Which SUV to get on PCP

Alanp

I’d stay away from anything diesel at that mileage, I would imagine that dpf issues will raise their ugly and expensive head at some point..

AndyMc.....

Range Rover Evoques are £355 a month and will give you plenty opportunity to look down on the non Q Audi drivers.

And in the dark it won't matter.

Mercdriver

AndyMc..... wrote: »

Range Rover Evoques are £355 a month and will give you plenty opportunity to look down on the non Q Audi drivers.

And in the dark it won't matter.

Subtle, I like it

DrEskimo

DanM1701 wrote: »

Yes, it's for practicality. Also, I am a real !!!!!! and I enjoy looking down on others wherever possible so the elevated driving position will inflate my sense of self worth as will the fancy badge. I am 100% serious on that, this isn't a passive aggressive jab at premium SUV drivers.

I still don't fully understand why people are so hostile to PCP. For the X3 I'm eyeing up, it has 20k mileage on NU17 reg and will cost £1995 deposit plus £400 a month for 3 years. That's a total investment on my part of £16,395 over 3 years. When done I just give the car back and get a newer one.

The alternative option is to pay £10k up front and then take out personal loan for the other £16.5k. This will mean monthly repayments of around £480 per month over 3 years (£17,300 total) and has the drawback of a large lump sum payment as well. At the end of the 3 years the loan is paid off and I've paid £27,300 total for it but I own it and can sell it.

Given what I've seen of their reliability around this age there will likely be some other fees to consider and from what I've seen of other 4/5 year old X3's they are worth around £14k, but I can't see a garage paying that for one. Let's assume then I get £13k for it....That's £27,300 total investment minus £13,000 recouped on resale, so total investment over 3 years is £14,300 or thereabouts. This is compared to PCP which is £16,400.

So I am roughly £2k better off over the 3 years by not doing PCP assuming I can get £13k for the car after 3 years, I think it would have around 50k mileage.

Is this the correct way of looking at it?

Indeed..why pay £2k more for a loan on the same car...? Are you feeling particularly charitable to BMW finance?

By buying rather than PCP, not only have you saved £2k, but at the end of the deal you have £13k after trade in (assuming you don't want to put in what is rather minimal work for up to £2k extra by selling privately...), so you have £13K to go towards the next car, rather than as highlighted, having £0 at the end of the PCP. You are in a better position in 3yrs, rather than a worse. This mean borrowing less for the next car. In contrast, newer cars will likely cost more + inflation, so monthly will be higher.

You are also dramatically reducing your risk. If your income were to suddenly change and you can no longer service the PCP, you will find a shortfall between what you owe and what it will trade/sell for. In contrast, the loan is paying of mostly capital and the £10k deposit will almost certainly mean your car will be worth more than the financed owed. Thus not needing access to rather precious additional capital during a time of hardship.

Finally, complete freedom. Should the car still be perfectly fine, you can continue to enjoy the car after the loan is paid and have zero car payments. No mileage concerns either.

But as already pointed out, first thing is picking the right car suitable to your uses and needs. A diesel at 8k miles for short journeys is not suitable IMHO. I'll be looking at something like the Lexus RX450h.

foxy-stoat

NX300h....

rhysadams

Where do I start with this, BMW X3 New Shape is a great car but alternatives to look at include:


- Volvo XC60
- VW Tiguan
- Skoda Karoq
- Mercedes GLC.


PCP is the best for a new car, not so good for used. But don't discount a Personal Contract Hire, there are some great deals at the moment and word on the street is that Mercedes have 17,000 cars that will need registering before the new worldwide type approval comes out.