PCP with BMW - Any way to get out?

Oakdene

HiToAll wrote: »

Surely wouldn't be suggesting pushing it off a cliff?

Don't be silly!! I would never suggest such a thing...now if the handbrake were to accidently fail...

HiToAll

Oakdene wrote: »

Don't be silly!! I would never suggest such a thing...now if the handbrake were to accidently fail...

All together now...............

'there will be blue BMWs over the white cliffs of Dover, tomorrow, just you wait and see......'

Mimmy

Thanks all for your comments.

The settlement figure is 30,968 at the moment, and the best figure for selling private is from Autotrader at 25.5k, so still around a 5.5k shortfall.

I'm going to just enjoy the car for another year or so, at which point I hope to be closer to the break-even point where I can either sell it off, or part-exchange with minimal shortfall.

Double_V

I am thinking about the same.

foxy-stoat

If your thinking about re-visiting this in a year then you need to start saving a few hundred pounds a month now, as you wont be able to know how much it will depreciate in 12 months, the gap may get bigger.

Also the average person wont be spending £25,000 cash privately, so you should base your figures on trade ins only. Cash doesnt buy cars at this level, credit does, normally HP credit.

Good luck with it, you should take out some GAP insurance if you havent already, just incase you are involved in a total loss claim.

Cornucopia

foxy-stoat wrote: »

... the gap may get bigger.

The gap *should* be getting smaller, and if it isn't, the OP should be looking seriously at whether the MGFV will come in to play at the end of the term.

foxy-stoat

Cornucopia wrote: »

The gap *should* be getting smaller, and if it isn't, the OP should be looking seriously at whether the MGFV will come in to play at the end of the term.

I do not think paying £445 a month will beat the amount a new car depreciates in the first year - unless he put down a big deposit, I hope for the OP's sake I am wrong.

Herzlos

pvt wrote: »

I'm not sure this will help a great deal. The finance they would give on the cheaper replacement car would never exceed the value of that car - so the OP will still have to find that £7k-£10k shortfall from somewhere.

Indeed, but it should hopefully also see them get the best trade-in value and smallest shortfall. Presumably the OP intends to have a car afterwards.

Cornucopia

foxy-stoat wrote: »

I do not think paying £445 a month will beat the amount a new car depreciates in the first year - unless he put down a big deposit, I hope for the OP's sake I am wrong.

It's an interesting point, for these kinds of deals - what the graph of shortfall over time looks like.

The key point about it is that the deal is structured to get to zero shortfall after 48 months, so it's somewhat logical to assume that it doesn't arrive at that point abruptly overnight (though I suppose it could do), but rather that it gradually heads in that direction over a prolonged period of time.

PaulW922

After you have had the car for a year or so you may be able to agree something with the motor dealer as opposed to the finance company - maybe look at something smaller. It depends on the market conditions, value of the car etc