Buying new car- still in factory ONLY ONE AVAILABLE

DrEskimo

Arsenal2019 wrote: »

That could be quite a good posibiliyy.
However, I’ve only looked at a few banks. Yeh banks I’ve looked at require me to pay back a higher sum each month - which is something I cannot afford

So I may have to unfortunately pay a little more, over time . But I will certainly have a good luck as like many of you have said, weigh up pros & cons of everything and do what’s best for me

You say 'a little more' but it's an extra £3k. That's over 20% of the entire cost of the car for just borrowing money.

The best advice I can give you is to wait to save up a higher 'deposit' and then borrow much less. Borrow only £7,500 and the monthly amount will be similar to the PCP, and the interest will be practically peanuts. This will also dramatically reduce your exposure to financial risk. Borrowing on a depreciating asset is never wise IMO, as the car may be worth less than the finance owed, making it difficult to get out of the financial commitment should you find you self in the position to no longer service the debt. By borrowing much smaller amounts relative to the value, you reduce this risk substantially.

Alternatively, buy a cheaper used version of the same car. Imagine you can get something pretty similar that's around 3yrs old for around the £8k mark? More importantly, this won't depreciate at the same levels as a new car, so will cost significantly less in depreciation and interest. These savings will more than offset any costs involved for repairs, servicing, extended warranties, etc.

Ultimately it's up to you, but my advice is to look at the total cost of ownership.

DrEskimo

Arsenal2019 wrote: »

Yes it is around that figure. But with the finance I would pay just below 18k

Just to go back a step, are you sure your £18k including finance figure is accurate?

It's just I've looked online and Ford are offering PCP finance with just 1.2% APR?? Even with PCP, it's hard to imagine a situation where it would cost you £4k to borrow £14k at just 1.2% APR?

What are the exact details of the finance? Deposit (including P/X), term, mileage, APR and GFV.

Arsenal2019

DrEskimo wrote: »

Just to go back a step, are you sure your £18k including finance figure is accurate?

It's just I've looked online and Ford are offering PCP finance with just 1.2% APR?? Even with PCP, it's hard to imagine a situation where it would cost you £4k to borrow £14k at just 1.2% APR?

What are the exact details of the finance? Deposit (including P/X), term, mileage, APR and GFV.

Private messaged :Dyou

niktheguru

Before you purchase, try looking at drivethedeal and getting a quote from them (they're a broker) they've got loads of ecosport models around the 14000 mark (dont know the exact model you want) and they put you in touch with a dealer. Apparently you will get a further 1500 on top with the "ford scrappage scheme" and the APR on PCP is 2.9%.

I've often found brokers like drive the deal, or car wow, to be much cheaper and less hassle in the haggling department than dealing with the dealers to get a deal. (often you get referred to the same dealer, but havent had to go through the BS haggling chat!)

Good luck and let us know how you do.

Arsenal2019

niktheguru wrote: »

Before you purchase, try looking at drivethedeal and getting a quote from them (they're a broker) they've got loads of ecosport models around the 14000 mark (dont know the exact model you want) and they put you in touch with a dealer. Apparently you will get a further 1500 on top with the "ford scrappage scheme" and the APR on PCP is 2.9%.

I've often found brokers like drive the deal, or car wow, to be much cheaper and less hassle in the haggling department than dealing with the dealers to get a deal. (often you get referred to the same dealer, but havent had to go through the BS haggling chat!)

Good luck and let us know how you do.

Thank you. I’ll be sure to do that.:)