Any idea where she got that deal from? Or any recommendations for dealers with decent PCH deals?
I've never fancied getting a financed car, seen too many young lads blow too much of their monthly salary on a car that's never going to be theirs. However, these PCH deals seem like decent business as long as you spend within your means and don't go too high on the spec.
I drive a little old banger that I own outright, but contemplating upgrading it before it dies, the locks on it are knackered so it'd be a mare even trying to sell it. Would probably be worth upgrading soon for the amount of mileage I do. Trying to save for a house though too while renting and working my back off in an underpaid job. Feels like a never ending slog towards owning my own house or having a better car.
I think this was actually a PCP deal (personal contract plan), where you get 3 choices at the end of 3, or 4 years.
1) Pay the amount
2) Hand it back.
3) Part ex it for another, or indeed anything new.
This gives cheap payments because what's known as 'Guaranteed future value' is deducted at the start, ie;
Cost = £10,000
GFV deducted =£5000
Finance is then paid on only £5000, although interest payments are calculated at the full £10,000. In the past, with rates at 10%, it made these deals unattractive, but rates (as far as I know, I've not checked), are now
very low, hence smaller payments.
Just check online for new dealers mate, and you can get payment rates without the mither of a showroom.
Having said all that, if you just want transport, I drive a 15 year old Focus,
paid a grand for it 3 years ago, have just paid £540 quid, for brakes, pipes, tyres, service, and new springs and it'll go for another 3years no bother.
