PCP isn't MSE

motorguy

dipsomaniac said:

Don't bother sending your CV motorguy you've got the job as head of PCP UK🙂

11 pages in, have we established whether you save money paying for a car on PCP? Or are there cheaper options? Or do the 'I want it now crowd' not care how much they pay?

Its called "being objective".

Not everyone lives their lives by your rules or your constraints.

Just because other people do things differently to you doesnt mean their "wrong".

motorguy

Herzlos said:

dipsomaniac said:

Don't bother sending your CV motorguy you've got the job as head of PCP UK🙂

11 pages in, have we established whether you save money paying for a car on PCP? Or are there cheaper options? Or do the 'I want it now crowd' not care how much they pay?

I thought it was already covered; PCP on a new car will often get you a dealer contribution (discount) and potentially get you a decent rate with lowish payments (because half of it is deferred). So you could potentially buy a new car for less than a pre-registered or 6-month old car. Then if the PCP is attractive enough you can make more from having the cash sat in an investment account. Job done.

I know you're going to twist that to the point that a £200 used car is cheaper than a new car. That's true, but someone needs to buy the new cars, no?

Totally agree.

JamoLew

Can i throw leasing into the mix

Is that not MSE either ?

Just found out I can get a Polestar for £400 a month which includes everything - insurance,servicing etc

Its through one of those salary sacrifice schemes

4 year deal - sounds great - is it that £19,200 wasted or £400 a month that I CAN afford (btw, I don't have a spare 40k+ sitting around to buy outright)

motorguy

JamoLew said:

Can i throw leasing into the mix

Is that not MSE either ?

Just found out I can get a Polestar for £400 a month which includes everything - insurance,servicing etc

Its through one of those salary sacrifice schemes

4 year deal - sounds great - is it that £19,200 wasted or £400 a month that I CAN afford (btw, I don't have a spare 40k+ sitting around to buy outright)

The problem is, a small minority dont understand the ethos of the MSE site and think its about going for the cheapest viable option all of the time.  

But only for cars seemingly, because as soon as you mention buying a new TV instead of a cheap plasma one off of facebook second hand, the latest games console, new clothes instead of charity shop ones then you get the "ah but"s coming out.

Those things are all fine apparently (even though most of them will drop to close to worthless as soon as you buy them) but you can only do that if you drive a £200 car / avail of bangernomics.

Personally - i dont give a monkeys what my neighbours or other people drive, but some seem obsessed with judging others based on unsubstantiated broad brush assumptions about them.

fred246

 I don't have a spare 40k+ sitting around to buy outright

If you didn't waste money on daft PCP plans you would have enough money to buy a car.

Bigphil1474

fred246 said:

 I don't have a spare 40k+ sitting around to buy outright

If you didn't waste money on daft PCP plans you would have enough money to buy a car.

Not really. If you need a car now, waiting a few years until you've saved up for a car isn't any good is it? I wouldn't touch PCP with a bargepole, but enough people have already said that it will suit others for many reasons. Similar to renting a house vs buying a house. Usually, buying is more MSE as the costs can be lower, and you have a valued asset when you finish paying your monthly payments. But not everyone has the money for a deposit, or is in a situation where they can commit to having a mortgage for 25 years or more, or wants the hassle of having to pay for the roof fixing, getting the boiler changed etc. 
Maybe the problem with PCP is that it is only for new cars - if there was a similar product for older cars which gave you worry free motoring and cost less, it would be more MSE and more people might do it. I've not really seen anything like that.  

Herzlos

fred246 said:

 I don't have a spare 40k+ sitting around to buy outright

If you didn't waste money on daft PCP plans you would have enough money to buy a car.

He's not talking about buying *any* car, he's talking about buying *that* car. MSE is buying the car you want, cheaper.

motorguy

Bigphil1474 said:

fred246 said:

 I don't have a spare 40k+ sitting around to buy outright

If you didn't waste money on daft PCP plans you would have enough money to buy a car.

Not really. If you need a car now, waiting a few years until you've saved up for a car isn't any good is it? I wouldn't touch PCP with a bargepole, but enough people have already said that it will suit others for many reasons. Similar to renting a house vs buying a house. Usually, buying is more MSE as the costs can be lower, and you have a valued asset when you finish paying your monthly payments. But not everyone has the money for a deposit, or is in a situation where they can commit to having a mortgage for 25 years or more, or wants the hassle of having to pay for the roof fixing, getting the boiler changed etc. 
Maybe the problem with PCP is that it is only for new cars - if there was a similar product for older cars which gave you worry free motoring and cost less, it would be more MSE and more people might do it. I've not really seen anything like that.  

and to elaborate - just like with houses - it may not suit people to commit to a long term ownership prospect when their needs might change, therefore it might be easier to "rent" for a period.  

Not everyone wants / needs to own a car until the end of its life.  Thinking of a family scenario they probably evolve through small hatchback, medium hatchback, medium sized people carrier, lifestyle choice vehicle then maybe back to a smaller car when the kids leave home.

Their needs change, so why make a large financial commitment as a one off puchase when you can make small, shorter monthly commitments.

NBLondon

Bigphil1474 said:

Maybe the problem with PCP is that it is only for new cars - if there was a similar product for older cars which gave you worry free motoring and cost less, it would be more MSE and more people might do it. I've not really seen anything like that.  

Cinch appear to be advertising something like that now - used (nearly-new) car and servicing all in one package.  I can see it appealing to many who like the one-monthly-payment option but can't make the payments on a brand-new whatever.  If there's enough take-up it could effectively be a second go round the loop for some desirable cars.

neilmcl

NBLondon said:

Bigphil1474 said:

Maybe the problem with PCP is that it is only for new cars - if there was a similar product for older cars which gave you worry free motoring and cost less, it would be more MSE and more people might do it. I've not really seen anything like that.  

Cinch appear to be advertising something like that now - used (nearly-new) car and servicing all in one package.  I can see it appealing to many who like the one-monthly-payment option but can't make the payments on a brand-new whatever.  If there's enough take-up it could effectively be a second go round the loop for some desirable cars.

They're just offering the same buying options as any other dealer with finance on used cars that has much higher interest than you'd get with  new one. The only extra thing they offer is their cinchCare product that gives a "lifetime" warranty, servicing and breakdown cover, but at a cost of £34.99 per month.