How did you buy your car: cash, credit, or lease? If first 2 options. How long are your planning to use the car (years) before selling it?

I bought mine for cash (used first hand).

 

It's common to buy car in Croatia. Mostly companies use leasing. So I'm wondering how is practice in other countries in Europe?

I am sort of under impression reading briskoda lots of UK owners have leasing rather than buying a car? Setting lucky ones with company cars aside.

 

In Croatia it's really not affordable to privately lease a car. The average income is to low.

 

In the UK and here in Switzerland it is common to lease a car.

You pay a small percentage 10% or 20% upfront and then a monthly cost over 2 or 3 years depending on a fixed the yearly mileage.

You are usually guarenteed a future value for the car, so provided you keep it in good condition, you just give the car back after the time.

 

The UK in particular is a very "credit" driven country.

Many people live completely from credit.

Banks & money lenders are quite irresponsbile & will lend much more money than people can afford.

If your income covers the interest (read this like profit for the banks) they will give you the money.

PCP...very affordable monthly but as the O3 (in the UK at least) depreciates v badly unless you put a big deposit in, you stand to find yourself in considerable negative equity v quickly.

Has rather put me off of PCP'ing another Skoda.

I'd probably look to do a shorter term personal lease next time...if there is a next time.

I paid cash and achieved an 18% discount. Plan is to keep 5 years and evaluate from there. In reality I might end up in the new superb if they can tempt me before then.

Edited 2 December, 201510 yr by Stuski

I have always bought my cars outright with cash or using a personal loan.

Six years ago I purchased a new Octavia VRS with a part exchange and 0% loan from Skoda.

Two years later I changed it for a same age Superb, straight swap.

I have now just got a new Octavia 3 and for the first time I am using it on a lease.

£1800 deposit and 35 monthly payments of £200

At the end of the 3 years I will then decide to either buy the car from Lex Autolease or hand it back

I bought my cash 14 plate elegance 1.6tdi with dsg plan to keep it till it falls apart

I bought my cash 14 plate elegance 1.6tdi with dsg plan to keep it till it falls apart

I bought my cash 14 plate elegance 1.6tdi with dsg plan to keep it till it falls apart

 

This is my plan 2 lol, or I will sell it to my parents 5 years from now if I will have good financial situation. Theirs Peugeot is getting old it's 10 years old now still serves well. Last car they had for 16 years.

In the UK and here in Switzerland it is common to lease a car.

You pay a small percentage 10% or 20% upfront and then a monthly cost over 2 or 3 years depending on a fixed the yearly mileage.

You are usually guarenteed a future value for the car, so provided you keep it in good condition, you just give the car back after the time.

 

The UK in particular is a very "credit" driven country.

Many people live completely from credit.

Banks & money lenders are quite irresponsbile & will lend much more money than people can afford.

If your income covers the interest (read this like profit for the banks) they will give you the money.

 

Credit was a trend in Croatia before crisis and then lots of people were living above affordable. After losing jobs they lost the cars. So most learned a leasson. Same reason people dont lease cars. You don't have enuf money to pay for it or it's too risky if you lose job and lose the car. When you save money and buy the car it's yours.

Today som research shows Croatians buy today cars with cash for the most part and some with credits and only minority take lease. Companies take lease 100%.

Cash & built to order, & plan to use it as long as I had my MK1 Fabia (also cash new)..........14yrs!!

I'm lucky enough to have a new GTD 5 door manual as a company car......as lovely as it is I know for sure no chance in hell would I go and finance myself towards the thick end of £30k just to have one. Its good but its not £28.5k of personal finance over 3/4 years good.

If I have to relinquish it....Im contemplating spending a few K on a cared for lowish mileage Mk5 GTI 5 door....mapping it (maybe going stage 2/2+ if finances allow) and just running it until it starts costing me serious dough or packs up altogether. For what id stand to pay out and lose on a Mk7 GTI/GTD i could probably finance a couple of such cars :-).

Really Id like an Edition 30 or Pirelli KO4 turbo'd car as a simple map gets youro 310/315hp (as its an S3 motor) but they really do fetch a premium now and not the sort of car Id want to knock the carp out of for day to day use.

You cant win either way really, I love cars but new/old they are a mugs game and just cost money. The bad experience of being so hammered by my mk3 Octavia has made me seriously rethink what to do next time around.

Edited 5 December, 201510 yr by pipsypreturns

Just contract hired mine...small deposit in, a monthly payment I'm comfortable with, car gets handed back at the end of 3 years, and no need to worry about depreciation.

Only downside to it is that you're stuck in the agreement for 3 years (or however long you choose).

Just contract hired mine...small deposit in, a monthly payment I'm comfortable with, car gets handed back at the end of 3 years, and no need to worry about depreciation.

Only downside to it is that you're stuck in the agreement for 3 years (or however long you choose).

Contract hire does seem to be a fair bit cheaper than pcp at the moment.

Cash ex demo plan to keep 5 years or so

Credit was a trend in Croatia before crisis and then lots of people were living above affordable. After losing jobs they lost the cars. So most learned a leasson. Same reason people dont lease cars. You don't have enuf money to pay for it or it's too risky if you lose job and lose the car. When you save money and buy the car it's yours.

Today som research shows Croatians buy today cars with cash for the most part and some with credits and only minority take lease. Companies take lease 100%.

Lovely country, been to Tucepi on the Dalmatian coast a few times, had a few Ojusko's.

Cash ex demo plan to keep 5 years or so

Same here, though I'm hoping for nearer 10 years.