Early change of pcp

iwb100

motorguy said:

Vik91 said:

hi
i am about 1 year into a 3 year pcp deal for my 21 vw golf
I am keen to change it for an electric car.
my settlement figure is about 20,000 and auto trader valuation is coming at 23,000
any thoughts if this is doable?

A comparable new electric car will come it at around £40,000.  There are no discounts and not too many incentivised finance offers.  Nearly new cars will be pretty much close to the list price of new ones and the PCP finance deals will be at a frankly awful APR.

Whilst you may save money on fuel, do you really want an extra £20,000 of debt right now, and the much increased monthly payments to cover it?

We've a 2019 M140i and my wife made noises about going electric.  The one that appealed to her was a new i4.  In a bit of decent spec its a £60K car.  That £35K difference would buy us an awful lot of fuel....

I agree with this entirely. I just put the new Golf and the ID3 into VW’s finance calculator with their current pcp offers.

Based on a £3000 deposit for a new golf life 1.5 tsi DSG mild hybrid comes out at £368 per month on a 4 year deal. You get an £800 contribution and APR is 5.6 - keep in mind you can get the 1.0 litre version for under £300 per month on the same deal. 

The ID3 using the same deposit comes out for the cheapest model at £498 per month for 4 years with no contribution and an APR of 6.1

The difference is staggering really.

Vik91

Yes pcp deals for new electric cars are very expensive I wonder if second hand car sales will fall due to cost of living

motorguy

Vik91 said:

Yes pcp deals for new electric cars are very expensive I wonder if second hand car sales will fall due to cost of living

On electric cars thats doubtful.  Seems to be a shortage of them on the used market and quite a few people are now looking at them as petrol and diesel prices are going through the roof.