MB

I think there's a guaranteed future value, UF. Although from what I read, this doesn't appear to be a legally binding figure! I think PCP is a bit of a trap on higher value stuff.

nomadicS2k

You normally have a fixed minimum value to get around this. Most PCP deals work out that if it is worth less - you walk away. Hopefully - you may have some equity. I did on the VW Tiguan, not on the Ford Kuga, that was worth less.

Doing some sums recently - you might as well lease and then pocket the money you save monthly against PCP for the deposit on the next car.

lovegroova

If it helps the OP, I am reasonably pleased with my 208 Gti which I have on a lease for less money than your monthly budget.
Fast enough for the south east, has all the toys (heated seats, cruise, sat nav etc) and rides properly. It's pretty good to drive, though the turbo lag is a bit annoying after so many years of Honda NA engines with their amazing throttle response.

I am averaging 40mpg.

The 2 year lease term means the French reliability is less of a worry. (It has the same engine as that in a Mini Cooper).

Here's an example of the kid of deal available (you can mess around with the initial payment, mileage etc) https://www.nationalvehiclesolutions...al-Lease/34863

AndyNFRS2k

Thanks for all the replies guys.

Yes it was a genuine question as it's all new-ish to me!

I've got them down to £178/month, but they can't get one in my spec!

arsie

At which price they are still making money ... should come down to £164.99/month for spec discrepancy

AndyNFRS2k

To be honest, I wouldn't want one without the correct spec. Else no point having a new car. Plus if I get bored or fed up with it, I can't sell it!

Nottm_S2

Thanks Gareth..

it was half genuine in that i like my owd knackers.. as in cars.. and dont commute anywhere really.

arsie

If there is any chance of bored/fed up I wouldn't go there. Gareth gave a good explanation of what PCP is, there doesn't seem to be any get out clause. You are committed to the term.

Another approach might be to do an ex demonstrator deal and take a punt on residuals.

Then you can unload when you get bored a la MB.

Shiskine

Yeah ... the heated rollers in the glove box is quite a rare UK option ...

har-vey

honestly i would never get a PCP on a new car, you'll always going to be trapped into the term as the car will loose more money in the first year than you have paid off. The idea is that you are just into equity by the end of your term. This graph kind of explains it.
http://www.thecarexpert.co.uk/wp-con...s-payments.jpg

What i did was look for a car around 18 months old as a huge amount of depreciation will already be lost and you will be able to get the car at a great price.

For me i picked up a M135i for 22k with 14,000 miles on the clock. The car has all the extras on it that i wanted and from memory when i priced it up it would have been a 37-38k car new.

So to me i see it as i got a saving of 15-16k the car is still in warranty so if anything goes wrong i'm safe and best of all the guy who owned it before me paid for a 4 year service plan so i have over 2 years of free motoring!

I put a decent sized deposit down and got out a loan to cover the rest. The monthly payments are less than a new car on PCP and i will have paid off 100% of it in the time you would have to pay the balloon payment on PCP.