be no travelling all the way back to the dealer, I’ve already had this conversation with them.

I also have a 30 day money back guarantee, so any clutch problems should be apparent, and if not if it starts to develop a problem on the 1st day of month 13, then I’ll just trade in a year early.

What’s SOGA route?

your experience with your 308 sounds like a nightmare. Personally, I’d never buy Peugeot.

Clutch won't be covered. If you buy a car on monday and the clutch is burnt out by friday it will be tough - just ask all the hyundai owners.

Wavey75

Hi Jaydeeuk1,

fair enough, but I can't see an 11 month old car having such a dire clutch at this stage.
Weather I go and physically buy the car after I drive it or I buy it online and have it delivered, if the clutch is gonna go, then it's gonna go, nothing i can do about it.