PCP contribution

jacobi1

Done some more shopping around. Found 3 insurers who provide new for old replacement or pay-out in the first year provided I'm the 'registered keeper'.

That avoids any ambiguity. Shall be avoiding Direct Line.

jacobi1

Just to complete the story, and for anyone else considering this, I picked up the car this week.

I paid my deposit which was supplemented by the manufacturer contribution, completed the finance forms and took out the credit for the balance.

Next day I rang the finance company and cancelled the lease contract. They added 1 day's interest to the credit amount which I paid off.

Car is now mine and I saved the amount of the manufacturer's contribution.

The finance company did not query the cancellation in any way, and did not suggest re-payment of the manufacturer contribution. and even if they had, the agreement was clear that all I had to pay if cancelling within 14 days was the daily interest.

They even offered to help me cancel GAP insurance if I had it (I didn't).

That plus a Carwow discount made this a pretty good deal.

AnotherJoe

That could have been nasty.
Did you really cancel or did you settle ? Or maybe you said cancel and they heard settle ?

Difference being, if you cancel then you aren’t entitled to those benefits such as the finance contribution, if you settle, you are. Cancelling implies it’s not happened and if it’s not happened you don’t get what the finance package offered,w whereas if you settle the finance, you are.

Maybe you dodged a bullet here, and I suppose it’s acedemic for you now, so I am mainly posting this for anyone else that may be reading who has the same Q.

neilmcl

AnotherJoe wrote: »

That could have been nasty.
Did you really cancel or did you settle ? Or maybe you said cancel and they heard settle ?

Difference being, if you cancel then you aren’t entitled to those benefits such as the finance contribution, if you settle, you are. Cancelling implies it’s not happened and if it’s not happened you don’t get what the finance package offered,w whereas if you settle the finance, you are.

Maybe you dodged a bullet here, and I suppose it’s acedemic for you now, so I am mainly posting this for anyone else that may be reading who has the same Q.

It would be exceptionally rare, read it hardly ever happens, that cancelling would have the affect of losing dealer contributions etc. In fact the only way this could happen if it was indeed written into the contract.

AnotherJoe

Not dealer contributions but the finance contribution which usually comes from the finance company.

neilmcl

AnotherJoe wrote: »

Not dealer contributions but the finance contribution which usually comes from the finance company.

Again, unless written into the contract, this is generally unheard of. Also, most, finance contributions, usually referred to as deposit contributions come from the dealer or manufacturer, not from the finance co.

Clive_Woody

jacobi1 wrote: »

Just to complete the story, and for anyone else considering this, I picked up the car this week.

I paid my deposit which was supplemented by the manufacturer contribution, completed the finance forms and took out the credit for the balance.

Next day I rang the finance company and cancelled the lease contract. They added 1 day's interest to the credit amount which I paid off.

Car is now mine and I saved the amount of the manufacturer's contribution.

The finance company did not query the cancellation in any way, and did not suggest re-payment of the manufacturer contribution. and even if they had, the agreement was clear that all I had to pay if cancelling within 14 days was the daily interest.

They even offered to help me cancel GAP insurance if I had it (I didn't).

That plus a Carwow discount made this a pretty good deal.

Thanks, I am looking at doing something very similar soon and had been looking at the Carwow deals.

So you were able to have the carwow discount and the manufacturer/dealer deposit contribution for the PCP then "settle" the finance within the 14 days and walk away with a nice new car with no further payments to make - is that correct?

:money:

jimmy_cricket

Clive_Woody wrote: »

Thanks, I am looking at doing something very similar soon and had been looking at the Carwow deals.

So you were able to have the carwow discount and the manufacturer/dealer deposit contribution for the PCP then "settle" the finance within the 14 days and walk away with a nice new car with no further payments to make - is that correct?

:money:

I did the same. Be careful though of the dealership you choose through carwow. The one I went to were beyond awful with their lies. In the end I didn't trust anything they said.

PaulSD

Probably a daft question, but.... if you settle the finance or cancel the PCP within 14 days does the excess mileage etc ever come into play.... or does mileage only come into play if you choose not to buy out the car at the end of a full PCP term??


Presumably the settlement/cancellation option can only be decided upon once the T&C's are in your hand. I'm looking at buying a Mazda and it looks like their "deposit contribution" is £1,500. Are all Mazda finance deals done through the same finance company in the UK?


Also.... has anybody used Drive the Deal and done this with the PCP?

AnotherJoe

Excess mileage is irrelevant. You are buying the car when you settle or when you pay the final sum. Mileage onky matters if you hand the car back to them.

And please do settle, don't cancel, whatever people say, since you are effectively settling by paying up, why take even a teeny tinychance they will claw back the finance contribution when they cannot if you settle.

I haven't used DTD but since something like 80% of new car purchases are on PCP I don't see this would make any difference, since a dealer than gave a price not on PCP would be handicapping themselves. Indeed it seems more likely their price might be dependent upon the sale being PCP.