Honda have just launched a PCP deal on new Fireblades for £99/month and SP's £139/month Bloody steal if you ask me! You would lose far more than that in depreciation!
The headline sounds very tempting, but much depends on deposit, term and balloon payment. You'll be paying for depreciation somewhere in the deal.
Yes mate, 85% of all new cars are now sold this way. You don't have to buy at the end, can change for a new bike and start again. Even with HP you don't own the bike
You do once you make the final payment on Hire Purchase which is usually the same amount as you have been paying every other month. Then its yours and you can sell it for what its market value may be if you like or just keep it. PCP is just in effect a rental scheme with an option to buy it at the end for the value agreed up front at the beginning as long as its in "acceptable" condition and does not go over the mileage per year you agreed up front for it. Its leasing with an option for first refusal to buy. Hence Personal Contract Hire. For anyone interested in a read of the difference between HP, PCP and PCH, see link below http://www.arnoldclark.com/newsroom/006-pcp-pch-or-hp-car-finance-explained
PCP is good for some people but a bum deal for others its all dependant on your circumstances, it wouldnt suit me & on a personal front I like to own my bike without worrying about mileage or zinging through a hedge! I've just got the 'away with the fairies' bloke out of a PCP that was costing £460 a month to basically rent something shiny that was sat on the drive doing hardly any miles a week Madness! Probably my fault tho for letting him out on his own
Every new bike I've ever bought.... I was bored of after 3 years and got rid anyway! lol Can see the appeal, pcp you pretty much just pay the depreciation without the bigger outlay upfront or through the finance. Makes sense to me.... Obviously cash buying a year old low mileage toy is the best option... But not always practical
I only buy a car or bike I want and pay outright 99% of the times. I say 99% I did PCP for our GT86 as they gave us 1k off if we took this up. Which was then paid off 2 weeks later. One thing that did get me with the finance guy when doing the PCP was how he lied through his teeth that I MUST keep the PCP for 3 months. which was illegal to do and I told him and his manager afterwords, Plus a few other things he tried to get out of I agreed with the sales person. Many people would take the finance person at their word but after my experience I would only ever do my homework beforehand to make sure I was not getting done over
He would say that, otherwise they claw back his commission they pay him for selling the finance, but after 3 months he gets to keep it, that's a good one as some are 6 months and they will claw it back. You can of course do whatever you want to, but they don't like it
How do you find the car Remal? The wife loves the Scooby BRZ but didn't realise until your post the Toyota are actually slightly cheaper!
