We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
Tesla PCH terms
Comments
-
Don't forget with a lease deal you are tied to doing the mileage you took out originally. If your circumstances change either more miles or less miles you will be subject to extra mileage charges/or paying for miles that you haven't used.
At least with a PCP you have the option to buy the car outright and then sell on your own etc which may work out better value than paying charges. Or simply paying off the agreement to get out of the car.
1 -
The deal is £295 deposit, £295 a month. Two years.
0 -
So £295 x 25 = £7,375 to rent a car for two years.
For how many miles?
If it's 8k/year, that's 46p/mile plus insurance, etc etc.0 -
At 10k miles it’s £309 + £309 so 39ppm a little better. No repairs, servicing, tyres, MoT it’s a reasonable deal.
0 -
You're not tied at all.
If your monthly mileage goes up permanently, then contact the lease company and get the mileage / payment adjusted. Or either set aside the difference monthly (19ppm) so you have it, or pay it outright at the end.
Do the same deal on their 0% PCP offering and its coming it at over £660 a month. Thats a massive difference.
Worst case with the PCH is you set aside the extra every month or budget for the extra at the end.
0 -
Correct. And whats your point?
A new Tesla - in fact most of not all new £40K cars - would depreciate at least that over the same timeframe. And thats your depreciation, warranty, VRT rolled in to one monthly.
0 -
If your mileage decreases though I don't think they will decrease your monthly payments once you are in contract?
0 -
🤣
Im not not calm? You stated the obvious, i agreed with you and reminded you that all brand new cars depreciate. Something people who make sniffy comments like that seem to forget or ignore.
It may be a waste of money for you and your circumstances, but that doesnt mean it is for others.
And dont forget, new cars need to be sold, for used ones to be on the market down the line.
0 -
Correct.
Consider it as "up to" that amount of miles.
To be honest, its one of the strongest new car deals around at the moment, so i wouldnt get too hung up on the nuances of maybe doing a few miles less.
We've a Model 3 Premium Long Range on order. 20K PA lease, via Salary Sacrifice. I dont think we'll quite do those miles but overall the deal still very much works for us so not terribly concerned.
0 -
It depends on the term of the insurance policy. In general the finance company will be asked how much the settlement is, your insurer calculates the pre-accident value net of your excess.
After that things diverge, in some policies if you owe £30,000 and the preaccident value was £35,000 then the £30k is paid over and the £5k is lost, with others the £35k is paid to the finance company who may or may not pass on the £5k to you, in others they pay the £30k to the finance company and £5k to you.
Obviously if the numbers are the other way around then they pay the £30k to the finance company and you need to stump up the £5k short fall.
It can apply to Lease cars, again comes down to the terms, but the lease company is the one that has to agree to the replacement vehicle and fairly often they won't as they would rather the cash settlement which is worth more to them than a replacement vehicle.
0
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 355.7K Banking & Borrowing
- 254.9K Reduce Debt & Boost Income
- 456.1K Spending & Discounts
- 248.2K Work, Benefits & Business
- 605.8K Mortgages, Homes & Bills
- 179K Life & Family
- 263.6K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.2K Discuss & Feedback
- 37.7K Read-Only Boards