[Nick2528]

Hi Guys

Just looking through options now and have been playing around with various quotes. ive never actually taken a car on anything other than standard HP or outright, even on HP i usually end up paying it off within a year, but wondered if anyone had an opinion on the AccessToyota scheme, or is it just a ripoff in disguise.


£8,700 deposit (which is about the value of my part exchange)


£215 a month for 3 years. (£7525)


In 3 years sell it back to them £12k. (or buy it outright for that)


So effectively £8,700 + £7,525 = £16,225 to have the GT86 for 3 years. Then get £12k back at the end.


I'd be likely to sell it after 3 years anyway, and if values are still good i guess you can buy the car for the £12k and sell it privately right after for more?


Is this a decent option compared to standard HP or am i missing something.


Cheers


Nick

 

[SteveP]

Hi Nick, I've just worked some bits out for you. I'm guessing by the quote you have given it's a manual without Nav and in Red??


How it works: You pay your deposit then you have your monthly payments like normal HP. At the end you get a (gfv) guaranteed future value. Which in this case would be £11,545.20 and this is based on 10,000 miles per annum. So if the vehicle was less than £11,545.20 you would have the option of either paying £11,545.20 or just hand the vehicle back. If the car was worth more than £11,545.20 you can use the difference to put towards a deposit of the next car or again pay it off.



You can pay the finance off at anytime so if you like to pay cars off early i would recomend doing it this way as the APR is lower than a HP agreement.



Hope this Helps



Steve



Snows Toyota Southampton

 

[keelerad]

Had a Yaris, then my Celica T-Sport on similar schemes, avoids tieing up all your money in the car.

Current interest rate (3.55%) is lower than my mortgage rate with Virgin One (4%), so I've left the £6k in the current/mortgage account and just put my 54 Celica in as deposit and accepted the higher monthly payments. This way it will save £720 on interest payements there over the 3 years, in comparison to reducing the final amount paid to Toyota by £520, so £200 better off.

AlecEdited by: keelerad

 

[Nick2528]

Yeah thats similar to how id worked mine out Alec. Just used the trade in car as the deposit and then very low monthlys means you dont really have to pay much at all until the end payment. I'll make a judgement further down the line, if i just let them have it back for the quote, or if i think best to pay it off and keep/sell private.

Thanks for the replies, just wanted to make sure i wasnt missing anything!

 

[Ade]

The interest rate is not 3.55% its 6.9%. It's hard to explain but trust me if you buy the car 100% and put the equivalent of the payments you would have made into a decent isa you will be better off. If you take your example and put the amount you borrow into a 4% isa for 3 years you will be worse off.

Now I know not everyone has £30k sitting around but if you can pay full, or if you have the earning power to get a decent limit on a 0%/12months credit card...Edited by: GT86Owner