PCP isn't MSE

dipsomaniac

dipsomaniac said:

ontheroad1970 said:

dipsomaniac said:

Firstly. I am guessing there is not a lot of multi millionaires on this site looking to save money

Secondly, I don't see my £200 focus as a 'banger'

I am just saying PCP is not money saving imho

Don't understand your last paragraph. Hope you are not saying I should leave this forum??  I am offering my opinion, nothing more.

Are you trying to hit a post target, or just trying to be difficult?  For you it might not be cost saving, but a 0% deal over 3 years can be a cost saving to some.  Unless you propose to take over the site from the owners, I don't think it's up to you to decide its remit

Deserves a repost 🙂 one for the road 😀

Paying for a new car and keeping for 3 years is never mse. 

fred246

Of course people can do what they want with their money. The whole point of this website is that it's for people to SAVE money. Having a new car on PCP every 3 years is without doubt the most expensive way possible to own a car. So on a money SPENDING website it should be highly promoted. On a money SAVING website it must be advised against.

NBLondon

BOWFER said:

As I see it, cars have just become glorified mobile phones.
You choose a 'tariff' you're happy with and upgrade every few years.

For many people - that's absolutely the way they think.  And as long as their circumstances don't change and they can make the payments - it works for them.  

It is (or has been) possible to take a finance deal and make money on it.  When I bought my Focus years ago; Ford were offering 0% finance for two years with a 50% deposit.  I had the money to pay cash but that deal meant I could leave over £8K in an ISA (earning me interest) and then pay off a week before the finance deadline.  It just required me to not be tempted to dip into that pot for anything else (or an emergency).

motorguy

BOWFER said:

As I see it, cars have just become glorified mobile phones.
You choose a 'tariff' you're happy with and upgrade every few years.
No repair costs to worry about and you're always in the latest tech.
No problem with that at all.
Only problem, IMO, tends to be 'stick in the muds' who have this desire to 'own' stuff.
I'm 54, but these folk make me feel young.

You're not wrong with your analogy.

People have got used to paying for things monthly.  They get paid monthly, they have monthly mobile phone bills, pay their mortage monthly, electric bill, pay their broadband monthly, etc.

Those things are effectively a "service" to them - telecoms, housing costs, utility, comms.

So why not their car also?  Its just providing a function for them like a house, mobile phone or electric bill is doing for them.

motorguy

dipsomaniac said:

dipsomaniac said:

ontheroad1970 said:

dipsomaniac said:

Firstly. I am guessing there is not a lot of multi millionaires on this site looking to save money

Secondly, I don't see my £200 focus as a 'banger'

I am just saying PCP is not money saving imho

Don't understand your last paragraph. Hope you are not saying I should leave this forum??  I am offering my opinion, nothing more.

Are you trying to hit a post target, or just trying to be difficult?  For you it might not be cost saving, but a 0% deal over 3 years can be a cost saving to some.  Unless you propose to take over the site from the owners, I don't think it's up to you to decide its remit

Deserves a repost 🙂 one for the road 😀

Paying for a new car and keeping for 3 years is never mse. 

You've started quoting yourself now i see?

Can you find on their buying guide where it explicitly says do not buy a new car, do not change it after 3 years, and do not use PCP?

Because you seem to be mis-quoting them - and you're repeating being told that?

https://www.moneysavingexpert.com/car-finance/personal-contract-purchase/#pcp

fred990

Herzlos said:

fred990 said:

Sea_Shell said:

I'd wager that where I live, they'd be hardly a single new Mercedes, BMW, Audi, or Jaguar on anyone's driveways without PCP.

As it is, we seem to be awash with them.

I was in a large BMW dealership about 18 months ago, two of the salesmen said they couldn't remember the last time someone actually wanted to buy their own car! 

Why would you want to sink £50k of your own money into a depreciating asset when you could do something else with it and earn a higher yield than the PCP finance?

A higher yield where you don't run the risk of getting less money back? I'm in......

Sea_Shell

motorguy said:

BOWFER said:

As I see it, cars have just become glorified mobile phones.
You choose a 'tariff' you're happy with and upgrade every few years.
No repair costs to worry about and you're always in the latest tech.
No problem with that at all.
Only problem, IMO, tends to be 'stick in the muds' who have this desire to 'own' stuff.
I'm 54, but these folk make me feel young.

You're not wrong with your analogy.

People have got used to paying for things monthly.  They get paid monthly, they have monthly mobile phone bills, pay their mortage monthly, electric bill, pay their broadband monthly, etc.

Those things are effectively a "service" to them - telecoms, housing costs, utility, comms.

So why not their car also?  Its just providing a function for them like a house, mobile phone or electric bill is doing for them.

A life, with only X easy monthly payments!!


Maybe the future IS to own nothing?

Even clothes can be hired too!

motorguy

fred246 said:

Of course people can do what they want with their money. The whole point of this website is that it's for people to SAVE money. Having a new car on PCP every 3 years is without doubt the most expensive way possible to own a car. So on a money SPENDING website it should be highly promoted. On a money SAVING website it must be advised against.

Really?

Do MSE advise against it?

https://www.moneysavingexpert.com/car-finance/personal-contract-purchase/#pcp

motorguy

Sea_Shell said:

motorguy said:

BOWFER said:

As I see it, cars have just become glorified mobile phones.
You choose a 'tariff' you're happy with and upgrade every few years.
No repair costs to worry about and you're always in the latest tech.
No problem with that at all.
Only problem, IMO, tends to be 'stick in the muds' who have this desire to 'own' stuff.
I'm 54, but these folk make me feel young.

You're not wrong with your analogy.

People have got used to paying for things monthly.  They get paid monthly, they have monthly mobile phone bills, pay their mortage monthly, electric bill, pay their broadband monthly, etc.

Those things are effectively a "service" to them - telecoms, housing costs, utility, comms.

So why not their car also?  Its just providing a function for them like a house, mobile phone or electric bill is doing for them.

A life, with only X easy monthly payments!!

Dont tell me, you have £0 monthly outgoings?

Sea_Shell

motorguy said:

Sea_Shell said:

motorguy said:

BOWFER said:

As I see it, cars have just become glorified mobile phones.
You choose a 'tariff' you're happy with and upgrade every few years.
No repair costs to worry about and you're always in the latest tech.
No problem with that at all.
Only problem, IMO, tends to be 'stick in the muds' who have this desire to 'own' stuff.
I'm 54, but these folk make me feel young.

You're not wrong with your analogy.

People have got used to paying for things monthly.  They get paid monthly, they have monthly mobile phone bills, pay their mortage monthly, electric bill, pay their broadband monthly, etc.

Those things are effectively a "service" to them - telecoms, housing costs, utility, comms.

So why not their car also?  Its just providing a function for them like a house, mobile phone or electric bill is doing for them.

A life, with only X easy monthly payments!!

Dont tell me, you have £0 monthly outgoings?

Of course not, I have bills, obviously.   But I do also have assets!

If you rent your life, fine, if your happy to end up with nothing to show for it.