I've always bought my cars with full payment down.
I'm now thinking about buying a car on PCP or getting one on lease. Anyone here personally leased or bought on PCP? What's better?
PCP has a higher deposit and then monthly payments around the same as a lease, which to me implies that a lease would be better. I would only want to keep the car for 3 or 4 years anyway before changing it.
So for example, a PCP might need £8k deposit on a car valued at £40k and then £400/month payments over 3 years. A £20k final payment if you want to keep the car, else hand it back in.
For the same car, a lease will need a £2k initial payment and then £420/month over 3 years. Then you hand the car back in.
Assuming that the car will be returned after 3 years and assuming all other factors constant (mileage, depreciation, car options etc), then is it correct that leasing is the cheaper/better option?
I'm now thinking about buying a car on PCP or getting one on lease. Anyone here personally leased or bought on PCP? What's better?
PCP has a higher deposit and then monthly payments around the same as a lease, which to me implies that a lease would be better. I would only want to keep the car for 3 or 4 years anyway before changing it.
So for example, a PCP might need £8k deposit on a car valued at £40k and then £400/month payments over 3 years. A £20k final payment if you want to keep the car, else hand it back in.
For the same car, a lease will need a £2k initial payment and then £420/month over 3 years. Then you hand the car back in.
Assuming that the car will be returned after 3 years and assuming all other factors constant (mileage, depreciation, car options etc), then is it correct that leasing is the cheaper/better option?
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