Yeti finance

[fireblade]

Looking to borrow £8000 on my yeti , what's the best finance deals? Been quoted £9200 that includes acceptance fee etc, any good? Oh btw you don't get free servicing with the 4x4 yetis supposedly when on finance.......

[Truthseeker]

Looking to borrow £8000 on my yeti , what's the best finance deals? Been quoted £9200 that includes acceptance fee etc, any good? Oh btw you don't get free servicing with the 4x4 yetis supposedly when on finance.......

You do on new ones!

[Macdemon]

What's the APR???

When Kitten & I purchased Ivor, we got finance at 4.9% typical (whatever 'typical' means)

[fireblade]

I've been quoted 7.5% apr , looks like I need to haggle........ He he

[jlwah]

What you might be able to do is take out VW finance in order to get the free servicing and then cancel within the first month and pay it off with a loan from a cheaper provider. A lot of people seem to be doing this on Audi's at present as the dealers are offering extra discounts to those who take out a PCP.

[Truthseeker]

"Typical" is the average rate charged on a loan. Someone who has a bad credit history will only be accepted at a higher rate, if at all. APR = Annual Percentage Rate

[fireblade]

My credit rating is perfect, I've been paying vag finance since 1994, so I should get a lower apr.

[LeeHarrison]

I am not a financial consultant nor can tell you how APR is calculated but will try to clarify a couple of points.

VWFS do not do 'rate for risk' - poor credit rating = higher flat rate.

All agreements are fixed base rates, top of my head is about 3 - 3.5%.

The typical APR is an average taken over (say) 100 quotes, therefore this will vary from car to car.

The APR will also vary depending on amount borrowed and agreement term BUT the base rate will still stay the same.

There is NO free servicing on 4x4 Yetis though.

Hope this sort of helps, but one last pointer, ignore the APR and just look at how much you pay back over the same term with a bank or personal loan.

[mbrock]

You do on new ones!

4x4 models are now excluded from the free servicing - although we managed to get it after having a rant at Skoda UK as (i) the restriction was applied after we'd ordered the car and (ii) it wasn't highlighted on the website. It is now:

http://www.skoda.co.uk/gbr/finance/offers/low-rate-finance/low-rate-finance-examples/Pages/LowRateFinanceExamples.aspx

[jaxx007]

What you might be able to do is take out VW finance in order to get the free servicing and then cancel within the first month and pay it off with a loan from a cheaper provider. A lot of people seem to be doing this on Audi's at present as the dealers are offering extra discounts to those who take out a PCP.

Sorry for bringing this back up but are there any charges for paying off the finance in the 1st month. I just bought a used 11 plate but they said it's on black horse finance. But a loan APR would be lower for me.

[mannyo]

IIRC, you have a cooling off period with any financial product so can settle it without penalty in a short time frame.

[BossFox]

Depends on the financial product information you were given when you took it out, but it's usually something like 14 days cooling off period.

[jaxx007]

So I should hopefully be able to call the finance company and settle the balance with little or no penalty. I'll have to give them a ring tomorrow for a settlement figure, or do I have to do this through my dealer?

[jaxx007]

JUSt checked my paperwork, I have 15 days to pay off in full and only pay £1.80 a day interest. Should only be 13 quid charge hopefully. I'll be phoning them tonight after work or tomorrow morning if they're closed. Thank you very much for the advice bossfox. :-)

[jaxx007]

A quick update, I called the finance company, cleared the finance and only incurred about £9 in interest charges. Thank you again for the advice :-)

[dr_goal]

Jaxx007 and others,

Sorry for reviving this thread (in case it is dead) - but I need to decide quickly now whether to go for finance (offering free servicing) or not. I don't need the finance as such, but the Dealer seems very interested/determined to offer it... Unfortunately, they are reluctant to show any Terms and Conditions for the deal, and suggest to sign it first, "and cancel that later if you want"... Are there any other charges involved, except interest, if one takes Finance and then cancells/pays it off within couple of weeks, like some acceptance fee, settlement fee, etc? Will the "free servicing" deal still work in this case? Is there any "minimum term" for which the loan should be held to qualify for free servicing? Many thanks!

Maybe there are other threads on this forum relevant to this? Can't find this info yet...

Goal,

soon to be proud owner of Yeti 1.2 TSI SE.

[33q]

Never sign anything without reading and understanding all the detail. If the dealer bus being coy he either has something to hide or something to gain.

Free servicing using finance is perhaps a good deal. Mine's 4wd so wasn't an option b

[angrybeard]

Always read the terms and conditions, my dealer emailed me all the documentation for me to look at before I decided to go ahead.

Sounds like a bit of pressure salesmanship, say you don't like it and use it as a tool to get a bit of an extra discount on the price...

[Llanigraham]

Jaxx007 and others,

Sorry for reviving this thread (in case it is dead) - but I need to decide quickly now whether to go for finance (offering free servicing) or not. I don't need the finance as such, but the Dealer seems very interested/determined to offer it... Unfortunately, they are reluctant to show any Terms and Conditions for the deal, and suggest to sign it first, "and cancel that later if you want"... Are there any other charges involved, except interest, if one takes Finance and then cancells/pays it off within couple of weeks, like some acceptance fee, settlement fee, etc? Will the "free servicing" deal still work in this case? Is there any "minimum term" for which the loan should be held to qualify for free servicing? Many thanks!

Maybe there are other threads on this forum relevant to this? Can't find this info yet...

Goal,

soon to be proud owner of Yeti 1.2 TSI SE.

I'd point them in the direction of the various Credit Acts and ask them how long they want to keep their licence. They are required by Law to let you see them first.

[speedsport]

Jaxx007 and others,

Unfortunately, they are reluctant to show any Terms and Conditions for the deal, and suggest to sign it first, "and cancel that later if you want"...

As Graham says, this is an illegal practice under the Consumer Credit Act and any contract signed on this basis would be unenforceable,

If the trading standards dept of your local authority became aware that the dealer was acting in this manner, this practice could result in the dealership losing its licence to offer credit.

NEVER, ever sign a contract that you haven't had ample time to read, understand and agree to.

The bottom line is that new car sales don't make that much money for a dealership. The real profit is made on subsequent servicing, and the sale of add-ons which include finance (they get a kick-back from the finance company), and paintwork treatment systems (like Autoglym Lifeshine).

The dealer is that keen to sell finance quickly before you change your mind. As we are not near a month end, if the finance deal is available today, it'll still be available tomorrow once you've had a chance to read the small print.

Have you asked for some extras, like mud flaps & mats? Be cheeky, it usually pays off!

Good luck!

[dr_goal]

Thanks for advice and support! I have decided indeed to get all the detailed info first, before deciding/signing/committing.

I suspect though they will want to first take all the financial details from me to run credit searches etc, and only then reveal some "T&C" info.

Looks that it is not the Dealers's policy, but of Skoda/VW Finance - otherwise why they don't publicise all the T&Cs on the Web, and clearly list all the charges in advance - eg arrangement fees,settlement charges etc... Or the procedure/consequences for early repayment.

Actually, I find that my Dealer was very good and pleasure to deal with, I got a nice discount off them as well, for which I am very grateful. Dealers can match or even beat DtD price, amaising!

[Truthseeker]

Nothing to worry about with VAG Solution finance. Have used them in the past with no problems, and am using on my current Yeti, and on new VW Up ordered for my wife. On my VW California I paid off the loan early, because I sold privately before the 3 years was up and got a good early settlement figure. The only charge worth mentioning is a £60 fee when paying the final balloon payment (clearly explained). Also I have recently found out that the finance company is actually owned by VW themselves (essentially loaning their own money), so there should be no worries about sharp practice.

[scottpcs]

Sorry to resurrect a relatively old thread, however, I too need clarification on a couple of points raised here.

Firstly, I don't need finance to buy our Yeti but my dealer says it's the only way he can do the deal I proposed to him. I should note here that I planned to take the finance anyway just to get the 3 years servicing.

Secondly, after scrutinising the terms and conditions, I note that you can pay off the finance agreement within 14 days with no penalty except for £3 odd per day accrued interest.

The question is if I paid off (cancelled in effect) the finance within 14 days, would I get to keep the 3 years servicing? If not then what's the best way to play it as my dealer told me 6 months minimum number of payments before I can cancel. There's no mention, however, about any minimum number of payments in the T's and C's?

[33q]

At the time of my purchase in October 2012 the free servicing for 4x4 was not available, only on 2WD. My dealer said it was possible to pay the finance off within days and still keep the free servicing.....had the option been available. I too didn't need or want the finance but I would have taken it to get free servicing.

[scottpcs]

There's no mention of any exclusions now on the Skoda website except Octavia Connect models which told me the 4 x 4 Yeti is back included.

My dealer also confirmed to me that the 4 x 4 is indeed included in the deal once again and that Skoda review the exclusions every quarter.

For anyone that's ever taken one of these offers and paid the finance off within 14 days (or whatever your cooling off period was) - can you confirm whether your offer was honoured or not?