Mercedes C63 deals on PCP?!

[ash59fifty-uk]

In that case - my bad, apologies! Forums are hard work sometimes (especially when you haven't figured out who the resident dickheads are

Oh believe me a few scrolls down the recent threads list on the mobile app and you'll soon find them

 

[ash59fifty-uk]

What is all this PCP business is it finance/lease? Doesn't anybody pay for cars cash anymore?!

The idea of paying £700 for something I don't even own doesn't sound too appealing unless it has four walls and I can take women back to it

Not a dig before anyone starts crying

I will be in the market for a w204 c63 (facelift) in the next year but Its come to that point I either need to settle down and get a mortgage, or buy a C63 outright and buy and sell houses which is more likely the option I'm going for

 

[gIzzE]

What is all this PCP business is it finance/lease? Doesn't anybody pay for cars cash anymore?!

The idea of paying £700 for something I don't even own doesn't sound too appealing unless it has four walls and I can take women back to it

Not a dig before anyone starts crying

I will be in the market for a w204 c63 (facelift) in the next year but Its come to that point I either need to settle down and get a mortgage, or buy a C63 outright and buy and sell houses which is more likely the option I'm going for

You have got to be a bit of a ****ing idiot to buy one new.

Even after discount, you will loose more than renting.


Rent one for around £21k over 3 years or buy one and loose £35000 over 3 years.


Depends what is more important to you, being financially astute or bragging down the pub you paid cash?

 

[ash59fifty-uk]

You have got to be a bit of a ****ing idiot to buy one new. Even after discount, you will loose more than renting. Rent one for around £21k over 3 years or buy one and loose £35000 over 3 years. Depends what is more important to you, being financially astute or bragging down the pub you paid cash?

I don't like the new ones, I mentioned the W204 facelift (2011-2014, not W205) unless we're talking about the forthcoming convertible

I know nothing about PCP, so technically on a PCP contract you don't lose money then? Or is PCP only available on brand new ordered vehicles? Genuinely intrigued

 

[Little Lofty]

What is all this PCP business is it finance/lease? Doesn't anybody pay for cars cash anymore?!

The idea of paying £700 for something I don't even own doesn't sound too appealing unless it has four walls and I can take women back to it

Not a dig before anyone starts crying

I will be in the market for a w204 c63 (facelift) in the next year but Its come to that point I either need to settle down and get a mortgage, or buy a C63 outright and buy and sell houses which is more likely the option I'm going for

Around three quarters of new cars bought privately are on finance, I guess a huge chunk of those are PCP's
There's always an argument for both types of buyer, and this topic pops up all the time. Everyone has different ideas and lifesyles, what suits one person doesn't always suit the next man. I use my capital to buy and sell houses, the money it makes me far exceeds the interest I pay to MB or VW of whoever I'm buying off. My uncle is worth in excess of £50 million, he leases both his and his wife's Bentleys, I know other people who live on low incomes and pay cash for everything. If I kept cars a long time I'd lease, as on some deals it's cheaper than even paying cash. Cash is no longer King, unless your buying houses.

 

[irdan87]

This is the one I had my eyes on when I was quoted the £700+ a month with a 6k deposit.

http://used.mercedes-benz.co.uk/use...ercedes-benz-c63-amg-lincoln-for-sale-fh13soe

Looking around seems its 4-5k overpriced for a start.

I think I'm going to sit tight til end of March when the new model is out (also coincides with the end of year accounts) and see what they can do. If not I'll sit tight a bit longer again.

I've got my heart set on a c63 now (facelift or new). It's a real shame my finances have dictated being in a good position at the same time a new model is due out. Guess patience is key here.

Any feedback on the price on that link I posted? Overpriced or fair? Thoughts?

Thanks guys!

 

[RJ C63]

Perhaps 3-4 grand overpriced.

 

[irdan87]

Perhaps 3-4 grand overpriced.

Thank you mate. Doubt they'll shift that much anyway so as above I'll just sit tight til loads of trade-ins saturate their forecourts by March/April.

Thanks for the advice guys - great little forum!

 

[gIzzE]

I don't like the new ones, I mentioned the W204 facelift (2011-2014, not W205) unless we're talking about the forthcoming convertible

I know nothing about PCP, so technically on a PCP contract you don't lose money then? Or is PCP only available on brand new ordered vehicles? Genuinely intrigued

No, you didn't, but you said....

What is all this PCP business is it finance/lease? Doesn't anybody pay for cars cash anymore?!

Someone has to buy the car you want to buy at 5 years old new at some point.

And the best way to do that is whichever is the cheapest way over the period you want to run it for.



There is a lot of confusion over leasing, contract hiring, lease purchase and PCP type agreements.

A PCP is borrowing the money that the car will depreciate by over the time frame you want to own it. The residual value is guessed based on period, mileage and a bit of a gamble on future market values.
This can be done on new cars and used cars.
You will obviously pay interest on the total amount borrowed, and the APR rates vary wildly, many offer low rates on new and then sting you on used, plus you often get 'finance contributions' on new cars too, which is a clever way of giving a huge discount without actually showing they are doing so to the guy who has just paid cash and full rrp.
You need to do the maths very carefully to see if it is worth doing this, it is the sellers favourite as they often get people to swap half way through the term and keep shifting new metal.

A Lease purchase is borrowing the money over say 36, 48 or 60 months, it can be paid in full or have a balloon/final payment. This is normally done through a finance house so no guaranteed final value, it is up to you to sell/trade it to pay for the final payment (best to do it over a longer term than you want it for which gives you plenty of time to sell it when you get bored).
The nice thing about this is much better rates, I managed under 4% apr on a quote on a 340i Sport Touring last month, combine that with a nice £10,000 discount and a final value of £18k after 48 months meant that the £45,000 BMW was costing me under £400 a month.
I was happy with £400 a month in depreciation, and I was looking at either a 6 year old, last model 335i with 60k miles on it or this brand new one with all the benefits that brings to the table.

Spending £20k cash and loosing £400 a month over the period on an old one doesn't sound as appealing to me as borrowing the money and spending £400 a month a new one.



Contract Hire though, that is where the real savings are, fleet buyers getting fleet prices and passing the savings on to the end user, some of the real discounts are always on the hire cars, they can control the flow of new cars, and more importantly they get them back at the end, so they can control the used market values too.
We contract hired a 730d M-Sport with the tech pack and dynamic pack for £349 a month plus vat. That was a £61,000 car, even with the available £10k discounts, that was a car that was still loosing £1000 a month for the first 2 years to a cash buyer.

The E63s 2 years back at £399 a month, another no brainer.
The C63 Estates at £379 a while back was another no brainer, same with the guys who bought the M5s recently for £400 a month, or the M135i for £179+vat.
Or the Golf GTI R at £159!

As I said, on many new cars you would have to be a complete dip**** to buy new.
new cars are now for contract hire deals and for companies who can write them off over 3 years, and let it continue, it means we get them making nice metal.

There is some seriously inverted snobbery when it comes to cars, and 999 times out of 1000 it is from someone driving a 15 year car which costs the same as a decent night out.


I am going the other way, I am now starting to buy older cars cash, but you have to get to around 10 years old to make it work, any newer than that and it doesn't make a great deal of sense.

 

[irdan87]

No, you didn't, but you said....




Someone has to buy the car you want to buy at 5 years old new at some point.

And the best way to do that is whichever is the cheapest way over the period you want to run it for.



There is a lot of confusion over leasing, contract hiring, lease purchase and PCP type agreements.

A PCP is borrowing the money that the car will depreciate by over the time frame you want to own it. The residual value is guessed based on period, mileage and a bit of a gamble on future market values.
This can be done on new cars and used cars.
You will obviously pay interest on the total amount borrowed, and the APR rates vary wildly, many offer low rates on new and then sting you on used, plus you often get 'finance contributions' on new cars too, which is a clever way of giving a huge discount without actually showing they are doing so to the guy who has just paid cash and full rrp.
You need to do the maths very carefully to see if it is worth doing this, it is the sellers favourite as they often get people to swap half way through the term and keep shifting new metal.

A Lease purchase is borrowing the money over say 36, 48 or 60 months, it can be paid in full or have a balloon/final payment. This is normally done through a finance house so no guaranteed final value, it is up to you to sell/trade it to pay for the final payment (best to do it over a longer term than you want it for which gives you plenty of time to sell it when you get bored).
The nice thing about this is much better rates, I managed under 4% apr on a quote on a 340i Sport Touring last month, combine that with a nice £10,000 discount and a final value of £18k after 48 months meant that the £45,000 BMW was costing me under £400 a month.
I was happy with £400 a month in depreciation, and I was looking at either a 6 year old, last model 335i with 60k miles on it or this brand new one with all the benefits that brings to the table.

Spending £20k cash and loosing £400 a month over the period on an old one doesn't sound as appealing to me as borrowing the money and spending £400 a month a new one.



Contract Hire though, that is where the real savings are, fleet buyers getting fleet prices and passing the savings on to the end user, some of the real discounts are always on the hire cars, they can control the flow of new cars, and more importantly they get them back at the end, so they can control the used market values too.
We contract hired a 730d M-Sport with the tech pack and dynamic pack for £349 a month plus vat. That was a £61,000 car, even with the available £10k discounts, that was a car that was still loosing £1000 a month for the first 2 years to a cash buyer.

The E63s 2 years back at £399 a month, another no brainer.
The C63 Estates at £379 a while back was another no brainer, same with the guys who bought the M5s recently for £400 a month, or the M135i for £179+vat.
Or the Golf GTI R at £159!

As I said, on many new cars you would have to be a complete dip**** to buy new.
new cars are now for contract hire deals and for companies who can write them off over 3 years, and let it continue, it means we get them making nice metal.

There is some seriously inverted snobbery when it comes to cars, and 999 times out of 1000 it is from someone driving a 15 year car which costs the same as a decent night out.


I am going the other way, I am now starting to buy older cars cash, but you have to get to around 10 years old to make it work, any newer than that and it doesn't make a great deal of sense.

Good post! Looking at them prices I may need to do more research into Contract Hire. An e63 for that price is insane!

 

[Deleted member 113659]

Good post! Looking at them prices I may need to do more research into Contract Hire. An e63 for that price is insane!

I agree that was a very informative post. However I think gIzzE gave those figures as examples of past deals. You'll not get the current E63 for that price. Be pataint & be ready to pounce.

Ant.

 

[Deleted member 37751]

You have got to be a bit of a ****ing idiot to buy one new.

First things first; I really don't care how people finance their cars and their life is up to them.

But this defence of finance "yah, I could pay cash because I'm really rich but I prefer to invest my money in blah blah blah instead" is just a load of crap; the people I know with real money, strong money, all buy their cars 'cash'. Seriously, I don't know any of them that lease. If you really can afford to buy something outright with ease, why on earth would you tie yourself down to a finance agreement for say two years?

If someone can manage to work out a way to get into a £60k motor for as little as possible, good luck to them, but to make out that they've got another option as to how they do it is ridiculous.

 

[irdan87]

I agree that was a very informative post. However I think gIzzE gave those figures as examples of past deals. You'll not get the current E63 for that price. Be pataint & be ready to pounce.

Ant.

Yeah mate...time to sit tight I think. End of March I'll go into the dealership with my game face on.

My friend just traded in the 'current' c63 coupe for a brand new e63. Although its quicker and a bit more grumble than the c63 he had I can't help but call him Grandad Car ;-)

 

[Deleted member 113659]

First things first; I really don't care how people finance their cars and their life is up to them.

But this defence of finance "yah, I could pay cash because I'm really rich but I prefer to invest my money in blah blah blah instead" is just a load of crap; the people I know with real money, strong money, all buy their cars 'cash'. Seriously, I don't know any of them that lease. If you really can afford to buy something outright with ease, why on earth would you tie yourself down to a finance agreement for say two years?

If someone can manage to work out a way to get into a £60k motor for as little as possible, good luck to them, but to make out that they've got another option as to how they do it is ridiculous.

I agree with you to a certain extent. I can't see the likes of Lewis Hamilton signing up to a 3 years lease.

However there really are genuine people with money that say leasing works for them.

Red C220 on here says his business partner leases and he could easily buy outright.

Many people lease cars they could never afford to buy outright. But most of them just hold their hands up and say.

There's really no right or wrong. No point in convincing people that their way is the best.

Ant.

 

[Deleted member 113659]

Yeah mate...time to sit tight I think. End of March I'll go into the dealership with my game face on.

My friend just traded in the 'current' c63 coupe for a brand new e63. Although its quicker and a bit more grumble than the c63 he had I can't help but call him Grandad Car ;-)

To be honest I'd have any of the AMG range. I just love them all.

Ant.

 

[Deleted member 37751]

No point in convincing people that their way is the best.

I'm not trying to do that, I really don't care what people do with their money.

If they can somehow find a way into their dream car through finance; fair play to them. If they don't really care about a car and thinks it's a necessary evil and just want a fixed monthly outcome; fair play to them, really.

Look at it like this; say you've got £30k in the bank and you need a new TV, would you buy one for a grand cash or go and get one on three years finance?

 

[ash59fifty-uk]

No, you didn't, but you said.... Someone has to buy the car you want to buy at 5 years old new at some point. And the best way to do that is whichever is the cheapest way over the period you want to run it for. There is a lot of confusion over leasing, contract hiring, lease purchase and PCP type agreements. A PCP is borrowing the money that the car will depreciate by over the time frame you want to own it. The residual value is guessed based on period, mileage and a bit of a gamble on future market values. This can be done on new cars and used cars. You will obviously pay interest on the total amount borrowed, and the APR rates vary wildly, many offer low rates on new and then sting you on used, plus you often get 'finance contributions' on new cars too, which is a clever way of giving a huge discount without actually showing they are doing so to the guy who has just paid cash and full rrp. You need to do the maths very carefully to see if it is worth doing this, it is the sellers favourite as they often get people to swap half way through the term and keep shifting new metal. A Lease purchase is borrowing the money over say 36, 48 or 60 months, it can be paid in full or have a balloon/final payment. This is normally done through a finance house so no guaranteed final value, it is up to you to sell/trade it to pay for the final payment (best to do it over a longer term than you want it for which gives you plenty of time to sell it when you get bored). The nice thing about this is much better rates, I managed under 4% apr on a quote on a 340i Sport Touring last month, combine that with a nice £10,000 discount and a final value of £18k after 48 months meant that the £45,000 BMW was costing me under £400 a month. I was happy with £400 a month in depreciation, and I was looking at either a 6 year old, last model 335i with 60k miles on it or this brand new one with all the benefits that brings to the table. Spending £20k cash and loosing £400 a month over the period on an old one doesn't sound as appealing to me as borrowing the money and spending £400 a month a new one. Contract Hire though, that is where the real savings are, fleet buyers getting fleet prices and passing the savings on to the end user, some of the real discounts are always on the hire cars, they can control the flow of new cars, and more importantly they get them back at the end, so they can control the used market values too. We contract hired a 730d M-Sport with the tech pack and dynamic pack for £349 a month plus vat. That was a £61,000 car, even with the available £10k discounts, that was a car that was still loosing £1000 a month for the first 2 years to a cash buyer. The E63s 2 years back at £399 a month, another no brainer. The C63 Estates at £379 a while back was another no brainer, same with the guys who bought the M5s recently for £400 a month, or the M135i for £179+vat. Or the Golf GTI R at £159! As I said, on many new cars you would have to be a complete dip**** to buy new. new cars are now for contract hire deals and for companies who can write them off over 3 years, and let it continue, it means we get them making nice metal. There is some seriously inverted snobbery when it comes to cars, and 999 times out of 1000 it is from someone driving a 15 year car which costs the same as a decent night out. I am going the other way, I am now starting to buy older cars cash, but you have to get to around 10 years old to make it work, any newer than that and it doesn't make a great deal of sense.

Very informative post Gizze thanks, and it clears up all of my questions. Never knew how any of them worked out. So how would you advise to buy a W204 c63? The facelift shape by next year would be maximum five years old so maybe the prices might drop to just above 27/28, contract hire sounds better than buying outright? I've never thought about depreciation on a car worth that much of buying outright

 

[StuartK]

Here we go the good old willy waving argument. Finance or cash.

 

[ash59fifty-uk]

Look at it like this; say you've got £30k in the bank and you need a new TV, would you buy one for a grand cash or go and get one on three years finance?

Technically in that respect to buy a C63 in that mindset you'd need just under a million in the bank!

I really need to think about things, spunk 30k+ on a car I 'want' and not 'need'... I know full well what my dad would say

 

[Deleted member 113659]

Look at it like this; say you've got £30k in the bank and you need a new TV, would you buy one for a grand cash or go and get one on three years finance?

I'd defo buy one for a grand cash (just like I did 3 weeks ago (not got 30k in bank though))

However, that's not a fair comparison. People generally don't expects a great deal of money back after owning a tele for the duration of its life.

Those people buying and enjoying a £60,000 (just an example at £60,000) car for a few years really do think about what they expect to get back. If they like to change cars say every 3 years then sometimes the numbers are more in their favour if they lease.