Thinking of going the PCP route

[crank39]

Just a couple of questions the Mrs has asked....

• Can you PCP a used car and not just new
• What would happen if say the car was stolen within the term

Any help would be grateful

 

[Burnerman]

There's no problem getting a used car on a PCP agreement, but not all main dealers will offer it - the larger the dealership the more likely hood there is. Mileage stipulations are strict, as is damage to the vehicle when it is in your care.
As for insurance, there isn't any problem either but obviously fully comp is required.
John

 

[DaveHerns]

And you may want GAP insurance?

 

[crank39]

I'm aware of the mileage thing, ranges from 5p to 10p for every mile over but to be honest we'll probably choose 15k pa, we'll certainly do more than 10k. As for the insurance and gap, say for instance the car was stolen in year 1 of a 3 year deal, is the insurance calculated on what the car would of been worth at 3 years or the current year? I guess in any case the gap insurance will take care of all that whether in year 1 or year 3.

It's probably something we need to sit down with the dealer with and discuss but I don't trust any of them to do you any favours

 

[DaveHerns]

There's 4 (?) different types of GAP cover ,the more you pay, the better the cover. I wouldn't trust a car salesman to sell you a policy as it's all commission to them. Similarly they've been reported to be selling PCP deals to people who can't afford them. There's also PCH . I can't tell you the difference but you need to ensure any deal you do is to your benefit

 

[Doggit]

The deals are good, but at the end of the contract, they will look for any and every fault scartch mark or nick on the car as a way of lowering the value of it as much as possible. The idea of PCP, is that you'll hand the car back as part exchange on the next car(new or used), and so coninue paying another set of rental payments ad infinitum. PCH is personal car hire, and it's renatal scheme whereby you give the car back at the end of the hire period, so it's similar to PCP in that you'll always pay for a new car, (and have the same, what can we catch you out on routine) but the payments are lower than PCP as you have no personal investment in the vehicle.

PCP will be the new PPI scandal soon, so avoid it like the plauge.

 

[Hot&Cold]

Was looking at finance for a brand new car recently,pcp was mentioned by the dealer he advised me to buy a petrol car but i wanted a diesel.

He worked out the 'Guaranteed Minimum Future Value' for the car i want. The diesel euro6 car was 30% less than the same car with a petrol engine ,he did the calculation again as he thought he made a mistake but it was correct.

Gap insurance will help any shortfall if the car is lost or written off but it will not cover admin fees and many more fees,some gap policys do not cover pcp on used vehicles,so check.

Its buyer beware time.

 

[jj4091]

What would happen if you lost your licence 2 weeks after entering the agreement? Beware

 

[crank39]

I'd lose my job and my Mrs would drive and pay for it