PCP early trade in

[A4 cabrio]

I'm just approaching 2 years into a 4 year PCP agreement on a Golf GTD & the other day I got a VIP invitation (I know I know) to a "special" sales event at the dealer I used to get the GTD from. Recent additions to the family, a baby & a dog, mean that I could do with something bigger & have been looking at a used Touareg as a possible next car.

Now the thing is am I likely to get shafted on the GTD come trade in price?? I'm not interested in going ahead if I owed money on top to clear the finance on the GTD, I've seen a Touareg which I could be interested in at 27k, would it be realistic to get it for 25-25.5k?? Also the used APR rate at 10.9 could make it a non starter, is that negotiable at all?

I've got someone from the dealer phoning me tomorrow & am just hoping I could have some info before I talk to him

[A4 cabrio]

Patch1875 said:

Used car PCP is very expensive you could get a bank loan for 3%

If you haven't put in a chunky deposit I'd imagine you will nowhere near I had a GTi on a no deposit £320 a month deal was about 3 years 3 months before I could get out without a hit.

I knew pcp on a used car wasn’t a great idea so was going to HP this one, going to look into a Halifax car loan service they do, 3.4%

I put a 5k deposit down on the PCP car, gonna give be a call in the morning & get a settlement figure

[A4 cabrio]

Rabond said:

You can end a PCP agreement early by settling the remaining finance - there will likely be a small admin fee for doing so. You just have to have made a minimum amount of payments I believe (can’t remember how many of top of my head) before you can settle.

Phone up the finance company directly and ask for a settlement figure then you’ll know how much you’ll need to pay. As you are only a couple of years in you might still find you have some equity in the car after settling the finance esp if you’ve done under the quoted mileage, but if you’ve gone over the mileage limit you’ll most likely have to pay an excess mileage fee.

I ended my 4 year pcp deal recently 3 years in toa 4 year agreement - in the end I decided to sell the car privately and got a fair bit more than what the dealer were offering and I was buying another one from them - also didn’t have any issues with excess mileage / vehicle inspection on return etc.. so you may find that a better route. Of course selling privately comes with its own hassle but may be worth it if you can get a decent amount more!

Mileage wise I’m 1000 miles over my allowance so that shouldn’t be a minor problem, I’m going to phone VW in the morning & get a settlement figure before I speak to a dealer about a Touareg, I’d imagine he’d be able to give me a trade in price for mine over the phone, hope so as I dont fancy a trip to the dealer if it’s a non starter from the very beginning.

Thanks for the link you posted, very useful

[A4 cabrio]

Been trying to sort my settlement figure on line all morning but for some reason it won't process. Postman come a while ago & there's a letter from VWFS with a statement in it, currently I owe £18,636 which I assume is including interest, a rough estimate of the interest is about £1500 I think so I'm guessing a settlement figure of around £17k, which I think would leave some negative equity, so as it stands I'm gonna stay with the GTD for a while longer.

As for the call I've been waiting for from the supplying dealer, I'm still waiting which isn't really a surprise, they said they'd phone at 10am this morning.

[A4 cabrio]

So my settlement figure is £17,251 & the CAP guide price is £14k to £16.4k, seems like I’ll be keeping the GTD for a while longer.