PCP on approved used Mercedes?

[james2375]

Hi, Can anyone tell me if you can have PCP finance from a main dealer on used approved please? If so when you come to part ex it (as opposed to paying the balloon) can you do it against another used approved? I am thinking of trading my E250 (which I own outright) for a 3 year old CLS. Thanks

 

[cinek]

Yes, you can have the PCP on their approved cars.
Yes, you can part exchange it at the end of the contract
No, I dont think you will ever end up with the car worth more at the end of the term than your finance settlement figure is. It certainly never happened to me.

 

[PaulCambs]

PCP on approved use is not a problem as long as your PCP deals ends before the car is 4 years old, I just purchased a 1 year old c63 on a 2 year PCP. So you could get a 2 year old car on a 2 year PCP or a 1 year old car on a 3 year PCP as will end before the car is 4 years old.

Hope that helps.

 

[gIzzE]

No that is wrong.

PCP through Mercedes finance can be no longer than 4 years, and the car can not be over 8 years old at the end.
I have heard what you have said before and I just think it is the sales guys not understanding the finance houses rules.

You could have done yours over 48 months no problem.

They said this to me on the E350cdi, I had to persuade the sales guy to try and put it through over 48 months, it was no problem at all. Apart from they wanted 9% apr on used, so used Lombard at 4.9% instead in the end.



Be a bit careful with PCP on used, the APR is much higher than on new, and the discounts on new often bring the car to less than a year old approved one too.
This is not just a Merc thing, BMW, Audi etc. are all the same.

 

[Charles Morgan]

I found when hunting for my new car that I could not get anywhere close to the price of a new PCH/PCP with any secondhand car of even a couple of years old - higher APRs as gIzzE says, no sales incentives and continued depreciation.

 

[paulshep69]

I agree with gIzzE and Charles Morgan, I was looking at a 3 year old C-63 edition 125 for around £38k from MB in Dundee, the finance was prohibitive, it would have been cheaper to have bought a new car with the options I wanted and in the colour I wanted too. I eventually went for a 5 year old car with low mileage and financed it through my bank, a much better deal all round.

 

[gIzzE]

Hi, Can anyone tell me if you can have PCP finance from a main dealer on used approved please? If so when you come to part ex it (as opposed to paying the balloon) can you do it against another used approved? I am thinking of trading my E250 (which I own outright) for a 3 year old CLS. Thanks

Also, when you part ex you can do it against what you want, you can sell it to ho ever you want, your only obligation is you pay off the what you owe.

Drive the deal are doing £12,000 off a new CLS250cdi AMG coupe, bringing it down to around £39k. If you're using PCP that might be cheaper than a 3 year old one at £25k if using pcp.

 

[james2375]

Thanks everyone for all the replies! V interesting. My plan was to get a 3 yr old CLS at c. 25k as glzzE says on 3 yr PCP, making it 6 yrs old when it finished. My wife recently bought an M135i and we looked at used for a while before realising that there was no deal to be had. Brand new was huge discount by making the main dealer match buyacar and 4.9% interest. I note buyacar are doing 12k off a CLS too. I would only do the used if they gave me a decent interest rate but good to learn about Lombard. Problem I have with buying a new one is they depreciate like lead balloons. Facelift is due out next year. This is the one issue I have with Mercedes, their facelifts are so extreme, I think my E class looks obsolete because of the facelift model.

 

[gIzzE]

If you're worried about decpreciation then why not just contract hire it?

From £2000 deposit and then £279 a month plus vat.

You are ina brand new car with no warranty issues and probably a single £200 service and at the end you just throw the keys back and start again, no hassle with part exing, no tieing £25000 up in a bit of metal.

Mercedes-Benz Cls contract hire | Mercedes-Benz Cls lease | Mercedes-Benz Cls car leasing

 

[del320]

Be a bit careful with PCP on used, the APR is much higher than on new, and the discounts on new often bring the car to less than a year old approved one too.
This is not just a Merc thing, BMW, Audi etc. are all the same.

Thanks for clearing up a mystery: Toyota had "planted" an Aygo at our local garden centre. Plastered along the sides were details of the 0% PCP deal.

Hanging off the mirror were the PCP details of this actual pre-owned/registered car - 6 months old, c2k miles, 1.9%.

I was baffled as to why the second-hand car was less than £200 cheaper.

 

[gIzzE]

We bought an Aygo Black back in July 2010, I had been on holiday and hired a C1 and thought I would go green.
So went into Toyota and looked at some 4-5 year old ones for around £6-7000.

Then asked what discount on new, was told that if we financed there was currently a £1500 dealer contribution, and the finance was also at 0% that weekend.
I negotiated £500 off extra, so we ended up with a brand new car for £8000 on 0% apr.
I wasn't bothered about owning it and asked for a balloon on that car, because the residuals are so silly high, around 70% after 3 years Toyota finance set the GFV at £5900.
This meant that car cost me £56 a month.

It was a shame that after a month or two I realised that it was a completely pointless car for us here in the UK, great on holiday on a small island, but here was a waste of time.
But to be in a new £10,000 car for £55 a month makes you wonder why anyone every pays cash?


I have already spent £55 this week on the ML in general maintainance, and it is only Tuesday!

 

[james2375]

Sorry glzzE cannot find anything that good on the leasing link. However have requested a quote from Lombard. Sorry it is Broadspeed who have 13k off a CLS 350 not buyacar. Even so (admittedly after guessing the 4 yr balloon on a PCP calculator) it comes back at over £500 month. I estimate my 3 yr old 3 yr PCP will be around £350 month. It has taken me years to realise that finance not outright ownership and probably new not used is best.

 

[gIzzE]

Sorry glzzE cannot find anything that good on the leasing link.

Click on this link.......

Mercedes-Benz Cls contract hire | Mercedes-Benz Cls lease | Mercedes-Benz Cls car leasing

Then adjust so £300 a month is the maximum.

 

[james2375]

Ok - had a useful chat with Lombard and am going to speak to them again in July once I've got my re-mortgage out the way.

Here's a question.. Some good online PCP calculators give me an idea of what my monthly payments will be. Only thing is I have to guess the GMFV. Can anyone give their best guess for a 2011 11 plate CLS 350 sport, costing c. 26k, in three years time. I Looked at 6 year olds on autotrader, which of course is the old model, and guessed £8k. This seems low though and rather harsh for a car that started life at £55k

 

[gIzzE]

I would guess that will be about the GMFV, Lombard may offer more but don't guarantee it, so that is a gamble you have to take.

You will be looking around the 35-40% mark.

You might be better to do it over 48 months, as the balloon is often only a little lower.

Doing ot over 60 months with no balloon is often better these days, Lombard will do this but the dealers often won't because they want you back in 35-48 months. Back when they set the balloons at 30% of list at 6 years old it made sense, but now they set it at around 35-40% after 3 years regardless of what it has depreciated already it isn't so appealing.

£26k with £3k down over 36 months with an £8 balloon at 6% is £495 month.
£26k with £3k down over 60 months at 6% is £444 month.

Much safer way to do it as well, if you get to month 36 and want to settle you just get a settlement figure, if you don't want to settle you simply carry on.


Still think contract hiring at £350 a month for a new one is the 'sensible' choice.
Edit: sorry, just realised you want the 350, contract hire on those are a lot more.

 

[paulshep69]

Ok - had a useful chat with Lombard and am going to speak to them again in July once I've got my re-mortgage out the way.

Here's a question.. Some good online PCP calculators give me an idea of what my monthly payments will be. Only thing is I have to guess the GMFV. Can anyone give their best guess for a 2011 11 plate CLS 350 sport, costing c. 26k, in three years time. I Looked at 6 year olds on autotrader, which of course is the old model, and guessed £8k. This seems low though and rather harsh for a car that started life at £55k

You're probably not that far off with £8k, maybe slightly higher.

The C63 I looked at was roughly the same ages as you're talking and the GMFV was set at £12k at a similar age and was a similar list price (£57K) when new too.

 

[james2375]

glzzE that might be why I can't find the price you said. Will check out the 250 tomorrow

 

[gIzzE]

£325 a month plus vat with 9 months down.

Mercedes-Benz Cls Saloon contract hire | £325.99 per month | J&R Leasing Limited | ID: 28969612

 

[james2375]

Ok thanks. I see where you are getting these great prices from now but unfortunately I am not a business user. Looking at this personal is not just a case of adding on VAT to the business price, it's a case of jack the price up then add VAT
You are right though, my used scenario with a 5k deposit, 8k balloon over 36 months on Lombards 4.9% (assuming I am v lucky and get such a rate) is just under £400 per month. Best new lease on personal is just under £400 with a smaller deposit.

 

[gIzzE]

You need to speak with them, many will do it at the business price.