Hi

I'm beginning to wonder if the current 0% offer might suit my needs..just wondered if anyone on here had used it or similar??

This concept is new to me...you pay 60/70% of the value at purchase then defer the rest for two years at no interest. There is a GMFV which is what you will need to pay at the end of two years to keep the car otherwise you hand it back.

I would likely exceed the mileage limit they set but at 12ppm that doesn't seem too bad.

So I'm after an idiots guide ( me being the idiot) to this type of purchase..anything to watch...do you get shafted at end of Y2??

Advice appreciated

Richard

I think if you don't take the 0% offer you get a further £1000 discount, this was true earlier in the year is it still the same?

so at that is it really 0%?

If Im wrong go for it its a good deal  At work
At home

"I can't always believe facts I read on the web" - Charles Dickens

winner by default of the tractor vs caravan race

I think in theory it's a good idea/deal as long as you don't exceed the free mileage limit.

Iain

GFV,
If you pay 60-70% deposit you wouldn't hand it back after 2 years as it would have only dropped 30-40% (assuming you haven't done 100k miles) from purchase price i.e. you would have positive equity on the vehicle??

Last edited by Junior on 18th May 2010 9:24 pm. Edited 1 time in total

It really depends on the Mileage.

I have done it twice the first one with my previous Freelander where I was contracted to do 15,000 miles per year over a 3 year period. Actually did 54,000 over a two and a half year period and traded it in for my current Freelander 2 which I am contracted to do 21,000 over the three year period when actually I have done 26,000 over 2 and a half years.

My contract is due up in December and I intend to purchase my car as I cannot afford/justify buying new when I have so little mileage. My purchase cost is £12066 try and find a Freelander 2 HSE Auto whith 26,000 on the clock at that price. That said I have paid between £21,000 and £25,000 over the three year period but I would recon my car is still worth £19500.

Would I do take the deal again? If it wasn't for the current economic climate I would probably replace my car in November/December time and this time I would get a black FL2 or Disco 4 usng the same method.  Simon

2007 Freelander 2 Rimini Red HSE Auto
(Daily Driver)
1991 Range Rover CSK No. 98
(Toy)

thanks for the info everyone

I do around 16,000 miles a year - so over 2 years that is 8,000 miles over the 24000 limit set - which with my maths equates to £960.

I might nip into a dealer over the next few days to see how the sums might add up....just never really thought of one of these types of deals.

It is a great deal, allows you to buy a car and only pay for 60% of it! I've used the deal on my previous RR Sport and now my new FL2. On the RRS, I used my Disco 3 as a deposit (£28K) and drove off in a brand new £50k+ car with nothing extra to pay. Chopped in my RRS 8 months later with no penalty or trouble. Very simple and straight forward.

Buy the miles first, it is cheaper. However if you part ex the car before the agreement ends (best way IMHO) the dealer will just value it like any other part ex. If you have gone over the miles it will be reflected in the valuation, but you won't need to pay the finance company the extra mileage etc.

Do it while you can. Yes, if you pay cash the car will attract a bigger discount as the interest you would pay on the money is still paid to the finance company, except by Dealer/LR, but you are still quids in IMHO. 2010MY Freelander 2 HSE Auto
Santorini Black with Ebony Napoli Leather

Correct me if I am wrong but the way I understand it the excess mileage only kicks in if you hand the vehicle back. If you intend on keeping it then you only pay the outstanding finance.
You also need to be aware that there could be an excess charge when handing back relating to the condition of the vehicle.

SEMPTIE wrote:

Correct me if I am wrong but the way I understand it the excess mileage only kicks in if you hand the vehicle back. If you intend on keeping it then you only pay the outstanding finance.
You also need to be aware that there could be an excess charge when handing back relating to the condition of the vehicle.

Very interesting thank you - I'll do a wander into a dealer on Friday