PCP deal and the 14 days cooling off period

greencar1975

Hi,
I just wanted to be absolutely sure of the legal position with PCPs and the 14 day cooling off period, as provided for by Consumer Credit Act. If I choose to buy a used car on a PCP deal which includes free servicing and a deposit contribution, am I legally entitled to pay back the whole amount borrowed on the PCP deal within 14 days of signing the agreement but keep the deposit contribution and free services? I am able to pay in cash but wasn't sure if this was a good way to go? I assume it is the finance company and not the dealership (who are only after sales) who would be annoyed?
Thanks

Grumpy_chap

To be absolutely sure, you need to look at the contract.
What you propose, or similar, seems common.

macman

Of course the dealer is impacted: they may well make more commission on the finance deal than than their margin on the car.

Nearlyold

The law allows you to withdraw from the agreement but as AFAIK is silent on the subject of incentives.

greencar1975

Sorry, what is AFAIK?
Thank you for your replies. 

Nearlyold

As Far As I Know

Grumpy_chap

It seems logical that, if you withdraw from the agreement using the 14-day cooling off period you would lose any incentives also.  This is like buying a TV from Curry's which is supplied with a "free" DVD player, then returning the TV but keeping the DVD player.

What a lot of people seem to do is enter into the finance agreement, take the incentives and then settle early so that the interest costs are minimal and far less than the value of the incentives.