Octavia finance offer

[Lung]

Hi All,

I'm looking at buying a new Octavia (1.2 SE) very soon, and the finance deal looks very interesting. I would normally buy it outright, but 3 years servicing for free sounds too good to pass on. Does anyone know the T&Cs of the deal? Could i take out the finance and then pay it off straight away, and still get the 3 years servicing?

 

Also, I've been reading this forum and the lead times on new Octavias is rather worrying. Does anyone know the current best estimate for a 1.2 SE?

 

Thank you.

[ednmra]

I just bought the 1.4 on the 3 year, interest free deal. The salesman actually said (in his opinion) there is no point in paying it off early, since you don't save anything, and the cash you use could earn a little bit of interest in the meantime.

 

The 3 year free servicing is nice (I think mileage is limited though - 10K a year max?) I only do 7K a year.

Also  3 years free AA cover, and no road tax first year, on my model anyway.

 

I couldn't see anything in the terms to deter me. The initial deposit, all the monthly payments, and the final lump sum, added up to exactly the cash purchase prince.

[ajw1100]

Welcome to the Forum.

 

My wife and I have just done two 0% deals, we too could have just bought them outright either CarWow or Drive the Deal would be good places to start, however we had PX's and did not want the hassle attached so went to a local dealer. Both our PX's covered the maximum deposit of 30% of each Skoda so we will each get a cheque back for the difference between the value of our car and the 30% deposit on the new car. Now the balance owed can be spread over 42 months at 0% (The promotion seems to state 36 months but our dealer offered 42) If do not do the 10k miles then chose a lower milage as we found the monthly repayents reduced with a lower milage. This of course leaves a larger end payment. (But keeps more money in your savings)

 

Now, what rate of interest is available on your savings? So, why not use someone else's money at 0% and keep yours gaining what, around 1.75- 2%? Dealers will  not want to offer you anything in the way of further discounts, but we did push and got a small % discount and perceived discount in the way of goods.  A way to test your haggling skills..

 

As regards the Full T&C ask your dealer for them.

Use their money instaed of yours.

Interest free and free servicing for 3 or more years.

 

Or rob your savings and get a bigger discount.

 

Let us know what you decide as I am sure others will be asking similar questions.

 

I have just ordered an Octavia 1.4TSI DSG with delivery in March 2015!!

 

Your dealer may be able to source what you want or start phoning around.

 

Best fof luck.

[littleade]

As above it is the fixed service regime of 2 minor and 1 major service, 1 every 10,000 miles or 12 months which ever comes first and is 'worth' around £550. If you're not too fussed on adding extras you should be able to get some choices from the national stock if you don't want to wait, but the list of what's available changes all the time and you have to commit to buy before they can secure one for you. I did this with my mk2 1.4 SE+ but only had a choice of 2 colours at the time but it was on my drive within 2 weeks.

[Gibbonius]

It was suggested to me that once you have made 6 months or more of payments, you can pay off the finance and still retain the servicing deal

[airscool]

It was suggested to me that once you have made 6 months or more of payments, you can pay off the finance and still retain the servicing deal

 

I would assume this is correct, as it is a separate direct debit for the 'free' servicing which would also have to be paid of in full, so therefore you would have paid for it.

[kalpat]

It was suggested to me that once you have made 6 months or more of payments, you can pay off the finance and still retain the servicing deal

The salesman told me I would have to pay 3 months before I could pay it off & retain the free servicing deal - not true!!

After reading other forum members posts I signed up for finance & paid it off within the 14 day cooling off period. Before doing so I contacted Skoda finance & got a confirmation email that paying it off wouldn't stop the free deal. They charge a daily interest rate if you cancel within the cooling off period - I think it cost me £9. I have already had my first free service so it does work.

[73henny]

Always cheaper overall to use your own money rather than finance. There is no such thing as 0% finance. To work out exactly what the '0%' finance will cost you, get a quote for the car from carwow, then go to your dealer and see what the 0% deal will cost. I'd bet the carwow price is lower than the '0%' deal, and I'd bet the dealer will sell you the car for cash cheaper than the finance route.

That said, if you don't have the funds its still a good deal. 

[Yogi-Bear]

Always cheaper overall to use your own money rather than finance.

 

I don't disagree with this in most circumstances, but if you can make your money work to earn more over 3 years than the difference in price between buying cash and on the 0% deal...  Not easy in the current economic climate without taking a fair bit of risk though (or having a bit of luck).  25k of premium bonds, for example, could earn you nothing or you could end up a millionaire.  Betting on the stock market could earn you a massive amount given the volatility at the moment, but it could also lose you all your money.

[ajw1100]

You pays your money and you takes your choice.

 

It's what suits YOU the best at the end of the day.

 

This is an edited (£x.xxx) reply from a carwow dealer I received while checking the best offers that suited us:

 

 

Hi A,
Apologies in taking so long to get back to you but I'm really struggling to match what you've already been offered by your dealer. So far the best underwrite I'm been given for the Avensis is £x.xxx and £x.xxx for the Honda, and these were both from main Toyota and Honda dealers. If your local dealer has offered you £x.xxx and £x.xxx I would imagine that if they aren't discounting the new cars they are using their margin to give you an over allowance and make the part exchange values more appealing.
Either way it looks like I will not be able to match or better the offer you've already received I'm afraid.
Regards,

N.

 

IF I went for a cash deal I may have got around 8-9% off, spread over 3.5 years gives a saving of about 2.5%PA

 

I went for 0% & free servicing worth I think it was said at around £550. I did get a cash discount even with the 0% and free goods worth around £400 so overall my discount was less than the 8-9% but  still saved. The saving brought the % figure down and I have that covered by fixed interest in a savings account and should rates increase over the next 3.5 years that will only improve my finances while using Skoda's money for the car.

 

As is often said figures can be manipulated on many ways, usually to suit the seller!!

 

Decide what is best for YOU and then go forth and Haggle like Hell.

 

Good luck