PCP Valuations
Discussion
The situation is I’m suffering from arthritis in my left foot so have been considering an auto. I knew I would still be in negative equity but I was unsure of how much and I thought I might roll £1500 or so in to a new vehicle. For the car to only be worth the settlement figure now means in 2 years I think it will be worth about £4000 against a settlement figure of just under £7000. VT may be an option in a year but I do adsolutly love the car and I would be be reluctant to part with it. I just hope I can keep the arthritis under control mind you it helps massively to drive in soft shoes or trainers.
mh125 said:
For the car to only be worth the settlement figure now means in 2 years I think it will be worth about £4000 against a settlement figure of just under £7000.
I might be missing something here, but the car’s value should pretty well track the settlement figure.If you’ve been offered the chance to get out of the car at no cost now then that’s probably quite good, unless you paid a significant deposit.
stevemcs said:
How old is the mini ? Have you put the details into wbac ?
It is a 64 plate SD I’ve not tried wbac partly due to the excellent condition and the high spec of my car. I think used values of diesels have taken a hammering. I’m happy to keep it and manage the arthritis. I think the lesson on pcp is that you need to keep the deposit as low as possible and keep it the full term. Moving forward I’ll be in a good position with no part ex when the time comes. Sheepshanks said:
I might be missing something here, but the car’s value should pretty well track the settlement figure.
If you’ve been offered the chance to get out of the car at no cost now then that’s probably quite good, unless you paid a significant deposit.
I’ve not been offered the chance to get out of the car at no cost the car is now with £7000 part ex which is the settlement figure in 2 years!If you’ve been offered the chance to get out of the car at no cost now then that’s probably quite good, unless you paid a significant deposit.
mh125 said:
I’ve not been offered the chance to get out of the car at no cost the car is now with £7000 part ex which is the settlement figure in 2 years!
OK - you’re using confusing terms. Settlement is what it would take to close the deal early. At the end of the deal it’s ‘optional final payment’ (used to be called GFV).I see now it wasn’t new when you got it - PCP doesn’t really work on used cars.
Sheepshanks said:
OK - you’re using confusing terms. Settlement is what it would take to close the deal early. At the end of the deal it’s ‘optional final payment’ (used to be called GFV).
I see now it wasn’t new when you got it - PCP doesn’t really work on used cars.
Sorry about the confusion I’ve no problems with how pcp works however I’m really quite shocked at the money the cars lost. At the end of the agreement the car will be approx 7 years old with 80k on with a trade in of £4000. Considering the car is loaded with options and lovingly maintained at no expense spared that would seem very disappointing. I see now it wasn’t new when you got it - PCP doesn’t really work on used cars.
mh125 said:
Sorry about the confusion I’ve no problems with how pcp works however I’m really quite shocked at the money the cars lost. At the end of the agreement the car will be approx 7 years old with 80k on with a trade in of £4000. Considering the car is loaded with options and lovingly maintained at no expense spared that would seem very disappointing.
They've set the GFV far too high. In one way this is good for you as it makes your monthly payments slightly lower than if it had been set correctly.I suspect that, overall, the deal is horrible though. Like I said, PCP isn't really for used cars - it was designed to shift new cars and on those it often has subsidised deposits and interest rates.
I'd still run it through WBAC, it always asks about desirable options, true you won't get top money for it but it will give you a reflection of the market. I looked at changing my R55 CLubman Cooper S again with a high spec last year, the dealer offered £4750 for it, bear in mind mine is a 2010 model with 62k on the clock and that was against a used Clubman advertised at 17k.
Sheepshanks said:
They've set the GFV far too high. In one way this is good for you as it makes your monthly payments slightly lower than if it had been set correctly.
I suspect that, overall, the deal is horrible though. Like I said, PCP isn't really for used cars - it was designed to shift new cars and on those it often has subsidised deposits and interest rates.
From my point of view it was a great deal the car was under similar vehicles with less spec and the interest rate was very competitive for a used vehicle in fact it was a couple of percent less than I was offered elsewhere on similar vehicles. The point of my post is not complaining about pcp or the deal I got it is more the poor trade in values on offer and that the car will be worth about £3000 less than the gfv at the end of the deal. I suspect that, overall, the deal is horrible though. Like I said, PCP isn't really for used cars - it was designed to shift new cars and on those it often has subsidised deposits and interest rates.
PS webac £800 more than 2 bmw garages prepared to offer.
Interesting as I was curious as to the value of ours and possibly trading against a new JCW. Had a chat with the supplying dealer, when it came to price, all the salesperson said was look at WBAC and that is what we would offer. Now Mini must be the only car that has some many permutations when it comes to options, I could not see that option on the WBAC site.
I will try a different dealer and see if their attitude is any different!!!
As an aside is the Mini extended warranty worth it?
I will try a different dealer and see if their attitude is any different!!!
As an aside is the Mini extended warranty worth it?
Nick67 said:
Interesting as I was curious as to the value of ours and possibly trading against a new JCW. Had a chat with the supplying dealer, when it came to price, all the salesperson said was look at WBAC and that is what we would offer. Now Mini must be the only car that has some many permutations when it comes to options, I could not see that option on the WBAC site.
I will try a different dealer and see if their attitude is any different!!!
As an aside is the Mini extended warranty worth it?
I would recommend the extended warranty I have it in mine and my other halfs previous mini had about £5000 of work done over 3 years on the extended warranty. It is not cheap but we never had any issues it’s piece of mind although others would say bank the money for a rainy day. We have had 6 minis over the years and a couple have had serious issues. I will try a different dealer and see if their attitude is any different!!!
As an aside is the Mini extended warranty worth it?
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