Hi all,

 

My wife and I have cars on PCP.  Hers is up for renewal but the cars we like (Rapid Spaceback and Yeti) come out too much on a PCP for us.

 

I've looked and leasing seems much cheaper.  We're not bothered about not owning it at the end.  Her current car (Hyundai i20) has a negligible amount of equity in it anyway.

 

Somehow it seems too good to be true though.

 

A Rapid Spaceback SE Tech on PCP with £800 deposit was coming out about £230, obviously the Yeti is a bit more.

 

A Yeti SE L on lease can be had for about £600 deposit and £185 a month (that's including VAT) from a dealer offering VWFS/Skoda PCH.  The 4x4 L+K (dream car!) is a smidge over £200/month with a smaller independent lease company.

 

I know the usual "make sure you can afford it before signing up for any finance" applies.

 

But from those that have done it, are there any pitfalls?  I don't want to get caught out.  Is it more expensive to insure a leased car?

 

Is there any reason going through a smaller lease broker would be a bad idea (instead of a Skoda dealer offering PCH)?

 

 

Thanks!

So very quick answers to your post-

Yep, you never own the car - you knew that!

Be very sure you want & can afford the car for the total lease period. They are not as easy or economic to end early.

Insurance is not more expensive, you just decare the lease / finance company as owner / reg keeper. You may find a few (& I mean a few) won't provide cover on this basis.

Smaller lease companies are fine, just check reviews & any hidden admin charges.

Also check excess mileage charges, they vary a lot. Sometimes its cheaper to get a higher mileage lease, sometimes it's cheaper to get a low mileage lease & pay the excess. So get your calculator handy

Check what's included, most pay the VED, but not all. Some offer maintenance packages, which can be very competitive & include tyres.

Options are usually charged at cost (& spread over the lease), so can be costly. Quite often better to choose a higher base spec.

HTH

Thanks, that's really useful.

 

Especially the bit about options.  The two things she really wants are cruise control + nav.

 

If nav is list price to add on to an SE, it makes it more-or-less the same price as the L+K which comes with nav as standard!  And the L+K has tonnes more beside, like 4x4, heated leather and panoramic glass roof.  Seriously tempting.

 

The independent is Jet Vehicle Finance.  Couldn't find much about them except an old thread on here which didn't say much.  They are a broker member of the BRVLA.

Thanks, that's really useful.

Especially the bit about options. The two things she really wants are cruise control + nav.

If nav is list price to add on to an SE, it makes it more-or-less the same price as the L+K which comes with nav as standard! And the L+K has tonnes more beside, like 4x4, heated leather and panoramic glass roof. Seriously tempting.

The independent is Jet Vehicle Finance. Couldn't find much about them except an old thread on here which didn't say much. They are a broker member of the BRVLA.

I've heard of Jet, but can't give any 1st hand experience.

A few companies I use to compare prices -

http://www.centralukvehicleleasing.co.uk

http://www.frontiervehicleleasing.co.uk

http://www.gateway2lease.com

http://www.freedomcontracts.com

https://www.selectcontracts.co.uk

http://www.nationalvehiclesolutions.co.uk

http://www.leaseplango.co.uk

A good comparison lease website-

http://www.contracthireandleasing.com

Another thing to remember with leasing is that the cost is fixed provided the car is returned in good condition (fair wear & tear). A lot of people have been caught out returning their cars with scratches & dings and being surprised at getting charged for them. I don't have a problem with it, & TBH if you look after your cars anyway then you should be OK.

Copy of the BVRLA fair wear & tear policy (may not be the latest)

http://www.knowlesfleet.co.uk/Documents/FWT/lexFWT.pdf