Swapping vehicles on pch lease

[cqueen]

Hello, 6 months ago I purchased a £10k motorbike on pch. My car has now packed in and I'm wondering if I can swap my pch bike to a similar value car? I know it will depend on the fine print but is this unheard-of?
Thanks

[spookly]

Can I have some of what you've been drinking/smoking?

If it really is pch then you didn't purchase anything. You signed a contractual lease to hire a specific vehicle for a specific period.

It is very unlikely you can swap to another vehicle, probably even less likely if you want a completely different type of vehicle.

[cqueen]

Well I know that you can swap your car over early if you fancy a change

[powerstroke]

cqueen said:

Hello, 6 months ago I purchased a £10k motorbike on pch. My car has now packed in and I'm wondering if I can swap my pch bike to a similar value car? I know it will depend on the fine print but is this unheard-of?
Thanks

You took out a hire agreement , the bike value was £10k and now is second hand lets guess its worth £7000 now ,your payments were to pay off the depreciation and give a profit for the finance co so the way out is ask for a settlement and get a dealer to value the bike I would guess you will need to find about £3 to 4 k to settle it , If you ever even think you might not keep something for the full term its best to have HP and put a good deposit into it then you have a get out of jail card !!! IMHO

[cqueen]

Or I could ask the finance company if I can sell it privatley? Appears It's worth about £9k private and I've made £2k of payments

[anonymous-user]

cqueen said:

Well I know that you can swap your car over early if you fancy a change

No you can't, not on PCH. At least not without paying a huge amount of the remaining payments to terminate the agreement and then starting a new one.

[powerstroke]

cqueen said:

Or I could ask the finance company if I can sell it privatley? Appears It's worth about £9k private and I've made £2k of payments

Yes the first thing is to ask for a settlement figure !! they might be a bit funny about a private sale they won't release title until they have clearerd funds and a private buyer might be nervous about it , you would be better either paying it off first or selling it to a dealer who would clear the finance off for you ...

[alpaca85]

You can't chop something in when it's not your property in the first place.

If it's leased, the best option is to find someone willing to take on the lease and have it transferred.
This is legal and happens more often than you might think with cars, but I can't imagine it's an easy task with a bike.

You've got zero equity in your bike. You're hiring it; nothing more. The only way out is to terminate (usually you'll have to pay 50% of what's left on the contract) or find someone else who wants it - end of.

[Bristol spark]

PCH is personal contract hire, i.e. lease.

You don't and won't ever own the bike.

They wouldn't even let me buy mine at the end of the lease, so they are never going to let you sell "their" bike privately to end the lease.

you may be able to strike a deal to hand it back plus X amount to end the lease.


PCP is much more flexible, as you actually own the bike at the end of the contract.

[cqueen]

Sorry it's actually PCP.

[shake n bake]

Get a settlement then a you'll know where you are.
You can't just swap the vehicle, you'll have to finish your current agreement then start a new one on whatever you want to get.

[Frankthered]

PCP is much more flexible, in fact mine was due to end in about April, but I've been getting calls for about 12 months about renewing the agreement. But if you're only 6 months in, you might struggle.

Did you take out the finance through the bike shop, or did you do it independently?