PCP question ref additional things

bennjiboy

Hi
I agreed to buy a car on PCP, and took a couple of extras - i have not signed this yet as the car wont be here for a couple of months.
Question is - can i remove 2 things from the PC agreement before signing? These would be tyre insurance and paint protection.
If i did, i presume this would also lower the monthly repayments accordingly?
Thanks

Supersonos

I would be surprised if the tyre insurance and paint protection would be included in the PCP deal, but I'm sure you'll be able to remove them.

Easiest way to find out is to call the dealer and ask.

bennjiboy

thanks, when i asked they said they form part of the deal they offered so couldnt remove them? I dont want to kick up a fuss until the car is on site but wanted to understand where i stand with it

Supersonos

bennjiboy said:

thanks, when i asked they said they form part of the deal they offered so couldnt remove them? I dont want to kick up a fuss until the car is on site but wanted to understand where i stand with it

Someone will come along shortly who knows better than me, but that seems very unfair.  They're pushing pointless insurance products onto you, which I don't think they're allowed to do...

bennjiboy

thank you, i was under the impression i could take them out of the deal before the car arrives and before i sign the pcp agreement! 

DrEskimo

Did they agree to add them for free? 

If they increase the finance amount then of course you can take them off. Paint protection is boarder line scam, and the tyre insurance could work in your favour. Depends on the terms and cost.

bennjiboy

they said at the time they would include the paint protection but then i saw the order form and it has a value. I knew the tyre insurance would cost as i have that before but have found it cheaper.
They also said 2 free services, but that also has a value but its only £200 which i am happy to keep on
They do increase the finance amount, it shows as "dealer fitted accessories"

Supersonos

bennjiboy said:

They also said 2 free services, but that also has a value but its only £200 

Then they're not free...

I think you should walk away.  They sound dodgy.

bennjiboy

im not trusting them too much right now!!
having checked again, on the order it states "2 Services - New (When Funded with .....). the sales call definitely told me 2 services included and not explained to me like this. Again, i dont have an issue with this one really.
for paint protection, i checked my notes from the call (always do!)they said it formed part of the discount, so discount given was £4k of which £400 was the paint and interior protection. they said if i remove that, then the discount reduces by £400.
perhaps i was naive, or they are being naughty, or a combination of both?

Grumpy_chap

bennjiboy said:

they said at the time they would include the paint protection but then i saw the order form and it has a value. I knew the tyre insurance would cost as i have that before but have found it cheaper.
They also said 2 free services, but that also has a value but its only £200 which i am happy to keep on
They do increase the finance amount, it shows as "dealer fitted accessories"

Aaah - they may have had to include the paint protection and tyre insurance as having a value for accounting purposes - the dealer needs to correctly account for VAT and IPT on the whole purchase including each part.  

In negotiating with you, there is an agreed price for a package deal comprising the car, some services, some protection products.  You've probably agreed that whole lot as the contract - it will be on the order form that you signed.  Much the same thing happened when we purchased my wife's car - we got the price to the best it was going to be and then added "free" mats and "free" tank of fuel.  When the paperwork came out, the bottom line number was the one we expected, but the car, mats and fuel had been itemised out separately.  Ultimately, none of it made any difference to us, though I can see that the VAT treatment of the new packet of mats is different to the VAT treatment of the used car.  Something very similar may be the reasons in your case.

If you now try to take out the protection products, services, the garage will likely take them out but just adjust everything else so the bottom line is unchanged.

If its a brand new car and you were happy with the deal, it may well be best to just pay as agreed and ensure you keep the dealer's good-will incase of any future need to call upon the same,  You wouldn't want to be one day out of warranty when something goes wrong and they kick you back just because of a negative note left on the file from original purchase.

Buying a car is a two-step process:

• The price of the car and what's included is probably all agreed and signed for on an order form
• The PCP is just the finance agreement, yet to be signed, but whatever you do with the PCP will not change the agreed price in the signed new car order form.  So, you can take the £200 out of the PCP, but then pay separately if that really makes things better.  I doubt it will.

bennjiboy

Thanks Grumpy Chap! This now makes perfect sense i appreciate you writing it like this.

Tyre insurance and servicing - happy to live with and keep

Paint protection - having done some research on this, and lots of horror stories about how badly it can be done, and looking at a local vehicle detailer, i would be much better spending that £400 with the local detailer, but appreciate your point if they take it off, they adjust the rest so that the monthly pcp remains the same (it is a new car)

I guess the only option is to have that discussion with them again about the paint protection and see what they do!