Anyone buying a Mustang on a PCP Deal ?

Anyone buying a Mustang on a PCP Deal ?

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J4CKO

Original Poster:

41,287 posts

199 months

Friday 10th July 2015
quotequote all
Just wondering what is typical and whether I can afford one ?

Say I have ten grand deposit to put in, then you pay for it monthly for say three or four years and there is a final balloon payment to own it ?

What would be the typical monthly payments and what would be the value of a 35k mustang at three or four years ?

Would £300 or so a month cover it ?

And then say a 12 grand final payment ?

Am new to this, normally buy cars cash but the new Mustang is too tempting.


ozzuk

1,174 posts

126 months

Friday 10th July 2015
quotequote all
If you check the other thread (who is has ordered the new mustang) there is an example of the finance agreement.

The APR I think was 6.8 which is a bit salty for me. I've literally just taken out a loan for 20k at 3.9% and will use that to fund the car. The cash sits in my account which earns 3% so I don't mind it sitting there until car ready but wanted to take advantage of current rates.

The interest is around 2.2k over 5 years whereas the Ford finance was 5k I think.

If you are only putting 10k down I suspect you're final payment will be much higher, maybe even 18k+

Fidd

285 posts

218 months

Friday 10th July 2015
quotequote all
Info from mattus (I think!) on the other thread ;

£35,385 car, V8 fastback, manual, 3 yrs, 6000 miles /yr - GMFV is £17,907 - £12k deposit - 36 payments of £268 (6,8%)


Its an option at least. The 6.8% is not going to be the greatest deal going for most obviously. Be aware of the 6k a year mileage as well, OK its not a car that most will consider buying for big mileage use but it might be easy to creep up to 10k - 12k a year and then you have further costs to consider.

d8mok

1,815 posts

204 months

Friday 10th July 2015
quotequote all
J4CKO said:
Just wondering what is typical and whether I can afford one ?

Say I have ten grand deposit to put in, then you pay for it monthly for say three or four years and there is a final balloon payment to own it ?

What would be the typical monthly payments and what would be the value of a 35k mustang at three or four years ?

Would £300 or so a month cover it ?

And then say a 12 grand final payment ?

Am new to this, normally buy cars cash but the new Mustang is too tempting.
If you want to send me a email I with what spec you want I'm happy to run figures for you tomorrow.

But as a quick calculation your GFV isn't going to be £12k , more like £17k on 6000 miles pa.

I can reduce the GFV down by making the payments higher but it's definitely going to be above 300 by quite a margin.


Patch1875

4,893 posts

131 months

Friday 10th July 2015
quotequote all
Noticed the max pcp term is 3 years. Don't Ford do a 4 year deal?

J4CKO

Original Poster:

41,287 posts

199 months

Saturday 11th July 2015
quotequote all
d8mok said:
J4CKO said:
Just wondering what is typical and whether I can afford one ?

Say I have ten grand deposit to put in, then you pay for it monthly for say three or four years and there is a final balloon payment to own it ?

What would be the typical monthly payments and what would be the value of a 35k mustang at three or four years ?

Would £300 or so a month cover it ?

And then say a 12 grand final payment ?

Am new to this, normally buy cars cash but the new Mustang is too tempting.
If you want to send me a email I with what spec you want I'm happy to run figures for you tomorrow.

But as a quick calculation your GFV isn't going to be £12k , more like £17k on 6000 miles pa.

I can reduce the GFV down by making the payments higher but it's definitely going to be above 300 by quite a margin.
Kind of thinking I will need a bigger deposit, but spec wise, a Ruby Red V8 with the Custom pack and Ebony interior.

Mileage wise, would be under 6k so that isnt a problem.

I am thinking its probably too much of a stretch currently, but it isnt completely out of the question, I can afford the payments up to £300, maybe a bit more but dont want to leave myself short for other stuff.

fellatthefirst

579 posts

154 months

Monday 13th July 2015
quotequote all
The quote i have is as follows:

5.0 litre GT Fastback (Auto) with rear parking sensors - 9000 miles per year - 5k deposit - £475 per month. This is a 3 year deal.

jord79

8 posts

104 months

Thursday 16th July 2015
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Just had a look at a finance quote for a GT I ordered in May this year to the tune of about 35k. Looking at the £350 pm mark with a deposit upwards of 9k and a big final payment of about 17k. This is at 6.8 or 6.7 APR. All other Ford models have an APR of about 4.2%

I've waited over 20 years for an official RHD UK spec Mustang and Ford are totally taking advantage. It's not fair, but they know people will pay it. I'm seriously reconsidering my position on principal.

ozzuk

1,174 posts

126 months

Friday 17th July 2015
quotequote all
jord79 said:
Just had a look at a finance quote for a GT I ordered in May this year to the tune of about 35k. Looking at the £350 pm mark with a deposit upwards of 9k and a big final payment of about 17k. This is at 6.8 or 6.7 APR. All other Ford models have an APR of about 4.2%

I've waited over 20 years for an official RHD UK spec Mustang and Ford are totally taking advantage. It's not fair, but they know people will pay it. I'm seriously reconsidering my position on principal.
I was surprised at the APR, but loans are very easy to get at the moment at pretty low rates. The added benefit, mileage doesn't matter, you can sell/mod the car as required, and interest over even a longer term is halved. No brainer to me, unless they did a 0% finance deal.

Principles...won't make the slightest bit of difference to Ford, but you don't get a Mustang...

jord79

8 posts

104 months

Friday 17th July 2015
quotequote all
ozzuk said:
I was surprised at the APR, but loans are very easy to get at the moment at pretty low rates. The added benefit, mileage doesn't matter, you can sell/mod the car as required, and interest over even a longer term is halved. No brainer to me, unless they did a 0% finance deal.

Principles...won't make the slightest bit of difference to Ford, but you don't get a Mustang...
Good point. At the end of the day, I still want a 'stand and I'll be shedding tears overtime I see one if I don't go ahead with the purchase. Maybe a personal loan is the way forward.

MuscleSaloon

1,541 posts

174 months

Friday 14th August 2015
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Just been having a play with the Ford Options Finance calculator !!!! .. base 5.0 GT no options .. maximum deposit allowed is £11898.25 .. 6000 miles per year .. 24 monthly payments of £201.16 .. final payment of £20,135

So .... as long as you can handle the deposit it looks like it can be done for near to £200 per month. Extending the term up to 36 months takes the monthly payments to £228.44 with a lower final payment of £17,907.

The APR is listed at 6.8% so not the best .. but overall these don't look like bad figures to me ?

Patch1875

4,893 posts

131 months

Sunday 16th August 2015
quotequote all
Surely if your putting in a healthy deposit a personal loan would be best for funding the rest.

A high deposit pop is s bit risky if you can't afford to pay the balloon.


foliedouce

3,067 posts

230 months

Thursday 20th August 2015
quotequote all
Sorry, I've never bought a car on PCP and don't fully understand it.

If you bought it on 6k miles a year but 12k, does it make any difference to the final payment? (assuming you're going to buy it rather than hand it back)

fellatthefirst

579 posts

154 months

Thursday 20th August 2015
quotequote all
Did you mean what if you get the contract for 6k miles per year but end up doing 12k miles? You simply pay for the extra 6k miles you did at the end of the contract. Not sure how much it is per mile for a Mustang but this would be laid out in the PCP contract when you sign.

My previous cars have been around 6p a mile i believe.

Nick_C

108 posts

182 months

Thursday 20th August 2015
quotequote all
foliedouce said:
Sorry, I've never bought a car on PCP and don't fully understand it.

If you bought it on 6k miles a year but 12k, does it make any difference to the final payment? (assuming you're going to buy it rather than hand it back)
If you are planning to buy the car and the end of the term it does not matter at all.

Nick

Marc p

1,023 posts

141 months

Friday 28th August 2015
quotequote all
Are Ford doing the finance option where you pay a large deposit with no monthly payments then 3 years later, pay the GFV, I know you can do this on other models but unsure on the Mustang.

Next year, once my Supra has gone, I should have around £20k - £25k available for the new toy and wouldn't mind doing the above.

MuscleSaloon

1,541 posts

174 months

Friday 28th August 2015
quotequote all
As per my post above Ford UK are showing PCP available for Mustang under Ford Options Finance.

Don't think you are likely to see a scheme with no monthly payments anytime soon.

You can use the calculator to vary the deposit / mileage / term / final payment.

There is a maximum allowable initial deposit which is shown in the example below ;

Base 5.0 GT no options .. maximum deposit allowed is £11898.25 .. 6000 miles per year allowance .. with 24 monthly payments of £201.16 .. and a final payment of £20,135


Edited by MuscleSaloon on Friday 28th August 21:40

croyde

22,705 posts

229 months

Thursday 10th September 2015
quotequote all
Only works for me if the cash I keep back makes up the 5k I pay Ford.

It would have to be a high risk ISA or similar.

rehab71

3,362 posts

189 months

Saturday 12th September 2015
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Marc p said:
Are Ford doing the finance option where you pay a large deposit with no monthly payments then 3 years later, pay the GFV, I know you can do this on other models but unsure on the Mustang.

Next year, once my Supra has gone, I should have around £20k - £25k available for the new toy and wouldn't mind doing the above.
It's called Options Cashplan and yes it is available on Mustang.

If anyone wants quotes, let me know OTR, deposit, term and miles per annum and I'll send it over

MuscleSaloon

1,541 posts

174 months

Sunday 13th September 2015
quotequote all
rehab71 said:
It's called Options Cashplan and yes it is available on Mustang.

If anyone wants quotes, let me know OTR, deposit, term and miles per annum and I'll send it over
It's OK saying it's available on Mustang, if anyone wants quotes etc. - but can you actually place a Mustang order today using Options Cashplan? When I spoke to my nearest Ford Store recently about placing a Mustang order it all seemed to be a rather strange affair! They didn't want to discuss financing options, part exchanges or anything like that. It was basically a case of you give us a £1000 deposit now and then it's up to you to worry about sorting everything else out later! I would have liked to have agreed financing and a provisional price for my current car as a part exchange but was flatly told no chance due to the prolonged length of time between ordering and delivery on a Mustang!


Edited by MuscleSaloon on Monday 14th September 12:45