Leasing / Finance / Etc
Discussion
I wonder if someone can give me a bit of guidance here.
This isn't something I've ever looked at before, but due to a change in circumstances we're currently evaluating the benefits of Mrs D4MJT having a new leased car.
Currently, she has a 10 year old Ford Streetka, it's done 90k now, it was previously a Cat C before we bought it, and basically owes us nothing, but it's also rapidly turning into a rattly bag of crap. The real clincher is that she's got a new job now which will result in an 85 mile a day commute 4 days a week, with additionals I expect her to cover 1500 miles a month. Currently, that would cost roughly £295 in the StreetKa for fuel. In a Citroen C1, I'm hugely cynical of the book 69mpg claims, but if she averaged 47mpg that drops £107 to £188ish. Looking about, it appears you can lease a mid-range affair for 20k miles a year for around £166 a month, so basically for £60 extra a month she'd be in a warrantied, new car with predictable costs, no MOT for the lease period, fixed cost servicing, no parts bar tyres and consumables, and also free initial VED followed by £20 a year in comparison to the £280 she's paying currently.
Add to the this the average cost of replacing bottom arms, shocks, etc on the SteetKa and it's looking attractive. I estimate over the past 12 months the StreetKa has probably had about £600 of parts (I do the work on it myself). Although these parts shouldn't need replacing, it's on 90k on what I believe to be the original clutch, the exhaust is scabby, it needs 2 rear shocks, 2 door handles and other bits and pieces, so it's still a work in progress.
If it was me, I'd simply get an old 106 diesel and be done with it, done it before, worked a treat, however as it's for Mrs D4MJT, she doesn't comprehend the prospect of an older car being reliable and less complicated, so it'll basically implode.
Basically, is a personal lease deal the best way to go? As I say, I've literally never looked into this, so if there's different types of financing that make more sense or whatever, tell me, I've literally no idea.
Also, I'm aware that a Citroen C1 isn't the car of choice for mega motorway miles, but it also appears to be economical, and the cheapest lease I can see on the road. We've got other priorities currently in terms of weddings, and savings etc, so we're wanting to spend the bare minimum. If I can get her into a new car, that is someone elses mechanical worry, for the same cost as the StreetKa's costing me currently, I'll be a happy chap, and so will Mrs D4MJT, which is of course the important part.
Is there any room for haggling at this bottom end of leasing, or is the price quoted basically what you can expect to get? Are private companies better than manufacturer deals?
Thanks all, hope the questions aren't too daft.
This isn't something I've ever looked at before, but due to a change in circumstances we're currently evaluating the benefits of Mrs D4MJT having a new leased car.
Currently, she has a 10 year old Ford Streetka, it's done 90k now, it was previously a Cat C before we bought it, and basically owes us nothing, but it's also rapidly turning into a rattly bag of crap. The real clincher is that she's got a new job now which will result in an 85 mile a day commute 4 days a week, with additionals I expect her to cover 1500 miles a month. Currently, that would cost roughly £295 in the StreetKa for fuel. In a Citroen C1, I'm hugely cynical of the book 69mpg claims, but if she averaged 47mpg that drops £107 to £188ish. Looking about, it appears you can lease a mid-range affair for 20k miles a year for around £166 a month, so basically for £60 extra a month she'd be in a warrantied, new car with predictable costs, no MOT for the lease period, fixed cost servicing, no parts bar tyres and consumables, and also free initial VED followed by £20 a year in comparison to the £280 she's paying currently.
Add to the this the average cost of replacing bottom arms, shocks, etc on the SteetKa and it's looking attractive. I estimate over the past 12 months the StreetKa has probably had about £600 of parts (I do the work on it myself). Although these parts shouldn't need replacing, it's on 90k on what I believe to be the original clutch, the exhaust is scabby, it needs 2 rear shocks, 2 door handles and other bits and pieces, so it's still a work in progress.
If it was me, I'd simply get an old 106 diesel and be done with it, done it before, worked a treat, however as it's for Mrs D4MJT, she doesn't comprehend the prospect of an older car being reliable and less complicated, so it'll basically implode.
Basically, is a personal lease deal the best way to go? As I say, I've literally never looked into this, so if there's different types of financing that make more sense or whatever, tell me, I've literally no idea.
Also, I'm aware that a Citroen C1 isn't the car of choice for mega motorway miles, but it also appears to be economical, and the cheapest lease I can see on the road. We've got other priorities currently in terms of weddings, and savings etc, so we're wanting to spend the bare minimum. If I can get her into a new car, that is someone elses mechanical worry, for the same cost as the StreetKa's costing me currently, I'll be a happy chap, and so will Mrs D4MJT, which is of course the important part.
Is there any room for haggling at this bottom end of leasing, or is the price quoted basically what you can expect to get? Are private companies better than manufacturer deals?
Thanks all, hope the questions aren't too daft.
Are you talking about the new model C1 that's just come out, or the one that's been about since 2006 ish?
I ran the old one for 60,000 miles (the last 18 months doing 800 miles a week in it) and it was able to do 65-70mpg on the motorway at a steady 60. I could happily do 60mpg in mixed conditions. At steady 85mph motorway runs and not caring too much about economy it never dipped below 45mpg. Economy got better as the engine put some miles on.
I ran the old one for 60,000 miles (the last 18 months doing 800 miles a week in it) and it was able to do 65-70mpg on the motorway at a steady 60. I could happily do 60mpg in mixed conditions. At steady 85mph motorway runs and not caring too much about economy it never dipped below 45mpg. Economy got better as the engine put some miles on.
Fox- said:
Covering 1500 miles a month isnt going to be cheap in a leased car. The cost of the lease hinges on the residual value of the car and putting big miles on a C1 is going to nuke its residual value.
We've been quoted a price of £166 a month from Citroen for the C1 Edition based on 25,000 miles usage a year. I don't know what the balloon payment on that is, I'll have to find out, it's early days as we only enquired about it yesterday.zzzzzzzzzzzzzzz said:
Are you talking about the new model C1 that's just come out, or the one that's been about since 2006 ish?
I ran the old one for 60,000 miles (the last 18 months doing 800 miles a week in it) and it was able to do 65-70mpg on the motorway at a steady 60. I could happily do 60mpg in mixed conditions. At steady 85mph motorway runs and not caring too much about economy it never dipped below 45mpg. Economy got better as the engine put some miles on.
It would be a brand spankers model.I ran the old one for 60,000 miles (the last 18 months doing 800 miles a week in it) and it was able to do 65-70mpg on the motorway at a steady 60. I could happily do 60mpg in mixed conditions. At steady 85mph motorway runs and not caring too much about economy it never dipped below 45mpg. Economy got better as the engine put some miles on.
You can get some online quotes from some of the leasing companies I think - the mega mileage means you won't get the 'headline' deals once you start crunching the numbers.
If you go via personal contract purchase (PCP) on a new car instead (via a dealer) this is bascially buying a car, but with an option to give it back at the end of the agreement. You'll need to put down a deposit of some kind, but it might work out cheaper. If you intend to keep the car for years and years like your previous model, mileage is irrelevent. You pay the deposit, pay the monthly payments and as long as you pay the baloon at the end, you can tell tehm you are doing 5,000 miles a year to keep the monthly payments low. This is only an issue if you want to give the car back at the end - you'll be charged heavily for excess miles.
But talk to the dealers get some real numbers - they can explain it much better than on here and when you see the digits you'll have a better idea of what you are working with. Then look at Lex leasehire and Ling cars etc to get an idea to compare against.
If you go via personal contract purchase (PCP) on a new car instead (via a dealer) this is bascially buying a car, but with an option to give it back at the end of the agreement. You'll need to put down a deposit of some kind, but it might work out cheaper. If you intend to keep the car for years and years like your previous model, mileage is irrelevent. You pay the deposit, pay the monthly payments and as long as you pay the baloon at the end, you can tell tehm you are doing 5,000 miles a year to keep the monthly payments low. This is only an issue if you want to give the car back at the end - you'll be charged heavily for excess miles.
But talk to the dealers get some real numbers - they can explain it much better than on here and when you see the digits you'll have a better idea of what you are working with. Then look at Lex leasehire and Ling cars etc to get an idea to compare against.
MauiJim said:
I have a 2012 C1 in the top spec trim on lease, goes back to the lease co in a couple of months.
It's a great little car for what it is, but I'd certainly not want to do 18k miles a year in it!
Consumption wise, I do a broadly mixed bit of driving but mostly dual carriageway with a bit of town driving at one end and end up somewhere between 50-55mpg compared with the 30mpg I get from my SLK with a 3.0 V6 on the same journey.
You should try doing 18k in a StreetKa ;-)It's a great little car for what it is, but I'd certainly not want to do 18k miles a year in it!
Consumption wise, I do a broadly mixed bit of driving but mostly dual carriageway with a bit of town driving at one end and end up somewhere between 50-55mpg compared with the 30mpg I get from my SLK with a 3.0 V6 on the same journey.
The fuel information is useful, thanks dude!
As an update to this, I ended up ordering one on Saturday, I think we take delivery in the next 10 days ish.
There's some serious deals to be had currently as the current model C1 is being replaced in July, we've ended up contract hiring a C1 Platinum Edition over 2 years. Agreed on a price of £147 a month for 20,000 miles a year, I didn't take up their service plan or the gap insurance as it was really noncompetitive. I've arranged GAP insurance separately for £63 for the 2 years, and will get a local indy to service it, it'll need 3 services in the time we have it.
It'll be under warranty which should keep any issues at bay, and over the 2 years we'll run it, it's £160 cheaper to fuel and lease the C1 (based on 58mpg avg) than it is to just fuel and tax the StreetKa it's replacing, never mind whatever goes wrong with it.
So, first lease car, let's see if it works out well!
There's some serious deals to be had currently as the current model C1 is being replaced in July, we've ended up contract hiring a C1 Platinum Edition over 2 years. Agreed on a price of £147 a month for 20,000 miles a year, I didn't take up their service plan or the gap insurance as it was really noncompetitive. I've arranged GAP insurance separately for £63 for the 2 years, and will get a local indy to service it, it'll need 3 services in the time we have it.
It'll be under warranty which should keep any issues at bay, and over the 2 years we'll run it, it's £160 cheaper to fuel and lease the C1 (based on 58mpg avg) than it is to just fuel and tax the StreetKa it's replacing, never mind whatever goes wrong with it.
So, first lease car, let's see if it works out well!
I'm looking at leasing at the moment, the excess mileage is only 6p per mile + vat, although I know this can differ significantly deal to deal.If its as low as this its probably cheaper to just get the cheapest lease you can and put the money aside for the end of term excess mileage charge, you'll obviously have to check the T&C's to make sure there is no limit on excess miles.
Little Lofty said:
I'm looking at leasing at the moment, the excess mileage is only 6p per mile + vat, although I know this can differ significantly deal to deal.If its as low as this its probably cheaper to just get the cheapest lease you can and put the money aside for the end of term excess mileage charge, you'll obviously have to check the T&C's to make sure there is no limit on excess miles.
That's an interesting point, and well worth noting. I'll look into this, cheers dude.
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