AUC finance APR

[CSK423]

Has anyone managed to get a better rate than the 10.9% offered by BMW dealers for PCP on used cars ?

I see there are a lot of mar/apr 17 X5's with less than 100miles for sale as used which attract 10.9% apr, even though you have a saving off list around £15k in some cases the APR makes them more costly than new. New the APR is 5.9% but the discounts offered aren't great ie circa £5k.

I really need a combination of the 100 mile car and a low APR for it to work, so do dealers come down to the 5.9% on pre reg stock or even come down in general ?

I managed to receive a quote from a non dealer finance company which shows the APR as 6.9% which I may end up going for.

[Welshbeef]

I'd supply a bank loan quote as negotiating position - in fact that might end up being miles cheaper.

[Monty Python]

You'll probably find as the APR goes down, something else goes up to compensate. Dealers never lose money on a deal.

[bimjim]

I was offered 7.9% on a 2 year old BMW yesterday, that was without really trying.

That's still pretty high when compared to a loan though.

[Welshbeef]

Negotiate the price of the vehicle first then lop in part x then guess what I need some finance.

[CSLchappie]

When I bought my 340 at the start of the year Lloyds had a type of PCP product that funded up to 60k and IIRC rates we're around the 4-5% mark. GFV's were lower compared to dealer finance but they funded both new and used vehicles.

If you're already a Lloyds customer you can do it through the app and get a decision within a couple of minutes, this also works well when doing in it the showroom to illustrate to your salesman at just how uncompetitive their rates actually are, not to mention the nonsense of them wandering off for half an hour to get a 'quote' from their business manager...

[CSLchappie]

Monty Python said:

You'll probably find as the APR goes down, something else goes up to compensate. Dealers never lose money on a deal.

Not unless you play them at their own game, I got an extra 2k for my PX plus 2k BMW deposit contribution for taking out their 10.9% finance deal, which was promptly paid off via a bank loan at 3.4%. I also ended up getting £100 compensation from BMW for shoddy finance department customer service.

I think at the time I worked out that over the life time of the agreement, to own the car outright at the end (which I want) the BMW route was around £6k more expensive. What narks me off more than anything is when you get treated like an idiot who can't do basic sums to work out the true cost of the purchase.

[Monty Python]

CSLchappie said:

Not unless you play them at their own game, I got an extra 2k for my PX plus 2k BMW deposit contribution for taking out their 10.9% finance deal, which was promptly paid off via a bank loan at 3.4%. I also ended up getting £100 compensation from BMW for shoddy finance department customer service.

I think at the time I worked out that over the life time of the agreement, to own the car outright at the end (which I want) the BMW route was around £6k more expensive. What narks me off more than anything is when you get treated like an idiot who can't do basic sums to work out the true cost of the purchase.

I didn't know you could pay of PCP in one go.

[Swervin_Mervin]

Welshbeef said:

I'd supply a bank loan quote as negotiating position - in fact that might end up being miles cheaper.

We did this with my wife's previous 1er. BMW (Alphera) offered to match the loan rate. It was fairly low at something like 3.9% APR IIRC, back in 2011. The finance guy at the dealership seemed a little surprised at the time.

When I then wanted a loan for a non-AUC BMW in late '12 I phoned Alphera for a quote and they agreed to match the rate of the wife's loan, without me even asking them to!

[gazchap]

Monty Python said:

I didn't know you could pay of PCP in one go.

Any sort of credit that you take out in the UK has to have this early payment option by law, as I understand it.

[smashy]

My mate bought a nearly new Audi RS7 last year he told the Audi Dealer to put his Audi Finance paperwork away and go and get the XXXX Finance company paperwork instead. ..and he did!! Cannot remember who they also used but they had an outside finance company as well far lower than the Audi one.

Edited by smashy on Friday 4th August 18:33

[Tea Pot One]

I got 7.9% and was told that was as low as BMW allow dealers to go - any better can be done but has to come out of the dealer profit.

If that is true I guess it depends how much they want to make / how much flexibility they have on an individual car.

[Fox-]

BMW finance on used is a waste of time - they can never seem to offer a half way competitive APR. It works well for new but you are better off paying cash for used.

[Crombers]

4.9% on my AUC 7 series which I was rather pleased with.

[snorkel sucker]

Was informed yesterday by a BMW salesman that pre-reg cars under 90 days old are eligible for the (lower) manufacturer subsidised APR rates. AUC cars typically 1-2 years old are at circa 6% and then older AUC cars attract the higher APR.

[Swervin_Mervin]

Fox- said:

BMW finance on used is a waste of time - they can never seem to offer a half way competitive APR. It works well for new but you are better off paying cash for used.

Not IME

[briang9]

My lad got 7.9 on a 4 year deal on an M135i recently, not the best rate but he was happy...I might pay it off for him and then only charge him 6.9..

[Fox-]

Swervin_Mervin said:

Not IME

Really? So you've managed 3.2% APR on an Approved Used BMW?

[compactpete]

I've managed 5.6 APR on a 3 year old AUC. The interest rate is as negotiable as any other part of the transaction.

[Fox-]

compactpete said:

I've managed 5.6 APR on a 3 year old AUC. The interest rate is as negotiable as any other part of the transaction.

So almost double the rate you'll get from a bank on a personal loan instead - the point stands then.