Mercedes PCP

mrsammyp

Please don't get offended when others offer their opinion, a majority of us have learnt from experience and been stuck in the neverending PCP cycle. This is a money saving site after all.

The truth of it is, you probably won't save the £18k to own the vehicle at the end, instead you will hand the vehicle back to the grinning dealer and be left with no car and/or deposit (this would be my prediction based on past experience and other threads on here).

saverbuyer

XeonSX wrote: »

Is it? I've not heard / read anybody getting that. Please point me to where I can read about it.
Also show me a cheaper way of owning this factory car.

Cheaper way.


I already told you. Buy the car and cancel the finance. Cheapest way is paying cash.

racing_blue

XeonSX wrote: »

I don't think looking at it as '' buying 45k car with 10k" is right. Firstly, there is 7k discount, that automatically makes it "buying 38k car with 10k". Then there is no commitment to actually buying a car after 3 years. And you've done this, buy after 3 years, so I guess you don't object to that. What you seem to find strange is people who spend a lot of money for first 3 years of owning a new car.

It might seem a little crazy to spend 20k to rent a car for 3 years but the prices are what they are because people can afford it. Surely you can appreciate the option of choosing how you car looks, what extras it has, the fact that it's new and covered by warranty and most importantly it's the latest.
I want 350e ( to be released in the summer). It's no secret that latest things cost the most but there is value in that, that I find worth it.

Thanks XeonSX - that's an intelligent and reasonable response to the arguments. If you get that car, I hope you enjoy it.

Personally if spreadsheeting that Merc I'd consider the monthly cost to be £632. That's the average of the £10,000 initial rental and then 35 "monthly rentals" of £355.

I prefer renting stuff generally. If it floats or flies... all the benefits of ownership without the hassle. I rented a speedboat for a week last year, the kids loved in. This summer I'm going to rent an Audi TT for a couple of weeks just because I've always wanted to. A white one. So can understand your perspective, to some degree. I'd never borrow to rent though.

There is a book called "The Millionaire Next Door" by Stanley and Danko which transformed my behaviour around money. You can get it used for 86p on Amazon at the moment (or I'll rent you my copy for 10p deposit plus 35 payments of 2p and then give you the option to buy for 15p :cool:). Seriously, a great book when thinking about how this stuff can fit in with the long term financial picture.

Good luck and happy driving

pd52

mrsammyp wrote: »

Please don't get offended when others offer their opinion, a majority of us have learnt from experience and been stuck in the neverending PCP cycle. This is a money saving site after all.

The truth of it is, you probably won't save the £18k to own the vehicle at the end, instead you will hand the vehicle back to the grinning dealer and be left with no car and/or deposit (this would be my prediction based on past experience and other threads on here).

Plus at the end of 36 months the appeal of wanting to own will of worn off - want a the new model/new car, out of warranty, might fancy a BMW or something different etc

Waino696969

This probably won't be popular, but just think what a difference to your life knocking £47k off your mortgage would make.

I speak from bitter experience as someone who's lost '000s on cars over the years.

XeonSX

Waino696969 wrote: »

This probably won't be popular, but just think what a difference to your life knocking £47k off your mortgage would make.

I speak from bitter experience as someone who's lost '000s on cars over the years.

Again, it's not 47k, it's 40k. 40K at my current mortgage rate wound shorten it by 3 years and save £3k however it's not worth putting my life on hold for.

XeonSX

pd52 wrote: »

Plus at the end of 36 months the appeal of wanting to own will of worn off - want a the new model/new car, out of warranty, might fancy a BMW or something different etc

True, but if I don't buy now I'll never know what it's like to order a new car. I don't plan to keep buying new cars after this, I don't have an addiction like that. Best case I keep the car and find 18K in 3 years. Worst case I return after 3 years and would have paid a bit more than if I were to rent it. Either way the loss is not significant. Worst situation for me it getting a loan I won't be able to afford which is why I like to pay higher deposit upfront.

AnotherJoe

saverbuyer wrote: »

Or do what I did with Mercedes.


1: Get price from broker.
2: Get dealer to match price including PCP discounts.
3: Pay off PCP within 14 days
4: Keep dealer discounts.

Ive done this for my last three buys, the cheapest way was to buy on finance, then pay off quickly, because the dealership gets comped on the finance more than the car so you get a better deal on finance than cash, so you use the finance temporarily to get you that discount.

And you can sometimes get a better deal on a new than a recent s/h as well, due to manufacturer discounts. Very dependent upon make model and timing with the latter.

You just need to make sure if doing this, that the finance deal has no early repayment penalty.

XeonSX

AnotherJoe wrote: »

Ive done this for my last three buys, the cheapest way was to buy on finance, then pay off quickly, because the dealership gets comped on the finance more than the car so you get a better deal on finance than cash, so you use the finance temporarily to get you that discount.
And you can sometimes get a better deal on a new than a recent s/h as well, due to manufacturer discounts. Very dependent upon make model and timing with the latter.
You just need to make sure if doing this, that the finance deal has no early repayment penalty.

But then you still get a choice to buy the car for guaranteed minimum future value 3 year later right?

C_Mababejive

It truly amazes me what people are prepared to spend on cars. Whats it all about?Perceived status? some kind of phallic worship? A car means no more to me than a hammer,a screwdriver or other similar device. In effect,its just a tool.

The idea of paying a fat deposit, a fat monthly payment and then at the end of 3 years paying another fat wad just to own a car seems bizarre to me.