Looking at getting a
cupra 300 or a new
290 lux but not sure if to go
PCP, HP or leasing?
What's everyone's opinions?
You really need to sit down and work out the best deals you can get on all, and then compare and decide. I've done both (
PCP and Personal Lease) over the last few years. The current lease deals on Seats are very good so probably cheaper than
PCP at the moment overall. Things to remember / note :
1. With a lease, the finance company nearly always pay the road tax each year, so allow for that difference. Lease deals come and go through the year and can vary drastically and so there's no certainty that what deals you see today you'll ever get close to again !
2. As above, with
PCP you are the named registered keeper on the V5. You can also pay off the finance early at anytime by ringing up for a settlement figure and paying it off (or getting a dealer to pay it off if part-exing on a new car). At the end of the
PCP period you can pay off the final balloon payment and you then own the car OR you can get a trade-in value (hopefully higher than the settlement value) on the car and get the dealer to settle the finance (and they own the car) OR you can give the car back to the
PCP finance company. Only with the latter do you need to stick to the mileage per annum allowed on your
PCP agreement.
3. With a lease you are tied into a contract and have to see it through. You are not the registered keeper and don't get the V5 (usually anyway with most lease companies). At the end of the contract your car will be inspected and you will have to pay for any damage over and above fair wear and tear. You also need to have it serviced at the right times. You are also restricted to a set mileage per annum and will be charged per mile if you go over - check out the charges before leasing.
4 You can now get GAP insurance for leased vehicles ... try and get one that covers your initial first payment which is usually 3x or 6x the monthly payments. I'd recommend taking this out otherwise you could/would lose this initial payment if your car is written off / stolen in the early months.
5. With a lease it is much better value to stick to standard spec otherwise you will be charged quite a few ££'s per month more for optional extras.
6. If you like changing your car every two or three years a lease may well be the best deal for you at the current time. If you want to keep your car long term and mod it then probably best to
PCP / HP it.