This is a personal question - finance always is! But given depreciation is different on different models/makes of car, how much of the total price of your Superb did you finance?? What I mean is how much of a buffer have people built in between the amount financed and the new cost of the car?

Just curious as I am still to sort out my finance for my car to be delivered at the end of the month. I know other factors influence this decision - i.e. price of your trade in/cost to change and also personal money that you put in. Not being nosey, just interested as I ponder the options.

Pasty

Always tricky asking questions about finance and always very dependent on an individual's own circumstances. For me, I limit any finance I require to 50% of my annual salary, then spread that over the term. Don't know why, but I feel that's about right for me. I then save up the rest as a deposit. For the Superb, I put down a total deposit, including my part-ex, of about 22%, which is based on the fact that I saved over 10% on list price at the time of ordering (plus that was before the vat and rrp increases). I buy my cars to enjoy them, so I don't dwell too much on depreciation compared to finance. Hope this helps.

Appreciate your time to annswer, thank you.

The purchase of my 170CR Elegance Combi is a little steep for me this time as my merc 200k has lost so much money over the past 3 years because of changes in 'green' taxes here in ireland. I paid 40K for the car three years ago and it is now only worth (best trade in price) 15,000. Could probably sell it privately for 2-3k more, but private buyers are currently thin on the gournd. Eye watering stuff really. Without the green tax changes it should have been worth nearer to 20+k after three years. So my math is not good for this purchase. The whole Merc buying experience, has left a bad taste. The green tax thing aside (which is not Merc's fault), everything on the Merc costs. From servicing to tyres to small maintenance work. I want to get back into a quality, easy to live with car and the superb combi is a good choice. I am just going to have to swallow a hefty finance amount to realise it this time. :(

Oops, double post

Edited 4 May, 201115 yr by Superbalicious

Hi Pastyp,

blimey, the Merc is not doing itself any favours and tbh we were also looking at a Merc (but the E-class) before deciding that the Superb was the better choice & I'm glad we did! All the extras on the Merc, the servicing costs, tyres, insurance all add up & yes the initial outlay plus deppreciation & these "running" costs do make it very expensive (by comparison).

Its hard to say but I would have probably decided to keep the Merc for a few more years, the depreciation impact is lessened. We intend to keep our Superb for at least 6-7 years (I'm hoping nearly 10)... during which time we would save up a little every month - as an idea... assuming youu have a flexible mortgage, can you over pay by... 50 or 100 (£'s or €'s per month) (during which time you also save interest costs) you could then after eg. 8 years take back about £10k that you have over paid & use that plus the part-ex for your car. It is saving up but as it "sort of goes towards the mortgage" its not as obvious & its then a "Brucie Bonus" towards the next car, about 50% of the car is then paid for.... that's what we did.

Again... its all down to everyones personal situation, but (& I honestly don't wish to preach) if we can we should all try to spend money when we have it, not before... in the current economic climate I'me sure a few of us are worried about our jobs (I am) so the less debt the better. Its difficult, no arguments there but I know I think a lot more about what I want & need than I ever used to... its tight & is going to get tighter!

Sorry to be a manic depressive... but it will get better again! might just take a wee while.

Regards

Stef

Trade in value then cash balance, fortunately always been in a position that finance has not been needed, not rich or trying to boast just trying to give an honest answer. I then invest each month what I would pay for finance. Now on third Superb first two held their value really well, looked at a Jag this time but decided to have another Superb.

My Superb is a work lease car so finance not an issue in the sense you mean (but did consider bik tax co2 etc).

We have just bought another Yaris for my wide and have financed it. we were going to put a cash deposit from savings of about half the value and borrow the rest. Toyota finance apr was about 9.9. Comparison sites gave best apr of 6.9 for loan over £7500. meant over the term we would pay back less in payments an interest than a £5-6000 loan at 7.9 apr from same lender. We buy our cara to keep for 7-10 years, other than my lease car so changed the funding arrangements to borrow more than we intended but with cheaper payments than budgeted for and with more cash left in bank.

As a general rule of thumb, if you leave a 10% deposit and pay the rest on finance over 3 years it will take around 20 months until you reach the point where the car is worth more than the outstanding finance, over 4 years it will take much longer. The number of payments will vary depending on personal circumstances and APR.

I like to PCP a car, so deposit, monthly payments and an optional final payment I have little intention of making.

I try to part ex and put down a third of the new cars value, so that is finance free and so costs what it costs, you then finance the payments and the optional payment at x% apr.

The bigger the deposit the less you pay in interest, and if anything goes wrong your closer the the point where the cars value is more than you owe to pay it off.

I get a company car payment towards the car, and if that stopped for any reason it would be bye bye nice shiny car.

You don't get tied in either so you can start shopping around 6 months before the end of the term, get Skoda to pay off the finance and keep any cash left in the part ex to start again, that way you can wait the 3 - 6 months it takes from order to delivery with your old car. Thats exactly what I'm doing right now.

H