End of pcp for car

Brianmccuish

Hello looking for some advice my pcp deal for my car  is ending in 4 months I got the letter with my final ballon payment £3690 which the same as most people can’t afford to pay in one just looking for some options my mileage limit was 40,000 I have only done 24,000  purchase price of car was £10,000 finance left to pay was £8,192 would I be better to get a 0% credit card and pay it of that way  or is there any other ways  thanks

neilmcl

So you definitely want to keep the car then?

You probably won't be able to use a 0% credit card, paying off credit with further credit is not usually allowed. The cheapest solution would be to get a cheap bank loan, you may be able to refinance the car but this is more expensive.

Sandtree

First of all get an up to date value for the car... its questionable to pay £3.7k if its only worth £2.5k

DrEskimo

You wont' be able to settle it with a 0% purchase credit card. You could look at 0% balance transfer, or alternatively a low rate loan.

Other options are to hand it back to the finance company, or given your reduced mileage it's definitely worth getting a trade in value on the car and seeing how that measures up to the settlement (going to be close to that balloon payment of £3,690 given you are only 4months from the end of term). It's likely it's value will be more than the settlement, so you can pocket that surplus and then look at other cars?

born_again

DrEskimo said:

You wont' be able to settle it with a 0% purchase credit card. You could look at 0% balance transfer, or alternatively a low rate loan.

Balance transfer card not work to pay off finance. You would need a money transfer card to transfer to a bank account & then pay off from there.

neilmcl

born_again said:

DrEskimo said:

You wont' be able to settle it with a 0% purchase credit card. You could look at 0% balance transfer, or alternatively a low rate loan.

Balance transfer card not work to pay off finance. You would need a money transfer card to transfer to a bank account & then pay off from there.

Also one thing to bear in mind for the OP is that even with a zero rate money transfer card there will generally be a one off fee, usually around 3% to 4%, so not totally free money. And of course it will need paying back within the time period, usually between 12 and 18 months.

https://www.money.co.uk/credit-cards/0-money-transfer-credit-cards.htm

DrEskimo

born_again said:

DrEskimo said:

You wont' be able to settle it with a 0% purchase credit card. You could look at 0% balance transfer, or alternatively a low rate loan.

Balance transfer card not work to pay off finance. You would need a money transfer card to transfer to a bank account & then pay off from there.

Oops, yes sorry that's what I meant!

Thanks!