New Audi Q7 Finance question...

[nano]

Hey guys

Just looking for a bit of advice really. Just put down a £1000 deposit on an 18 reg Q7. 3500 miles, spec isn't amazing but it comes with the black out pack, 21" alloy wheels and the technology pack.

I've been offered two different finance deals and just want some perspective views on them please...

The first is with the finance at 6.9% with £15000 down. I have put a link below so that you can see the exact breakdown.

https://1drv.ms/u/s!AhLts4uLFwaqxjb2EJrmMNjVCi8l

The second is at 9.9% with £15000 down but includes two free services.

https://1drv.ms/u/s!AhLts4uLFwaqxjd9IndGi3RrqkGb

Which one looks like the best deal. Chances are with the mileage I am doing we wont see the need for two services as they are staggered at 20k miles or two years whichever comes sooner. I think realistically we will be in the car for 3 years and do tops 25k during that time.

Which one should I go for? I think obviously the lower APR but I'm not an expert on these things.

Thanks for any input...

Phil

[JJ250]

Long time lurker, but have just pushed the button on a deal via an internet broker on a new Q7 myself. I'm not convinced you couldn't get a better deal buying new - you would get a £2k+ finance contribution from Audi (£2750 for a black edition) and 5.9% APR. Also the GFV on the 218bhp Q7 is very low vs the 272bhp or new 286bhp. I was going to put £15k into the deal (my current Q5) and payments were circa £350pm with a GFV of £35k over 3 years.
The total cost of my back edition was £54500 in night black, un-optioned car as base spec includes pan roof, black pack, tech pack, 21" etc. This is on the new 'TDI 50' engine too. Was offered 'two free services' also if I took a stock car rather than a March delivery.

[jimmy_wrxsti]

Of your options then it would be the lower apr - can see the higher interest is an extra 4k over the period which 2 x services are not worth.

They seem to have tweaked the final payment amount to get the higher APR on a similar monthly to the other one.

However as noted above, you would get a better (or similar) deal via new or at least look at other options as seem to be similar 2018 Q7 S-Line's on Audi approved used for around £46k?

[jimmy_wrxsti]

To confirm - via drive the deal a new 50 TDI Q7 Black Edition is £54,679 with discounts.

APR is listed as 4.9% so on a PCP with £15k deposit and a GFV of £35k over 3yrs then that is around £290 per month.

Even if that GFV dropped to £28k you would still be paying less for a new car than the one you have quoted.

[nano]

Thanks for the input. The total figures above includes the paint, alloy and tyre protection package along with the GAP insurance. The cars value is 48500 at the dealer.

Just checked out the new price and I can see the 50tdi Black edition coming in at £67295 or £528 a month with a £15k deposit which I can see is a good deal but I'm struggling to understand how driving the car off the forecourt and losing nearly £10k of value immediately is a good idea?

[nano]

Macneil said:

You do seem to have more money than sense.

Not really but I don't normally buy cars this way hence me asking for advice...

I've just gone on the Audi website to price the car as above and that's what it has given me. I don't really understand what or how drivethedeal works.

[jimmy_wrxsti]

nano said:

Thanks for the input. The total figures above includes the paint, alloy and tyre protection package along with the GAP insurance. The cars value is 48500 at the dealer.

Just checked out the new price and I can see the 50tdi Black edition coming in at £67295 or £528 a month with a £15k deposit which I can see is a good deal but I'm struggling to understand how driving the car off the forecourt and losing nearly £10k of value immediately is a good idea?

Where are you seeing this new price? that's list, use drivethedeal etc and get it down to £55k as mentioned above.

To put it bluntly - you are about to pay more for a used car over the next 4yrs so I am not sure the issue with losing money on the new car...the above discount will limit the depreciation but it will be there regardless.

Also the paint, alloy, tyre and GAP insurance can be done elsewhere at a fraction of the cost the dealer is giving you.

[jimmy_wrxsti]

nano said:

Macneil said:

You do seem to have more money than sense.

Not really but I don't normally buy cars this way hence me asking for advice...

I've just gone on the Audi website to price the car as above and that's what it has given me. I don't really understand what or how drivethedeal works.

I suggest you look into it before buying anything

Basically they are brokers and can get you a good deal on new cars from genuine dealerships. Normally as well if you print off a quote from them and take to local dealer (in this case Audi) then they can normally match it. If not you buy from the cheapest dealer and go pick up car.

[nano]

Blimey, looks like I'm going to be spending sometime on the phone to the main dealer tomorrow then. Just found another local dealer to me offering £10k+ worth of contributions towards the deposit which takes the new car down to around £58k.

I presume it's those contributions which act as the discount on the list price.

I can see where I'm going wrong!

[tickedon]

nano said:

Blimey, looks like I'm going to be spending sometime on the phone to the main dealer tomorrow then. Just found another local dealer to me offering £10k+ worth of contributions towards the deposit which takes the new car down to around £58k.

I presume it's those contributions which act as the discount on the list price.

I can see where I'm going wrong!

And you’d still be leaving money on the table.

You should not need to pay a penny more than the price you can get via drivethedeal.com

You will pay less, have a lower APR, and thus pay a whole lot less for your new car purchase.

[Dimebars]

tickedon said:

And you’d still be leaving money on the table.

You should not need to pay a penny more than the price you can get via drivethedeal.com

You will pay less, have a lower APR, and thus pay a whole lot less for your new car purchase.

100% this

Get the quote from drivethedeal, take it to your local dealer and tell him you want him to beat what you have in your hand

If he can't try elsewhere

[Gio G]

OP - used cars will always have a high APR and generally no deposit contribution.. Can I suggest you get over to "car wow" with your ideal spec and watch the big discounts roll in. You can also request finance. If you are not in a hurry, secure a nice deal during December, with potential stock arriving that might suit your needs..

G

[ilikejam]

Just to echo what everyone else is saying - get signed up on Drive The Deal and CarWow and you will pay less for a brand new car than you will for the used one you've been quoted.

I've also used Coast 2 Coast Cars before and got a great deal, but it was a long time ago now. Worth checking out though as it costs you absolutely nothing.

[nano]

jimmy_wrxsti said:

To confirm - via drive the deal a new 50 TDI Q7 Black Edition is £54,679 with discounts.

APR is listed as 4.9% so on a PCP with £15k deposit and a GFV of £35k over 3yrs then that is around £290 per month.

Even if that GFV dropped to £28k you would still be paying less for a new car than the one you have quoted.

How did you get the payments per month down to £290?

This is what I have been able to haggle with the dealer with a few extras put onto the vehicle after using Car Wow against them....

Invoice Price : £62,508.00 (Inc T/A/C and Gap)
Cash Deposit : £15,000.00
Deposit Contribution : £3,750.00
Net Deposit : £18,750.00
Term : 49 Months
Annual Mileage : 10,000
Monthly Payment : £431.37
GMFV : 31,041.25
APR : 4.9

So this car would be £57810 if the tyre alloy paint and GAP insurance was removed (which I may still do if I can find out where to look for a cheaper price).

Do the figures stack up? Obviously I have definitely gained in the long run because the GMFV is considerably more and the finance payments are lower on a higher better spec vehicle.

Cant believe what a simple question can gain with people that understand about these things!

[kiethton]

You’d need to know the total value of the extras “haggled into the deal” (and whether you really want them).

If not, almost always better to just order the car through drive the deal themselves - you will get the advertised price, contribution etc and the final value should be the same.

[JJ250]

nano said:

How did you get the payments per month down to £290?

This is what I have been able to haggle with the dealer with a few extras put onto the vehicle after using Car Wow against them....

Invoice Price : £62,508.00 (Inc T/A/C and Gap)
Cash Deposit : £15,000.00
Deposit Contribution : £3,750.00
Net Deposit : £18,750.00
Term : 49 Months
Annual Mileage : 10,000
Monthly Payment : £431.37
GMFV : 31,041.25
APR : 4.9

So this car would be £57810 if the tyre alloy paint and GAP insurance was removed (which I may still do if I can find out where to look for a cheaper price).

Do the figures stack up? Obviously, I have definitely gained in the long run because the GMFV is considerably more and the finance payments are lower on a higher better spec vehicle.

Cant believe what a simple question can gain with people that understand about these things!

If the car would be £57810 without the Tyre / Alloy / Paint and gap and £62,508 with you are paying £4698 for these services? All of which you will be paying interest on at 4.9%APR which is £480 interest in itself. That's over £5200 - you've added about 40% of the discount you've been given back on! (I could be wrong, because I didn't add any of these). Have a good read up about Gap insurance on Martin Lewis.

Assuming black edition, you could still get another £2800 off that price or £2300 if you wanted Metalic Paint. I don't know what other option you would want to add to a Black Edition as I struggled. I nearly went for metallic until I saw them side by side and couldn't tell the difference.

[nano]

Sorry my mistake on the figures. Its around £1700 for the tyre, alloy paint protection and gap insurance. I think I will look at getting the GAP from a separate provider, more than likely my insurance company if possible to keep things simple but I will see what they come back with.

Regarding the tyre, alloy and paint protection does anyone have any advice on who to go with? I don't want to take a seperate policy out and then find they try to wriggle out of claims, etc.

[tickedon]

It sounds like you’re still missing out on £3000 of discount.

And you should be able to haggle on the prices for the other insurances.

Personally I’d try your insurer or someone like ALA.co.uk who probably do all the policies you are looking at for about half the price.

[syl]

Go with no-one, don't buy it.

[jimmy_wrxsti]

nano said:

jimmy_wrxsti said:

To confirm - via drive the deal a new 50 TDI Q7 Black Edition is £54,679 with discounts.

APR is listed as 4.9% so on a PCP with £15k deposit and a GFV of £35k over 3yrs then that is around £290 per month.

Even if that GFV dropped to £28k you would still be paying less for a new car than the one you have quoted.

How did you get the payments per month down to £290?

This is what I have been able to haggle with the dealer with a few extras put onto the vehicle after using Car Wow against them....

Invoice Price : £62,508.00 (Inc T/A/C and Gap)
Cash Deposit : £15,000.00
Deposit Contribution : £3,750.00
Net Deposit : £18,750.00
Term : 49 Months
Annual Mileage : 10,000
Monthly Payment : £431.37
GMFV : 31,041.25
APR : 4.9

So this car would be £57810 if the tyre alloy paint and GAP insurance was removed (which I may still do if I can find out where to look for a cheaper price).

Do the figures stack up? Obviously I have definitely gained in the long run because the GMFV is considerably more and the finance payments are lower on a higher better spec vehicle.

Cant believe what a simple question can gain with people that understand about these things!

As per above you are still not getting the same discount as elsewhere. Have you gone to drivethedeal site for example and got details?

You should be aiming for £55k for the car plus your £15k deposit. If I were you I would also be looking at doing a 3yr so you don't have the 4th year potential costs, but that is just my opinion. For reference the 3yr GMFV is £35,044 on these according to the Audi website, so you would be looking at £310 a month.....

ALA for Gap (as you will be getting discount make sure you have the vehicle replacement gap) and they also do alloy and dent/scratch cover if you want it. Can go elsewhere for tyre insurance. Get quotes now so you know the total cost, far better to buy these upfront and take out of the deposit you have than add to the finance deal as paying interest on all of them.

With the GMFV above, you should be aiming for around £350 per month based on the proper discount (to £55k) and 15k deposit over 4yrs. However as per above, with the Audi 3yr GMFV it would be £40 p/m cheaper to go for the 3yr PCP....

Be prepared to go with drivethedeal if your dealer cant match discounts, be honest with them and say unless you match you will buy elsewhere.