Ok so theres various options of paying for the RX-8.

1) Pay outright
2) Get a loan for some/part/all of it (including via mortgage)
3) Pay with a PCP

Any others?

I have the money, but with the residual question raised again by what car this month, showing the hi-power car only worth £9,500 after 3 years, I am thinking again, both about the car, but also the best way to fund it...

1) Loss of benefit of savings on monies = approx 4.5%

2) Cheapest loan for 15k (say) is 6.9% I can get.

3) Sixspeed managed to get this

"Seems extremely high. I have managed to get a quote for the exact same spec for under £350 a month, with a GFV of just under the £11000 bracket.

Was on a 3 year plan, without maintenance, 15000 miles a year and a £5000 deposit.
...
*Edited to add that the quote also included GAP and Termination Insurance, so if at any time I couldn't pay the amount required, I could hand the car back with no penalties and no marks on my credit."

Monthly : 350 * 36 = £12,600
Deposit : £5000
total paid : £17,600 (over 3 years)

Now, what I'm unsure about here, is whether with a GFV of 11k, does he get some of this £17,600 back if after 3 years he just hands back the keys - or indeed, does he get any knocked off the price of buying it if he chooses to buy it at this stage (which if the numbers are right, he wouldn't do, he'd give it back and buy another for 9.5k).

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How are you going to pay and whay, and can someone put me straight about the payment options?


cheers

Si

I work for a finance company so I can answer your question ragarding PCP and GFV's . The GFV is the guaranteed amount that the finance company will give you after the period of the PCP is up. So at the end of the deal you can just return the keys and be done with it. If the car is worth more than the GFV at the end of the loan period then you can either buy it off them for the cost of the GFV (£11k) and keep the car or sell it for more. If the car is worth more and you just return it the finance company will not give you the balance between the GFV.


To answer you're first question - I'm going to fund between £8.5k - £10k with cash and get a personal loan for the rest. 6.7% APR is about the best I have found so far.

Andy

thanks

so if you had the cash, would you buy it outright, or fund a different way assuming the What car depreciation factor was correct?

Si

Part trade in part reserve on an openplan mortgage.

Originally posted by renegade_si
Andy

thanks

so if you had the cash, would you buy it outright, or fund a different way assuming the What car depreciation factor was correct?

Si

If I had the cash then I would pay for it outright as long as I wasn't using all of my cash reserves. Another thing I would consider is taking 2 or 3 year HP as the rule of hlaves and thirds would mean that I could duck out of the deal if the car ends up with serious negative equity after 1 - 1.5 years.

If you have enough money to pay outright then one option is to get an Intelligent Finance loan and savings account.

I'm paying 10k cash, and a 3yr 14k loan from Intelligent Finance.

I'll also have at least 14k in savings in the Intelligent Finance account so it will cancel out the loan meaning the loan is at 0% APR, but I get to keep some cash reserves in case I need them.

Well i currently have an is200 which was done through pcp.

It has just reached its 3 years and the value on that was 9000.
but because i have not done anything like the mileages i originally stated the car is worth around 13500 (its a late W) MOT'd last week. Lexus stated to me they would have paid the difference to me if i handed the keys back but as i chose to keep it and re-finance it until the rx8 appears i still have around 5 grand equity. (was going to use this and a couple of grand cash) and decide nearer the time to either buy outright or PCP.
If you ever choose to buy a Lexus dont use Lexus Hatfield. They dont know a bald tyre from a bald head. The car failed its MOT because there was the tinest of bulge on the outside wall of the nearside tyre. You really have to look to see it. However i took it to a another non-dealer affiliated MOT station and he told me the inner wall of the offisde front was bald and that the other tyre was fine.


I was considering PCP again because of the maintenance issue. If you own the car you have to get it fixed okay parts warrantied but then what about wear and tear and the what can the garages pull over our eyes to get us to pay for.

And after a period of time if this becomes a pile of nuts and bolts you can hand it back and walk away. Alternatively if you want to keep it you can buy it at a what they think the value will be after 3 years. key to getting it as low a value after 3 years is to go for the highest milleages possible whether you intend to use it or not