PCP Disaster When Youngsters Get Credit !

[cuprabob]

threespires said:

What does VT mean?

Voluntary Termination

[northwest monkey]

threespires said:

What does VT mean?

Voluntary Terminate - if you buy a car on "normal" HP, you can give the car back once you've paid 50% of the amount you borrowed. Apparently, you can also do it with a lease but I don't know how that works.

[Big GT]

Keep to the 4 year agreement and then tidy it up before handover.

When you kerb, runover or hit something its good to learn financial consequences for your actions.

He's a grown man.

[SystemParanoia]

just get the mileage adjusted.

[threespires]

northwest monkey said:

threespires said:

What does VT mean?

Voluntary Terminate - if you buy a car on "normal" HP, you can give the car back once you've paid 50% of the amount you borrowed. Apparently, you can also do it with a lease but I don't know how that works.

Thanks all -

[HenrysDad]

northwest monkey said:

Voluntary Terminate - if you buy a car on "normal" HP, you can give the car back once you've paid 50% of the amount you borrowed. Apparently, you can also do it with a lease but I don't know how that works.

50% of the amount repayable, not 50% of amount borrowed.

[HTP99]

HenrysDad said:

northwest monkey said:

Voluntary Terminate - if you buy a car on "normal" HP, you can give the car back once you've paid 50% of the amount you borrowed. Apparently, you can also do it with a lease but I don't know how that works.

50% of the amount repayable, not 50% of amount borrowed.

PCP not lease; they are different.

[DSLiverpool]

OK local body shop wants £900 to make it nice but when he hit the cow the garage fitted a new headlight with a crack and he thought it didnt matter !!!!!!!!!!!!! the headlight is £350 ...

[cuprabob]

DSLiverpool said:

OK local body shop wants £900 to make it nice but when he hit the cow the garage fitted a new headlight with a crack and he thought it didnt matter !!!!!!!!!!!!! the headlight is £350 ...

You taught him well...

[Faisal_uk]

Sounds like a real disaster story!
Tell him to get a cheap used car next time or a lease with GAP insurance.

That is a ridiculous amount to pay for a diesel A4. Seems to be £22K (+damages) over 4 years?

This is why PCP is dangerous when most people don't know what all the financial costs/penalties are and also the final balloon payments and values can be confusing.

[codenamecueball]

Faisal_uk said:

This is why PCP is dangerous when most people don't know what all the financial costs/penalties are and also the final balloon payments and values can be confusing.

This is how dealers make their money. If we could all do maths and understood the cost of borrowing they'd get no business.

[ColinM50]

Sorry to hear some Scouse scrote has stolen the car and set it alight on some waste ground. Oops, that's tomorrow

[Dimebars]

ColinM50 said:

Sorry to hear some Scouse scrote has stolen the car and set it alight on some waste ground. Oops, that's tomorrow

Would be a terrible thing to happen given there is no GAP policy in place

[Earthdweller]

Adz The Rat said:

Was the cow ok?

No I think it was burger'd

[pavarotti1980]

HTP99 said:

PCP not lease; they are different.

I have been having the same argument with someone who says leasing (PCH/BCH) is exactly the same as PCP. Apparently they are both loans against depreciation but wont accept any different

[markirl]

Why doesn't he just pay the balloon payment and keep it for another 5 years? Looking on Autotrader, it would cost him the guts of £11k to get into something similar.