Teach me about car financing

[S100HP]

Adding up how much I'm spending on fuel, I was just wondering if moving to an electric car might make sense. I have nothing against electric cars, just don't have a clue where to start on how to purchase one. I have free charging at work and could plug in at home via 3 pin. My commute is circa 20 miles each way.

I seem to spend around £300 a month getting too and from work in fuel, plus about £25 a month in VED.

Is it possible to get an electric car for around the £300/350 a month, with minimal deposit?

Where do I look etc. I really don't have a clue!

[Krikkit]

You won't get anything that cheap for new on a lease without a hefty deposit.

My advice would be to buy a Leaf or Zoe etc (with a loan perhaps) and run that instead.

Edited by Krikkit on Thursday 30th June 09:59

[parabolica]

Does your work offer an electric car scheme? If not maybe ask if they plan to introduce one as they are becoming more and more popular.

Our scheme has the following new cars available for under £350 a month (includes insurance, maintenance, zero deposit etc):

Smart ForTwo
Nissan Leaf
Fiat 500e
MG ZS
Mazda MX-30
Vauxhall Corsa E
Hyundai Kona
Vauxhall Mokka

Just above this you've got Zoe, Mini, 208e, C4, Lexus UX. So do-able. Not sure what the prices look like on the forecourt though.

[S100HP]

Thanks. I work for the NHS and I think they do have preferential schemes, so will have a look at that thanks.

[anonymous-user]

parabolica said:

Does your work offer an electric car scheme? If not maybe ask if they plan to introduce one as they are becoming more and more popular.

Our scheme has the following new cars available for under £350 a month (includes insurance, maintenance, zero deposit etc):

Smart ForTwo
Nissan Leaf
Fiat 500e
MG ZS
Mazda MX-30
Vauxhall Corsa E
Hyundai Kona
Vauxhall Mokka

Just above this you've got Zoe, Mini, 208e, C4, Lexus UX. So do-able. Not sure what the prices look like on the forecourt though.

That’s where man maths comes in. I’ve ordered an i4 M50. £250 a month more than those above but in my view £250 a month to drive a 544 bhp car rather than a Corsa or Fiat 500 is money well spent.

[codenamecueball]

zj2016 said:

That’s where man maths comes in. I’ve ordered an i4 M50. £250 a month more than those above but in my view £250 a month to drive a 544 bhp car rather than a Corsa or Fiat 500 is money well spent.

Completly discounting the cost of petrol, VED, increased insurance etc. The cost of a car is far more than just the monthlies, but of course, that's the beauty of doing man maths.

[codenamecueball]

S100HP said:

Adding up how much I'm spending on fuel, I was just wondering if moving to an electric car might make sense. I have nothing against electric cars, just don't have a clue where to start on how to purchase one. I have free charging at work and could plug in at home via 3 pin. My commute is circa 20 miles each way.

I seem to spend around £300 a month getting too and from work in fuel, plus about £25 a month in VED.

Is it possible to get an electric car for around the £300/350 a month, with minimal deposit?

Where do I look etc. I really don't have a clue!

Don't forget the cost of a wallbox charger and installation as well as kwh rate as it's considered significantly safer (and much faster) than using a 3-pin 13A plug. Likely to work out way below fuel costs, but something else to consider. Some leases may throw in the box install.

[parabolica]

codenamecueball said:

zj2016 said:

That’s where man maths comes in. I’ve ordered an i4 M50. £250 a month more than those above but in my view £250 a month to drive a 544 bhp car rather than a Corsa or Fiat 500 is money well spent.

Completly discounting the cost of petrol, VED, increased insurance etc. The cost of a car is far more than just the monthlies, but of course, that's the beauty of doing man maths.

i4 is all-electric though so it is comparable to my list. But yeah, spend twice as much and you'll get a much nicer car. The i4 is available via our vendor too starting at £540 a month, or £625 for the M50.

[_Mja_]

S100HP said:

Thanks. I work for the NHS and I think they do have preferential schemes, so will have a look at that thanks.

My wife works for the NHS they offer this https://www.nhsfleetsolutions.co.uk/

Some good deals. I have been browsing myself.

[sly fox]

Does that amount of mileage warrant spending £300 a month on finance?

Doesn't add up to me unless you were getting some sort of work allowance for travel. You can't guarantee to fill up for free at work every day if more and more colleagues also have electric cars.

[wemorgan]

some broad numbers:

£300/month @ 30mpg is 1000miles/month. EV will save you maybe £200/month
£300/month @ 45mpg is 1500miles/month. EV will save you maybe £150/month

[S100HP]

It's not about saving money, it's about spending money on a car rather than fuel.

[anonymous-user]

S100HP said:

It's not about saving money, it's about spending money on a car rather than fuel.

I don't blame you, does this mean the Legacy may potentially be going? The other thing about that £300 a month in fuel is likely to increase month on month. I can see why you would want to run a brand new EV if in reality it is not actually going to cost any more than your current car.

How much are the deals available to you through the NHS leasing site?

[Abdul Abulbul Amir]

Get a 125 scooter.

[sly fox]

S100HP said:

It's not about saving money, it's about spending money on a car rather than fuel.

unless the finance amount is for a loan to purchase, you are spending money on finance/interest ( not a car) rather than on fuel. Important difference but it comes down to affordability.

Just trying to point out that like many people, you end up spending money on (very easy to get) finance just to save money on running costs, rather than getting a car you might actually want.

Getting a newer (not brand new) car with 40-50% better MPG could be a better financial decision if that's important to you. Speak to a dealership to get finance comparisons or look online.

The electric car bandwagon doesn't work for everyone.

[S100HP]

Thanks for the input. I'm sure an electric car would work for us, most of my journeys are local (kids from school etc) and then my 20 mile commute. All within the realms of electric cars. Charging isn't an issue, we have rows of chargers at work and I'm here long enough and early enough that a space will be free. I've thought about all of that lots. It's just I'd rather waste the money on a new car than give it to Tesco for fuel, that is the sole driver here.

[S100HP]

Krikkit said:

You won't get anything that cheap for new on a lease without a hefty deposit.

My advice would be to buy a Leaf or Zoe etc (with a loan perhaps) and run that instead.

Edited by Krikkit on Thursday 30th June 09:59

This is probably the most sensible option, but just wanted to see what else was possible

[Lil_Red_GTV]

You could lease something like an electric Mini, Zoe or Fiat 500 for less than 350 a month with only one month down. I find Lease Loco helpful for getting a feel for what's available. You can filter for EV and sort by price.

And that's for a personal lease. If you have access to a work scheme it could presumably be cheaper.

[anonymous-user]

codenamecueball said:

zj2016 said:

That’s where man maths comes in. I’ve ordered an i4 M50. £250 a month more than those above but in my view £250 a month to drive a 544 bhp car rather than a Corsa or Fiat 500 is money well spent.

Completly discounting the cost of petrol, VED, increased insurance etc. The cost of a car is far more than just the monthlies, but of course, that's the beauty of doing man maths.

Not in the case of salary sacrifice, VED and insurance included. All I need to do is put leccy in it. Which is currently cheaper than diesel.

[wemorgan]

zj2016 said:

All I need to do is put leccy in it. Which is currently cheaper than diesel.

Leccy would have to increase to 70p/kWh for it to match diesel prices.
So at current prices of 30p/kWh or half that if Economy 7, you're saving.