After the revelations that have come to the forefront since the Dispatches program this week. We were glad to hear that it reinforces the smart way we at Car Buying Guru deal with Car Finance.
The fact is there are some really bad dealers who will only sell you what suits them. There are also really good dealers that will match the finance to the customer. Car Buying Guru was specifically set up to work with only the best dealers and giving you the best deals to suit YOU!!!!
Is PCP Bad?
In reality PCP isn’t a bad product what we saw in the dispatches program was that the deal was sold badly for e.g. if you have no interest in keeping the car then PCP is probably not for you. However if you want an option to finance a car you are going to keep for period of time over 4 years then PCP could actually be the right option but the best thing to do is to discuss it with an expert.
Not only do you need to speak to an expert, to avoid getting the wrong deal you also need to speak to someone impartial where whichever deal they put you in does not matter as along as it’s the best for you.
Why aren’t we always given the best deal by dealers?
The reason we see less than honest sales people as in the Channel 4 show is because how deals are seen by the manufacturer in a dealership. A PCP deal is seen as a retail deal (deal direct with the customer) and as such will have more bonuses and bigger commissions attached. A leasing or PCH deal is with a finance company (you are renting the vehicle) and there are different commissions and bonuses based on these deals. Basically in most cases a PCP can be worth more to a dealer than a PCH/ Lease deal.
The program goes on to suggest that leasing is the future and the better deal in the long run for customers. Something that dependent on your circumstances we also believe can be true.
“Personal Contract Hire is a really useful way of cutting your bills further than PCP in many cases. You pay the upfront initial rental, you pay a series of monthly rentals to run the car and then you hand it back. I think we are likely to see an increase in the popularity of leasing. However, we are still getting used to it as a concept.”
Christofer Lloyd, Parkers.co.uk on Dispatches: Secrets of Your New Car
Main Benefits of Leasing
- It can be much cheaper than PCP (we can take advantage of fleet discounts on lease deals and get you a discount as if you had ordered 30 of the same car)
- You Give the car back after your length of contract with no balloon payment or responsibility of disposal of the vehicle
- Constant changes in engine technology ensure you always running the cleanest vehicle possible
- Keep up to date with technology and safety by changing you car every 3 years
- Bring your overall running costs down with less petrol used less maintenance and a more efficient car.
Watch the full show Click here for Dispatches Secrets of your new car