Who is personal leasing for?

Sarduk

Sarduk

Sarduk

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Who is personal leasing for? People who like new cars / have a short attention span?

I am 21, and will be driving a Fiesta (1.2 LX Zetec 80k) for a (my first) year of driving before considering a new one.

Is leasing for me, or would it be stupid?

Sorry for the vague question; I do not see leasing discussed here much, or know many people who do it - I like the sound of it but I have probably missed something.
 
JimpsEd said:
Who is personal leasing for? People who like new cars / have a short attention span?

I am 21, and will be driving a Fiesta (1.2 LX Zetec 80k) for a (my first) year of driving before considering a new one.

Is leasing for me, or would it be stupid?

Sorry for the vague question; I do not see leasing discussed here much, or know many people who do it - I like the sound of it but I have probably missed something.
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Have a look at some of the car rental companies. Some do low cost long term rentals, could be another option.
 
Personal leasing is for pretty much nobody unless you value the utterly zero hassle approach over the extra cash you'd save doing it another way.

Leasing only makes sense really for business.
 
jamoor said:
PCP is essentially renting a car but at the end of it they go, hey! you can buy this for £xxx.
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Bad advice.

PCP is a great way of safe guarding your purchase from negative equity or loosing too much money.

Ie : Customer buys Audi A5 cash price £32,000

3 yrs down the line market has fallen to pieces and the car is worth £10k OUCH.

Customer buys Audi A5 cash price £32,000 plus low rate finance interest say £2k so £34k.

PCP Audi say your car will be worth circa £17k after 3 years, 3 years down the line it's worth £10k because market has bombed, great hand it back and get something else because this car has only cost you £15k to own for 3 years, where as it has cost the cash buyer £22k.

Obviously this example is reliant on the market falling to pieces, but the market probably won't you'd think.

Not quite the story at the min, and the way the government are shafting us with high value cars looks likely to continue.

Obviously finance companies will start to adjust GFVs on PCPs once they realise that they are going to get all these cars back and fund the negative equity themselves.
 
Is it not the case that a GFV of considerably more than the cars eventual residual value is actually a very rare case though?
 
[TW]Fox;12232639 said:
Is it not the case that a GFV of considerably more than the cars eventual residual value is actually a very rare case though?
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Not necessarily, the finance companies will offer GFVs marginally higher than predicted value.

But the way the market is that GFV is blown out the window, and new models the GFV is pretty much always calcuted higher than actual value.

We are getting a lot of customers on PCP who handing cars back because the market has shafted they're car value.
 
Maz said:
Bad advice.

PCP is a great way of safe guarding your purchase from negative equity or loosing too much money.

Ie : Customer buys Audi A5 cash price £32,000

3 yrs down the line market has fallen to pieces and the car is worth £10k OUCH.

Customer buys Audi A5 cash price £32,000 plus low rate finance interest say £2k so £34k.

PCP Audi say your car will be worth circa £17k after 3 years, 3 years down the line it's worth £10k because market has bombed, great hand it back and get something else because this car has only cost you £15k to own for 3 years, where as it has cost the cash buyer £22k.

Obviously this example is reliant on the market falling to pieces, but the market probably won't you'd think.

Not quite the story at the min, and the way the government are shafting us with high value cars looks likely to continue.

Obviously finance companies will start to adjust GFVs on PCPs once they realise that they are going to get all these cars back and fund the negative equity themselves.
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How is that bad advice, or have I mistaken how PCP works?
 
With PCP arent customers trying to barter their GFV down in hope that the car would be worth more in 3 years time. (I.e a customer who bought a new Audi TT on launch and expects the depreciation to be better than most cars)
 
Maz said:
Not necessarily, the finance companies will offer GFVs marginally higher than predicted value.

But the way the market is that GFV is blown out the window, and new models the GFV is pretty much always calcuted higher than actual value.

We are getting a lot of customers on PCP who handing cars back because the market has shafted they're car value.
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Can you give us some examples and is it extending to the bm/audi/merc end of the market?

Thanks
 
I dont know why your all anti leasing I get a spanking new car every 3 years and dont have to worry about servicing costs or tax as the lease company provide it all, who wants to own a car when all they do is lose money
 
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