PCP and trade-in question

hiphopopotamus

I’m looking at buying a new car on a PCP deal.

I have an existing car that I own outright.

Will official dealerships normally take the car as trade-in but pay cash rather than put it towards the finance?

Might sound like an odd question but with 0% APR it makes more sense to keep the cash than put it towards the car finance.

Eg, I give the dealer my car and £250 for the next three years, they give me a new car for three years and £10k for my old one.

DrEskimo

Yes, you can set the upfront payment to whatever you want.

You can can sell it to any garage/dealer/online broker as a straight sale too. Get a few quotes from various places and simply sell it to whoever will give you the highest price.

Equally, make sure you are getting the best possible discount on the new car. It's not uncommon that 0% finance could come with lower discount/deposit contribution.

marlot

>> I’m looking at buying a new car on a PCP deal.  I have an existing car that I own outright.

I sold mine to Cazoo.  The money was in my bank account as the truck was pulling out of the drive.

Dealer had offered £17,500.  Cazoo paid £19,100 less £50 for them picking it up.

hiphopopotamus

Thanks for the advice 👍

BOWFER

DrEskimo said:

Yes, you can set the upfront payment to whatever you want.

This isn't strictly true, many (perhaps most) have an upper limit to the up front payment.
Makes sense when they want to make interest off the balance.