Lease vs PCP

chris1012

I am think of leasing a Skoda Octavia Estate on a 3 year lease as I plan to hand it in after 3 years.

Just wanted to know how easy is it to lease as oppose to PCP, where I have the choice to purchase, hand back or part exchange at the end of the term?

Through a lease, the payments are much smaller but I obviously am aware of the fact I will have nothing to show after the 3 years once handing it back in.
My biggest concern is how flexible are they when handing back the car in terms of the condition?
I know from have a car from new that after 3 years no doubt there are little stone chips, a few little dents and some cosmetics on the body and alloys (this is expected when driving/parking in the heavily populated area.

So I just wanted to really find out would it still be worth my while to lease or will I be stung by repair costs which if so, I would probably better going for a PCP, as it will cancel out the overall costs?

Thanks

InsideInsurance

If you hand the car back at the end of a PCP deal they will be identical as a lease company, in fact some companies finance both lease and PCP.

The difference is you may trade it in rather than surrender it if there is equity built up in the vehicle.

=rizla=

Pcp's are can be more flexible to swap/finish before the end of the 3 years if you need to.


Skoda are offering 0% on the Octavia at the moment, have you tried to see what deals you can get via car wow?

chris1012

The deals in Carwow are working out a bit beyound my budget for a spec'd elegance 1.4 petrol auto.

Ideally I would like to put in in between 1.5k-2k deposit and then space out the remaining payments under £340 a month...

Seems I can only achieve this on a lease rather than a PCP.

The car value is at 24k

=rizla=

Ahh ok, I looked at leasing from people talking about it on these boards, but with the 0% the pcp worked out cheaper for me.

macman

If purchsing as a VAT-registered business, you can recover the VAT on a contract lease.

albionrovers

I got charged >£400 handing a leased Honda back, split into 4 different bills. Front/rear driver/passenger. I offered to pay 1 of them and after a bit of haggling they agreed. To me, it's sales based. They expect folk to simply cough up, no Qs asked.

marsman802

but charged for what?

albionrovers

A bit of rippled paint which was a poor repair after a wing mirror hit and run outside my house. So fair enough. The rest of their claims were nonsense. The assessor who picked my car up gave the car a glowing report hence my challenge when the bills arrived.