M135i to C63 AMG (hopefully) - PCP FINANCE QUESTION
Discussion
Afternoon all.
I've had my manual 3 dr M135i for nearly 2 years since new, currently on 30,000 generally very happy miles. I really like it, disappointing steering and occasionally unsettled ride (non adapative dampers on mine) aside.
I drive 18,000 miles per year, much of that stop start commuting into West London on the A40. I average 28mpg. My car is on a 4 year pcp, with my settlement figure currently standing at £20,300.
I really (REALLY) want a C63. I would be looking at a pre-facelift example, with hopefully around 50,000 miles, for as close to £20k as possible. I am aware of the increased running costs etc blah blah. They matter not to me. I want that V8. My main concern is exiting my finance arrangement without taking a bath.
WBAC value my car at £17k. I imagine I could sell privately for £18-19k. I haven't asked Mercedes about part-ex yet.
My question is; who has experience of exiting a pcp early, when in a 'negative equity' like me. Is it possible to achieve a reasonable deal going forward? Should I leave this as a pipe dream for now until the deficit between what I owe and what my car is worth diminishes? What would you do?
Sorry if wrong forum.
I've had my manual 3 dr M135i for nearly 2 years since new, currently on 30,000 generally very happy miles. I really like it, disappointing steering and occasionally unsettled ride (non adapative dampers on mine) aside.
I drive 18,000 miles per year, much of that stop start commuting into West London on the A40. I average 28mpg. My car is on a 4 year pcp, with my settlement figure currently standing at £20,300.
I really (REALLY) want a C63. I would be looking at a pre-facelift example, with hopefully around 50,000 miles, for as close to £20k as possible. I am aware of the increased running costs etc blah blah. They matter not to me. I want that V8. My main concern is exiting my finance arrangement without taking a bath.
WBAC value my car at £17k. I imagine I could sell privately for £18-19k. I haven't asked Mercedes about part-ex yet.
My question is; who has experience of exiting a pcp early, when in a 'negative equity' like me. Is it possible to achieve a reasonable deal going forward? Should I leave this as a pipe dream for now until the deficit between what I owe and what my car is worth diminishes? What would you do?
Sorry if wrong forum.
Thanks for the replies so far.
Yes I think I'll have to wait another few months until I am 'halfway' through.
Since I made the post above I have spoken direct to Mercedes about an approved used C63. I'm waiting on their quote but wasn't aware you can't finance an approved Merc once past 10 yrs old, meaning the only option in this instance is to finance the full amount via HP over about 26 months. That'll be a meaty monthly payment which, whilst technically affordable, isn't really sensible right now.
Yes I think I'll have to wait another few months until I am 'halfway' through.
Since I made the post above I have spoken direct to Mercedes about an approved used C63. I'm waiting on their quote but wasn't aware you can't finance an approved Merc once past 10 yrs old, meaning the only option in this instance is to finance the full amount via HP over about 26 months. That'll be a meaty monthly payment which, whilst technically affordable, isn't really sensible right now.
_Neal_ said:
Or borrow the money by way of personal loan, then it's not secured on the car and when you want to change cars just sell the C63 and pay it off? You could take the loan over a longer period to keep monthly payments down maybe? Or am I missing something?
No you're not missing anything. I will also explore that avenue. Still waiting for MB to come back to me with a finance quote.I would like to get off the finance treadmill at some point. Have also been considering slightly cheaper metal to achieve that. SLK 55, X308 XJR (I worry it won't wear my mileage and type of use), C55 AMG, First Gen XKR.
Of the above options (and feel free to suggest hilarious alternatives up to £15k), only the SLK and to a lesser degree the C55 fulfil my noise requirements as standard.
Edited by DeltaTango on Tuesday 9th February 09:03
_Neal_ said:
Monaro would seem to fit the bill too.
E39 M5 would need a bit more love, but it'd be reliable and pretty-much depreciation-proof (you'd need an aftermarket exhaust).
Yes have considered a Monaro. Sadly my company would probably be against it. For my sins, I am an estate agent in Notting Hill. It needs to be sort of new looking and not too yobby apparently. Although I used to have a '94 C124 E320 Coupe which I was told to get rid of, so there isn't much consistency.E39 M5 would need a bit more love, but it'd be reliable and pretty-much depreciation-proof (you'd need an aftermarket exhaust).
Would love an E39 M5, but it is probably too old and in need of care. It is also slower than my current car, albeit far more satisfying and more desirable in every single measurable way than my M135i.
SuperVM said:
giblet said:
If you could stretch to 18k then I would recommend the Lexus ISF. I looked at the pre facelift C63 and a E90 M3 but settled on the ISF. Rarer sights on the road but can still economical on a run. Looks a lot more discreet but lacks the sound of the C63 which can be rectified with an after market exhaust. They wear the miles well too, plenty of them around in the states on 100k+ miles without any issues.
Plus running costs are so much cheaper with the ISF than they are with the E90 M3 and W204 C63. I'm probably going to have to wait until summer until my pcp 'halfway' point when I can hand the M-lite back, plus some excess mileage charges, being semi sensible.
Still nothing from Mercedes Benz finance. I won't start a rant about it as there are many similar threads, but you seem to have to fight to give them your business rather than the other way round.
Are we missing any interesting cars?
-V8
-Somthing that will give me 'the fizz'almost as much as a C63
-£20k max. Ideally under £15k so I can get it soon.
-Manual or Auto.
-Loud
-Handling prowess unimportant. I enjoy unwieldy pigs provided they're fast, plus my kart racing means I get cornering out my system regularly
P700DEE said:
The Jags will take the mileage well, an X308 XJR is massively cheaper , even an X350/8 is half the price of a C63 AMG. If you want the sound you may need a different exhaust but they pootle along no problem before leaping like a scalded cat when the loud pedal is pushed. For Coupe / Convertible the X100/X150 are good value. My XKR convertible will be 18 years old in June and last year it was my daily driver for three months. Mileage is not an issue, happy in traffic but is quite wallowy until poly bushed and does not feel as solid as my 520 F11 BMW
Thanks. Yes it is very tempting to get an X308 for around £5k or an XKR for around £8k, if only to enjoy for a few months. My father had an X308 in N/A 4 litre flavour for a long time and I have a real soft spot for them. I could then wait until C63 prices fall further still.
giblet said:
SuperVM said:
Plus running costs are so much cheaper with the ISF than they are with the E90 M3 and W204 C63.
Yup but ultimately if the numbers don't add up despite a healthy dose of man maths then I strongly suggest against it. I've been in a situation like that before and it just isn't sensible whatsoever. The C63 still has a way to go in terms of depreciation in my view so it might be sensible to wait it out for a while. When I was looking at them a month or two ago a clean pre facelift with less than 60k on the clock was around 24k. No point buying at the bottom end of the market and getting a ragged car with a load of previous owners and sketchy service history.DeltaTango said:
Yes I would also love one of those. Only thing that irks me is the fake exhausts. Spotted one at £18k in the classifieds just last week. Haven't done any research into them yet though so thank you for the nudge
The tips are actually diffusers and seemingly help aero at higher speeds. They can be removed and replaced with a proper quad exhaust from the likes of Hayward & Scott though. I've bought my last 2 cars purely based on PH forum opinion, this one will be no different!
Jim AK said:
Just over 50% of your proposed spend would put you into a very good XJR & looking at their values I don't think you will take too much of a hit.
If looking 'modern' is an issue then you may need to go to an X350 & values of those are similar at present although there does seem to be more borkage potential with things like suspension on these.
Doesn't the cliche of an Estate Agent in a Jaaaag worry 'Mr Looking Modern' in your office?
Haha! I'm allowed a jaaaaag. As I said above, it's very subjective, on the whim of the boss. I worry little about my reputation, I've already done enough damage via my chosen 'profession'.If looking 'modern' is an issue then you may need to go to an X350 & values of those are similar at present although there does seem to be more borkage potential with things like suspension on these.
Doesn't the cliche of an Estate Agent in a Jaaaag worry 'Mr Looking Modern' in your office?
I don't want an X350, agree about the lines. It's a big blob, albeit a fast one.
And yes I agree with your first paragraph. £7,500 gets a good 'un.
abarber said:
SuperVM said:
abarber said:
SuperVM said:
Plus running costs are so much cheaper with the ISF than they are with the E90 M3 and W204 C63.
Is there much in it? You can get disks / pads quite cheap for the standard M3s and C63s. Tyres are pretty cheap on the C63 as they are pretty narrow (255 on the back).Yearly servicing on the Merc will always add to the cost.
Cooper7 said:
If you are going to voluntarily terminate your PCP deal there will be no excess mileage charges, the only additional charge they may be able to tag you with is if there's any cosmetic damage they deem to be more than 'wear and tear'
I looked at terminating a PCP deal a couple of years ago and this is the only thing you have to be aware of in terms of possible charges
Useful insight, thanks. I looked at terminating a PCP deal a couple of years ago and this is the only thing you have to be aware of in terms of possible charges
gizlaroc said:
Easternlight said:
DeltaTango said:
Yes, all three of those don't seem to suffer from major borkage. Not overly concerned about running costs therefore and I'm aware of their thirst for consumables. I could buy these cars outright @ £20k or so but don't wish to empty my coffers as I'm saving for a property, so getting on the never never without feeling screwed over is the priority.
Your man maths is really on another level if you can make what you are trying to do add up to being good idea!
Having a £500 a month loan for a car is more stupid than having £20k less deposit.
I am looking at different mortgages currently and if I take off the £500 a month for the car they will lend me an additional £97,000.
I have £3,800 (ish) left until the 'halfway' point, so 10 months (based on 4.9% interest on a £31,500 purchase price - got a smashing discount of course). I might be doing that wrong and therefore delusional.
The sensible man would wait until that point, give back M135i, get mortgage, buy something interesting but older (X308 XJR, CLK 63 as one chap suggested above etc), outright and then start the hunt for the ideal C63 at my leisure.
It would appear as though a certain amount of sense has been talked into me, which I'm grateful for, but still can't be accountable for my actions.
Jim AK said:
anonymous said:
[redacted]
This is a bloody good call & I would have thought your prospective buyers in that area would absolutely love your 'Green credentials Dahhhling'Also just remembered we rent a parking space in Islington to an agent with an i3, we had to organise somewhere for him to plug it in!
(Still think the XJR is where it's at tho
)It's therefore not a work tool, it's my only car. I spend over 3 hrs per day in the car so I want to be happy.
Other people's view of my vehicle is not a consideration (threads discussing which V8 to buy notwithstanding).
I also can't claim back mileage, you either take the company car you are given, or you take the pitiful allowance.
1Addicted said:
As a C63 owner myself, let me tell you that although you'll never get bored of it, or feel uncomfortable or unhappy sitting in it for prolonged periods, running that engine in mind numbing London traffic for 3hrs per day is going to p155 you off from a fuel standpoint.
On a good run, it's pleasantly economical for its size but town driving, and the fact you find yourself being heavy footed (for noise purposes) for the short distance that you can move at one time in London absolutely drinks fuel faster than it can be refined.
The car is absolutely wonderful, and I can't see that I'll sell mine for a long while but, a city car it's not, and I feel blessed that I can use mine in the wonderful countryside that is on my doorstep where 90% of miles are enjoyable.
Something to think about, especially when you're planning to lock yourself into a finance deal. You'd be better off saving a few £k yourself, then financing the rest via personal loan but, if I read right and you are looking to buy a house, cars should come second and my advice would be to have that out of the way first.
All constructive. I don't drive around london in traffic, just in and out. I live in the countryside so do get the opportunity to enjoy a car properly. On a good run, it's pleasantly economical for its size but town driving, and the fact you find yourself being heavy footed (for noise purposes) for the short distance that you can move at one time in London absolutely drinks fuel faster than it can be refined.
The car is absolutely wonderful, and I can't see that I'll sell mine for a long while but, a city car it's not, and I feel blessed that I can use mine in the wonderful countryside that is on my doorstep where 90% of miles are enjoyable.
Something to think about, especially when you're planning to lock yourself into a finance deal. You'd be better off saving a few £k yourself, then financing the rest via personal loan but, if I read right and you are looking to buy a house, cars should come second and my advice would be to have that out of the way first.
Edited by 1Addicted on Wednesday 10th February 10:39
And yes, as per my previous post, my thinking is now leaning towards handing car back at this mythical halfway point, buying cheapish stop gap V8 something or other, then work towards a more long term solution.
anonymous said:
[redacted]
It's not something that would worry me. I ran my '94 E320 coupe for a few months and that only got 300 miles from a 70 litre tank, when fuel was 25% more expensive. It never really bothered me, had that warm fuzzy feeling which more than compensated.
Again, sadly, a second car is not an option or this would be a very different thread.
Edited by DeltaTango on Wednesday 10th February 13:22
skahigh said:
DeltaTango said:
I have £3,800 (ish) left until the 'halfway' point, so 10 months (based on 4.9% interest on a £31,500 purchase price - got a smashing discount of course). I might be doing that wrong and therefore delusional.
The purchase price of the car is totally irrelevant, what matters is how much you borrowed from the finance company.E.g. (Totally making up numbers)
- Purchase Price £31,500
- Deposit paid £5,000
- Amount Borrowed £26,500
- Total Interest Owed on the above £4,000
- Various Fees £500
- Total Amount Repayable to the finance company £31,000 (26,500 + 4,000 + 500)
- Amount to be repaid before voluntary termination - £15,500
So if you were repaying say £500pm it would take you 31 months from the start of the agreement before you would be eligible for voluntary termination.
This is my understanding of voluntary termination anyway.
podpod said:
there no point to this thread until you get the finance information..
this thread sums up why i am going down the lease route for my next daily car... and cash deal on (cheap) wkd toy
As above, I have approx £4k in finance to pay off before 'halfway' handback point. So 10-12 monthly payments. this thread sums up why i am going down the lease route for my next daily car... and cash deal on (cheap) wkd toy
ferrariF50lover said:
anonymous said:
[redacted]
I don't know what planet you live on, but here, on Earth, there are 4.54 litres in a gallon On a slightly more serious note, if my boss tried to dictate what I could and couldn't drive, I'd pretty swiftly be telling him to shove his job up his arse, especially if, with respect, I worked in a plentiful and easily accessible profession.
His objections don't even make sense. Anyone who knows cars will respect a man with a Monaro, those who don't won't know or care whether it's a fire-breathing V8 or a Micra (which, oddly, is the car driven by both the estate agents with whom I have dealt recently).
Most weeks I do 180 work miles, plus say 50-100 personal miles. The rest of my mileage is long distance, travelling to see my best mate up in Lincolnshire and driving to karting events around the country.
Money does of course matter, but I don't mind spending it on fuel for an interesting car. It's the same as eating at a nice restaurant as far as I'm concerned.
I was renting in London for 8 years until recently, temporarily rent free with family until I buy a place, which will conveniently be around the time I can hand my current car back.
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