PCP or cheap loan?

[noopets]

I’ve currently a lease car I’m waiting for which keeps getting pushed back. I’m now thinking of cancelling the order as I can get my admin fee back so nothing lost.

Part of me is thinking of buying a £15k car to tide me over for a year or so but unsure on best way to do this.

£5k down and borrow £10k
Or go down the pcp route?

I want something I can get out easy enough if needs be… what are peoples thoughts?

Cheers

[Tom4398cc]

I think the answer to this isn’t about cars, it is about being realistic about how busy your life is. If you’re flat out and an unplanned issue with a £15k car would be a big inconvenience, then PCP. If you’re open minded to a bit of car faff and unplanned issues (esp if you have another car or means of transport) then you’ll get a better car and have more fun buying something for £15k rather than PCP.

In not dissimilar shoes recently, I opted for a 2015 Golf GTi and am happy so far.

Good luck with whatever you decide is best for you.

[noopets]

Yeah we’ve got another car so it’s not too bad!

[ZX10R NIN]

I'd say get a personal loan, as it'll be at a lower APR.

[anonymous-user]

PCP rates are generally terrible on used cars, I’d get a loan,

[Macneil]

OP it isn't clear whether you are PCP'ing a new car or used.

If you're thinking of PCP'ing a 15k used car, that's crazy vs a 10k loan.

[Deep Thought]

noopets said:

I’ve currently a lease car I’m waiting for which keeps getting pushed back. I’m now thinking of cancelling the order as I can get my admin fee back so nothing lost.

Part of me is thinking of buying a £15k car to tide me over for a year or so but unsure on best way to do this.

£5k down and borrow £10k
Or go down the pcp route?

I want something I can get out easy enough if needs be… what are peoples thoughts?

Cheers

Cheap loan for definite.

[noopets]

Macneil said:

OP it isn't clear whether you are PCP'ing a new car or used.

If you're thinking of PCP'ing a 15k used car, that's crazy vs a 10k loan.

Sorry yeah used car - 3/4yr old

[Throttlebody]

Neither. Buy a car for cash with your £5K.

Move out of the PCP and finance circus.

[Brassblaster]

Throttlebody said:

Neither. Buy a car for cash with your £5K.

Move out of the PCP and finance circus.

I'd do the same.

Albeit probably I'd only spend £4k (knowing I'd push £4.5k for something I was desperate not to let go!) just to keep a little in reserve should any unexpected repairs be required... And they're not, so much the better in beginning to save towards the next.

[noopets]

Throttlebody said:

Neither. Buy a car for cash with your £5K.

Move out of the PCP and finance circus.

I’ve got the money to buy one, just like it in the bank. Need something reliable as I work shifts plus I like to drive something semi decent

[Jonno02]

4.8% APR with bank of Scotland PCP. The most competitive rate I’ve been offered and it’s all done through their app.

[survivalist]

Over a year or so? Interest free credit card? I’ve seen some offering 0% for as long as 29 months.

Car dealer might need a bit of persuasion though.

[Dan444]

Jonno02 said:

4.8% APR with bank of Scotland PCP. The most competitive rate I’ve been offered and it’s all done through their app.

This seems a very decent rate for a second hand car pcp? Not seen much lower than 7 or so %