General opinion/advice - moving brand on pcp + negative eq
Discussion
Hi,
Looking for a general opinion on the current situation I have with the family car.
Currently have a car coming to the end of its pcp life. During its life we’ve gone way over the mileage so I fully expect to need to pay that difference at the end.
Had discussions with another dealer of another brand about a new car and their deal out of the box is good.
However if I px in my current motor, the offer they have given me is quite low (lower than other dealers even with higher mileage)
I now have three/four options:
1) do the deal as it sits- the new car will arrive in jan and at that time the dealer has said they will protect the negative equity value to that point (so if I’m short by £500, then that’ll still be the case in jan also) - now to me that’s not a good thing
2) I got ahead with the new car without the px as part of the deal. Come jan, I go back to the dealer and they revalue at that point and I pay any difference (bit of a gamble as to whether my existing car will have devalued less than what they currently think.
3) rather than moving brands , stick with the current brand and get a better value against the same car again
4) sell the existing car privately/WBAC type place
(If I did this now based on screen values (even if they talk me down) I still wouldn’t be as far behind as I would with the dealer offer
Option 3) is what we’ve done many times and is fine, however I do like the other car,but know from other sources, the deal on that car in terms of the finances means the dealer is all in with it and is therefore trying to do a bit of clawback with the value of my part ex (even though it’s for a significantly more expensive car!any thought anyone?
Looking for a general opinion on the current situation I have with the family car.
Currently have a car coming to the end of its pcp life. During its life we’ve gone way over the mileage so I fully expect to need to pay that difference at the end.
Had discussions with another dealer of another brand about a new car and their deal out of the box is good.
However if I px in my current motor, the offer they have given me is quite low (lower than other dealers even with higher mileage)
I now have three/four options:
1) do the deal as it sits- the new car will arrive in jan and at that time the dealer has said they will protect the negative equity value to that point (so if I’m short by £500, then that’ll still be the case in jan also) - now to me that’s not a good thing
2) I got ahead with the new car without the px as part of the deal. Come jan, I go back to the dealer and they revalue at that point and I pay any difference (bit of a gamble as to whether my existing car will have devalued less than what they currently think.
3) rather than moving brands , stick with the current brand and get a better value against the same car again
4) sell the existing car privately/WBAC type place
(If I did this now based on screen values (even if they talk me down) I still wouldn’t be as far behind as I would with the dealer offer
Option 3) is what we’ve done many times and is fine, however I do like the other car,but know from other sources, the deal on that car in terms of the finances means the dealer is all in with it and is therefore trying to do a bit of clawback with the value of my part ex (even though it’s for a significantly more expensive car!any thought anyone?
Thanks for the reply!
I think I wasn’t clear reading back what I’ve written for option 2, so I’ll give a hopefully better explanation below:
If we say at the moment with their valuation, I would have to put £500 to clear the old agreement based upon the current settlement versus their valuation.
(Current settlement -Their valuation = £500)
If however we wait till then end, they revalue and it’s dropped by let’s say £300 BUT my end settlement plus the extra mileage work out as a better deal:
(End ballon + mileage) - their valuation = £???
Is that any clearer?
I.e I know now exactly what my difference is BUT crucially I ‘could’ be overpaying to settle the old car by a few hundred..
Any thoughts?
I think I wasn’t clear reading back what I’ve written for option 2, so I’ll give a hopefully better explanation below:
If we say at the moment with their valuation, I would have to put £500 to clear the old agreement based upon the current settlement versus their valuation.
(Current settlement -Their valuation = £500)
If however we wait till then end, they revalue and it’s dropped by let’s say £300 BUT my end settlement plus the extra mileage work out as a better deal:
(End ballon + mileage) - their valuation = £???
Is that any clearer?
I.e I know now exactly what my difference is BUT crucially I ‘could’ be overpaying to settle the old car by a few hundred..
Any thoughts?
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