Just Add Fuel and no claims bonus

Crabcrabcrab

Hi there,

I'm 31 and since I'm starting university in September as a student nurse I would like to learn to drive this summer so I can get to and from placement easier than relying on public transport. I've looked into Peugeot's 'Just Add Fuel' scheme and it seems to make sense for me as I have zero no claims bonus so the insurance for my first few years of driving is going to be a killer. It could certainly be worse, but checking quotes is putting me at about £1200 a year if paid monthly.

What I can't seem to find an answer to is: while I am leasing a car on this just add fuel scheme, am I building up a no claims bonus? At the end of the three years, will I have accrued three years of no claims? (assuming I don't make any, of course!)

neilmcl

Yes you will build up your NCD with this but be aware just because it says "just add fuel" don't be mistaken thinking you're getting insurance for free. The cost will be factored in to your monthly finance payments so in reality the finance deal will be more expensive than the standard deal.

https://www.carwow.co.uk/new-car-deals/just-add-fuel-deals

Crabcrabcrab

Thank you, yes I understand the insurance is not free, I was just anticipating paying £100/mo insurance anyway so another £100 a month on top of that for a new car plus servicing and roadside recovery seemed like an okay deal. I'm still not sure I trust myself with a new car for my first, but I just wanted to know if the NCB was going to be something that made just add fuel no good at all for me. Still something to consider, then!

Ebe_Scrooge

Aside from the NCB question, think of it like this. You're driving a nice shiny brand new car, which is very nice I can't deny. But at the end of the deal, you won't own the car ( unless you stump up a hefty final payment ). And you'll be liable for the cost of making good any damage before you hand it back.


Now, not meaning to be nasty, but as a new driver the chances of picking up the odd minor scrape or ding are fairly high. To put right even a small scratch to a professional standard is going to cost.


As an alternative - how about you buy a small, used car a few years old ? It's yours to keep, and the odd minor scratch ain't going to bother you. Indeed, if it's basically a sound car but it's cosmetically less than perfect, this can play to your advantage. You should be able to pick one up pretty cheaply, and any knocks and scratches that come along can be patched up to a "that's near enough" standard with a tin of spray paint.


Yes, you won't get the benefit of "free" servicing etc., but in the grand scheme of things I would suggest it's going to save you a whole heap of money overall.


It's up to you, of course - but to my mind this would be a much cheaper option. Yes, you've always got the worry that "an old car won't be as reliable as a new one". But if you're lucky enough to have a tame mechanic anywhere local that could look it over for you in exchange for a few beer tokens, you're laughing. If not, a proper inspection by the AA or RAC should eliminate the possibility of any major faults. And if you're buying a "common" car then most repairs shouldn't break the bank.


Just some food for thought