But if you walked in to buy the exact same car but for cash, how much would you of got off then? (Not saying it wouldn't of been less)

Having one or two people coming on saying "I have cash but choose pcp" is not at the hart of what I think both Mattee and myself are getting at. Most people mortgage within a inch of their life then go and do the same with a car, both Mattee and myself just simply like to save and buy, and continue to save.

Why would you even have 30k etc cash any way, if you have 30k then that must mean you've had between 0 and 30k building in your account, (not investing )why bother saving that amount, why not get a bigger mortgage (a investment for retirement) and a car on pcp from the start. Let's face it, we're told a pcp is a easy get out so no real commitment.

Sorry if putting words in your mouth Mattee.

 

Why save, get a bigger mortgage, remind me not to get financial advice off you. I save, invest and both at the same time.....
I'll stick to my plan and mattee will stick to his and no doubt we'll both be happy in our own ways

And just because you don't have 30k in the bank doesn't mean the rest of the UK doesn't.

 

So your £30k is part of a house.
So unless you sell that and buy nowhere else, you can't afford a £30k car can you? So you lease/rent because you don't have the money available.
Just as I thought.

 

Matte I'll pm you because I'm not posting on this as it's going way off.

 

Interesting...
But it's my thread so it can go off course

 

Very true

Anyway I'm off to clean my bike after this mornings ride.
( now let's start cyclist bashing )

 

My bike almost went flying yesterday; the rear disk brake seized so tried to replace the pads (which I've done many times) but the calipers refused to open enough. I resorted to smacking a screwdriver between them and trashed a new pair of decent pads.
Ended up taking it to a bike shop for a bleed (which I can do but couldn't be bothered) and new pads. Doh!!

 

I have an uncontrolled passion for bikes, mainly roadies but do have an mtb but it's been a while since I've used it, Whinlatter forest in the lakes was its last proper outing.
I've just treated my self to a Cannondale Supersix which will remain on the garage wall until the weather improves. I could do with selling a couple but I like riding, cleaning and maintaining them all, bit of an obsession of mine.....

 

Sadly I ride far less since moving here. The roads are just lethal and the aren't sny bridle ways. We do habe two good trail centres but they're half an hours drive away.
On the upside, I can now surf, run a and swim a lot more.
But I still get bike guilt as my MTB is pretty high end. My road bike is pretty basic but served me well in two triathlons.

 

Carnut,
My (our) mortgage is less than 1/7th of net income. We are not all the same. You need to appreciate we're not all living beyond our means.

I can totally get that some people feel uneasy about finance. However, that does not mean it cannot make absolute financial sense. I base my financial decisions on as much information as possible. You are talking here about an individual that forecasts on a rolling 4yr cycle (this in respect of personal finances) so I fully appreciate as much information as I can to make an informed decision.

I don't need a financial advisor or accountant. It's not that difficult to manage.

You and Matt generalise way too much, and boarder on being arrogant without intelligence.

 

I bought land with a lump sum but part bought a car on finance.
Total no brainer.

The land has increased in value by way, way more than the interest on a loan.
And I get rent from it too.

Loan repayments make up a minuscule amount of monthly income.

 

Come on zip, tell us how loaded you are.



Again.

 

Oh do **** off Matt - my post wasn't intended to sound like that and you know it!

I was just giving a reason as to why someone may finance a car.
If you can't hack it just **** off out of here you utter bellend.

 

There needs to be a sticky at the top of this forum section.. No discussion on financing cars! Does it really matter?

 

It does to Matey Boy.

He must be seething at how people can still have a good life and yet they finance things.

 

Easily. You were getting something like 30k off a new 640d GC M-Sport on PCP deals a wee while ago... I accept that's an extreme figure on a ~70k car, but just showing you that discounts on new cars are available regardless of how you finance them.

Ok, so if Person 1 woke up one morning and needed to get their hands on 20k quickly.. then they'd have no problem shifting a bog standard, one year old car?? Haha, I very much doubt it.

They're up against dealerships selling the same cars (probably higher/desirable spec..) who can accept trade ins, add options, offer finance, provide peace of mind.... They'd have to give the car away privately to get a quick sale, they'd be far better off selling to a dealership. I could have used the lower Glass' valuation to signify them having their pants pulled down, but though a £20k offer was fair given it was around mid way between the higher/lower amounts and made the figures in my example far easier to digest.

I should also mention that Person 2 wouldn't have to get rid of their M135i if they needed 20k quickly.. because they'd still have the 25k remainder from their initial 27k lump sum left to deal with this financial hiccup.

You're right, because the deals are so attractive, it is definitely the easiest way for someone to jump into an 'expensive' car which they couldn't afford to buy outright. Some people who don't really have a pot to **** in are able to cruise around for 2 years thinking they are Bertie Big ***** and put on an illusion of wealth... however what you, Carnut and others who instantly and constantly berate PCH/PCP/HP deals don't seem to grasp is the fact that these deals also appeal to other individuals. People who want to continue driving something nice, but want to keep a lump sum back for any number of reasons; home/a wedding/investment etc.

Exactly the way it should be and not something that either side should be called on or ridiculed for... but that is something which one side here is really struggling to get their head around just now.

Absolutely and if you find they are a large percentage, then you're living way outside your means.. and are likely trying to be the Bertie Big ***** that I mentioned earlier!!


Cheers,
Grant

 

Personally I don't care whether I rent or buy a house and/or car, all methods are useful at different times. I'm at peak debt presently, doesn't bother me.

 

Come on, your loan payments are a tiny fraction of your income (you said). Well I'm sure renting an M3 and/or Exige isn't cheap so you really must be loaded

Come on, you do it all the time. Clearly you really hate being told so though judging by your rather pathetic, insulting reply.

Matt; see it isn't that way around; a lot of people boldly shout how they can afford a new car in cash but choose lease/finance. But they can't. Except zip of course who makes Warren Buffet look skint.

However anyone who buys a car in cash clearly CAN finance/lease it if they want; but they don't. So this "I could have bought it for cash" nonsense is just chest puffing BS.

A two year lease on my car is roughly simiar to depreciation (a bit more usually); at the end of that, you have nothing. I still have a £20k car. I prefer that. So so many others. We're not all thick though.

 

As I said in my post 2 pages ago, there is no right or wrong way to fund a car, it's what's right for you.

However to insinuate people only lease/hp because they can't afford to pay cash is so wrong.

Are we going to have to scan up our bank statements to sort this out?

 

I'm not saying ALL people who lease/finance but I'd bet it's a huge percentage.

I've bought a car on finance twice; one with interest, one with none; the former was financial suicide. Never again.

 

I'll insult you again then you bellend.

Let me go through this with you, and if you don't grasp it I could draw you a picture if it helps.

The M3 lease is roughly paid for by the wife's car allowance - what's your problem with that exactly?

The small loan I had to help pay for the Exige is just that - small.
What's your problem with that?

Horror of horrors, I even have a mortgage.

Is your problem that I, a lowly painter and decorator, shouldn't have as much as one such as yourself - Mr Mighty the company director who runs such a massive, successful PR agency that'd shame Max Clifford at his height?

Take a look at your myriad of previous posts shoving down our throats how perfect you are, your wife is and your straight A's kids, and your wonderful idyllic life.

Stop, and purposefully wipe that chip off your shoulder.

And please put me on ignore.

No wonder Trout fvcked off.

 

Matt,
You have effectively inferred it's ALL though..... that's what irritates others. You've made multiple sweeping statements, effectively placing everyone who buys a car on finance as being flaming sub-prime, can't afford it etc.

I would agree and personally suspect that many people who use these forms of finance, don't or won't have the means to buy outright. That matters not to me, as long as those individuals keep up the payments as per agreement. It's the people that live beyond their means by living on finance and then defaulting that irritates me, as we all end up paying for their, in some cases greed, in the long run.

It's not the finance that is usually bad. It's normally the individual that's the "bad" element.

 

All I'm going to say is Zip went to the same school as me.

P.S That's actually true BTW.

Edit to add; I own all 5 of my cars outright and they aint worth £10k between them.

 

Yeah, and it was that bad they've knocked it down

 

Zip must have been in the A stream though...... he has a good car.

 

Zip was far from the A stream!

I think that's Matey Boys problem - I'm not worthy in his eyes....

 

I haven't even remotely implied all that use finance can't afford their cars. Other than that, I think I agree with your post.

What riles me is when someone proclaims that buying a car for cash is madness and the money could be used elsewhere; like they are some financial genius. So if you ask these clever people where they have invested their £30k (for example) they almost always don't actually have it. So why comment? What's wrong with just saying £30k is a bit much but this finance/lease deal is affordable so I've gone for it.

Just a bit of honesty rather than more BS.

Yes yes zip, whatever. You're so far up your own barrow boy done good backside, it's painful. And you appear to equate success only to wealth. So shallow.

 

Matteeboy, you've had more car finance than me then, but I still think your attitude is wrong.

 

It would be helpful if you explained a little further.
My attitude? What because I will debate a point even when I'm on my own? Or because I stick to my guns?

 

As you know I'm a big fan of the M135 and all things BMW and I would consider lease or PCP deals if I was going to get one.

However if i had a spare £30k or so to spunk on a car I would be looking for a used Porsche 997.