bmw finance - any tips?
Discussion
just wondering what is possible with bmw finance? Car is £26,500, for a 440i.
I went to look at it today and fell in love immediately.
I've been given a firm bank loan quote after applying, 7.9% APR to borrow £25,000, and put in £1500 deposit. (Or £1000 if i can haggle £500 off...)
Total cost = £29086.08 to borrow £25k.
Effectively then the car will cost £30k.
Can BMW better that you think?
i do have a car i could trade in - worth about 4.4k, Honda offered 4k for it when i was considering getting a new Type R.
I went to look at it today and fell in love immediately.
I've been given a firm bank loan quote after applying, 7.9% APR to borrow £25,000, and put in £1500 deposit. (Or £1000 if i can haggle £500 off...)
Total cost = £29086.08 to borrow £25k.
Effectively then the car will cost £30k.
Can BMW better that you think?
i do have a car i could trade in - worth about 4.4k, Honda offered 4k for it when i was considering getting a new Type R.
russy01 said:
I got an email earlier in the week offering 0% PCP finance on new 4series. I’d look at this, probs cheaper to buy new...
Agreed. Look at the brokers like coast2coastcars.co.uk for discounts, and then do some serious maths.
Also, check Hitachi Capital out, up to £24999 they offered me 2.8% apr the other day.
Pay the extra grand.
I think you’ll find the PCP finance deals don’t come with a big discount, 440i with the M sport plus pack that’s essential would come to 50 grand, I did what you did OP. It’s a lot better that way, I can do as many miles as I like and I own the car in 3 years. Plus you’re not tied to it, if you couldn’t afford the payments on a PCP on a brand new 50 grand 4 series and had to sell it, you’d lose at least 15 grand.
I bought my year old 430d for 29 grand with 10k on the clock, list price was 45!
I bought my year old 430d for 29 grand with 10k on the clock, list price was 45!
Chestrockwell said:
I think you’ll find the PCP finance deals don’t come with a big discount, 440i with the M sport plus pack that’s essential would come to 50 grand, I did what you did OP. It’s a lot better that way, I can do as many miles as I like and I own the car in 3 years. Plus you’re not tied to it, if you couldn’t afford the payments on a PCP on a brand new 50 grand 4 series and had to sell it, you’d lose at least 15 grand.
I bought my year old 430d for 29 grand with 10k on the clock, list price was 45!
I just bought an X5 with well over 10% discount, dealer contribution and 0% PCP. I bought my year old 430d for 29 grand with 10k on the clock, list price was 45!
Personally I say, if you physically have the cash then it can make sense to buy used. BUT if you are borrowing cash from a bank at 6-8% it’s going to struggle to stack up to a 0% deal.
Get on to a dealer and ask yourself, get some numbers and see how it stacks up. It was Wollaston BMW that offered me the 0% on the 4er, but I’d be confident that it’s nationwide.
P.s, build a car on carwow to get an idea of the discount level too.
well, interesting point guys.
I've ran the sums and my computer says no - i built a new 440i online with the exact same spec as this used approved car. But its Surprising how closer the New car option is to Used, i'm very surprised myself.
I understand this is with 1.9% APR on the website, so i'll bear this in mind:
and here are my calcs.... the used 440i currently advertised at 26500 vs brand new
now obviously i've made assumptions here about the cars value after 4 years, but i've tried to be prudent.
Its closer than i thought it would be.........very close.
I'll take my laptop to the dealer tomorrow - they are doing some Fun sales day big BMW weekender at the dealer (or some rubbish) so if they do 0% APR, and offer a larger contribution.................well........could be interesting.
HOWEVER - as someone above has said.......the thought of being tied down to car finance really makes my head swell a bit....
i like the flexibility of the personal unsecured loan, being able to sell the car any time i want, change it if i get bored, etc..etc.....
so......these are intangible things its hard to put a price on really.
I've ran the sums and my computer says no - i built a new 440i online with the exact same spec as this used approved car. But its Surprising how closer the New car option is to Used, i'm very surprised myself.
I understand this is with 1.9% APR on the website, so i'll bear this in mind:
and here are my calcs.... the used 440i currently advertised at 26500 vs brand new
now obviously i've made assumptions here about the cars value after 4 years, but i've tried to be prudent.
Its closer than i thought it would be.........very close.
I'll take my laptop to the dealer tomorrow - they are doing some Fun sales day big BMW weekender at the dealer (or some rubbish) so if they do 0% APR, and offer a larger contribution.................well........could be interesting.
HOWEVER - as someone above has said.......the thought of being tied down to car finance really makes my head swell a bit....
i like the flexibility of the personal unsecured loan, being able to sell the car any time i want, change it if i get bored, etc..etc.....
so......these are intangible things its hard to put a price on really.
Edited by wioifoiee on Saturday 12th May 00:36
Edited by wioifoiee on Saturday 12th May 00:37
Don’t forget to factor in a 4 series replacement is due in a year or 2 so half way through your PCP deal you may not have positive equity on the car.
A PCP deal is what I would have gone for if I weren’t bored with a car after a year or if I didn’t do many miles however I just didn’t like the idea of being tied down, I’m only 24 so have to think of my future, might have to sell the car if I’m buying a house etc, that said I’ve had the car a year and a half now and I’m still not used to how nice it looks, especially clean with the carbon black paint. What colour and spec is the used one and your specced one :-)
A PCP deal is what I would have gone for if I weren’t bored with a car after a year or if I didn’t do many miles however I just didn’t like the idea of being tied down, I’m only 24 so have to think of my future, might have to sell the car if I’m buying a house etc, that said I’ve had the car a year and a half now and I’m still not used to how nice it looks, especially clean with the carbon black paint. What colour and spec is the used one and your specced one :-)
Quickly get on carwow and make up your spec...it will honestly take you no more than 5mins.
I found this absolutely vital in terms of negotiating my deal as the range of max discounts from dealers was staggering.
I first spoke to my local dealer who was offered 5% discount and said it was the max considering the 0% and £750 BMW contribution. I created a spec on Carwow and within a couple hours had dealers offering me 10-12% plus the contribution and 0%..
So with this in mind I contacted the 3 closest dealers that were in different groups, told them my basic spec requirements and asked what they had in stock (can always get a great deal on a stock car). All 3 dealers returned with about 5cars in their group stock and I simply went through the specs and chose the car most suitable.
I then asked them for their very best quote, on the basis that I have already had some very compelling quotes on carwow with healthy discounts, but I’d rather buy from you! (I personally wouldn’t march in there saying you need X%, let the sales guy do his job - you have the play the game a little bit.)
For me, each dealer came back with deals very close to the very best Carwow offered and with a bit of persuasion 2 of them beat it...
I then just chose the car with the best spec (it had more spec than I wanted) and then actually used this to negotiate further. I.e, whilst it’s a nice car with all these extras it’s just making it too expensive. If you were able to get the monthly payment to £x then the Mrs will probably go for it, but if not I’ll have to keep looking...
From my first enquiry to placing my order, I was able to reduce the monthly payments by nearly £100 per month, whilst buying a better spec car!
I found this absolutely vital in terms of negotiating my deal as the range of max discounts from dealers was staggering.
I first spoke to my local dealer who was offered 5% discount and said it was the max considering the 0% and £750 BMW contribution. I created a spec on Carwow and within a couple hours had dealers offering me 10-12% plus the contribution and 0%..
So with this in mind I contacted the 3 closest dealers that were in different groups, told them my basic spec requirements and asked what they had in stock (can always get a great deal on a stock car). All 3 dealers returned with about 5cars in their group stock and I simply went through the specs and chose the car most suitable.
I then asked them for their very best quote, on the basis that I have already had some very compelling quotes on carwow with healthy discounts, but I’d rather buy from you! (I personally wouldn’t march in there saying you need X%, let the sales guy do his job - you have the play the game a little bit.)
For me, each dealer came back with deals very close to the very best Carwow offered and with a bit of persuasion 2 of them beat it...
I then just chose the car with the best spec (it had more spec than I wanted) and then actually used this to negotiate further. I.e, whilst it’s a nice car with all these extras it’s just making it too expensive. If you were able to get the monthly payment to £x then the Mrs will probably go for it, but if not I’ll have to keep looking...
From my first enquiry to placing my order, I was able to reduce the monthly payments by nearly £100 per month, whilst buying a better spec car!
Another handy little tool is this -
https://www.carwow.co.uk/pcp-calculator
Stick all the numbers in and see how the APR affects the monthly. Reducing the APR to 0% will knock a good £50 a month off the quoted payments.
https://www.carwow.co.uk/pcp-calculator
Stick all the numbers in and see how the APR affects the monthly. Reducing the APR to 0% will knock a good £50 a month off the quoted payments.
russy01 said:
Another handy little tool is this -
https://www.carwow.co.uk/pcp-calculator
Stick all the numbers in and see how the APR affects the monthly. Reducing the APR to 0% will knock a good £50 a month off the quoted payments.
Thanks, already on it. Specd up and sent it last night. Got first offer back this morning, 41.4k with 0%. https://www.carwow.co.uk/pcp-calculator
Stick all the numbers in and see how the APR affects the monthly. Reducing the APR to 0% will knock a good £50 a month off the quoted payments.
Out of curiosity I'll see what the dealer says to that today.
I'm still sure I'll get the lovely used car with the bank loan I've got but let's see. If the numbers in the spreadsheet add up... Then....
well guys, thanks for all your replies.
I did shop around for loans.....clearly i'm a bad apple, 7.9% was the best i could get from post office, for 25k.
Even my own bank santander only gave me 13.9% for 20k.
EDIT: Tesco bank just called. I GOT THE 3%! WOOHOO! That's just saved me 3 grand.
Anyway....i just bought the car. I'm so so happy.
Believe me i went on a crazy journey with all this. 4 weeks of calculations, head scratching, chopping and changing.
I initially went to buy an FK8 on finance - but the dealers at derby were absolute jackasses and wouldn't price it as per all the other new FK8's.
Then looked at E92 M3's before viewing them as old, heavy, and would be silly expensive to run.
Then thought about waiting 6 months, saving up another 6k, and buying an M2, but that would be stretching myself and i want to live a life outside of my car.
THEN started looking at 370Z's. But went to look at one, crap interiors and no gadgets for 27k.
I'm so happy with this 440i, can't believe it.
I did shop around for loans.....clearly i'm a bad apple, 7.9% was the best i could get from post office, for 25k.
Even my own bank santander only gave me 13.9% for 20k.
EDIT: Tesco bank just called. I GOT THE 3%! WOOHOO! That's just saved me 3 grand.
Anyway....i just bought the car. I'm so so happy.
Believe me i went on a crazy journey with all this. 4 weeks of calculations, head scratching, chopping and changing.
I initially went to buy an FK8 on finance - but the dealers at derby were absolute jackasses and wouldn't price it as per all the other new FK8's.
Then looked at E92 M3's before viewing them as old, heavy, and would be silly expensive to run.
Then thought about waiting 6 months, saving up another 6k, and buying an M2, but that would be stretching myself and i want to live a life outside of my car.
THEN started looking at 370Z's. But went to look at one, crap interiors and no gadgets for 27k.
I'm so happy with this 440i, can't believe it.
Edited by wioifoiee on Saturday 12th May 14:06
Good luck with your car sounds a great buy..im in a dilemma myself. My 4 year PCP ends oct ,do I really want to go back for more of the devils finance PCP to get back into a car I cannot really afford .Plus the Diesel hate going on with my 20 plus a year mileage ,have not got a clue what to do....Unsecured HP is the ideal isnt it just no more brand new cars for me if I go that way says the Devil 
Gassing Station | BMW General | Top of Page | What's New | My Stuff