I'm old school - strictly cash only - hate any form of monthly payment.

 

Likewise - I Like to buy outright myself usually buying an end of model car orl heavily depreciated (usually end of model) nearly new  car. Lastest car was a 14 month old Superb II bought as the Superb III was coming out last year - cost £10k , was like new!

 

Also doesn't appear on your credit file

 

I've done this for years to support a high mileage commute and have kept purchase / capital costs to less than £100/month 

Edited 17 January, 20179 yr by bigjohn

Does handing the car back at the end of the PCP period result in a marker on your credit rating? Not terminating the agreement early, merely choosing not to exercise your option to buy?

 

Definitely not. Paying the last monthly payment and handing the car back (assuming there are no further charges such as damage, excess mileage etc.) means you've completed the finance deal. Having the flexibility to buy or to not buy the car is one of the perks to be enjoyed with a PCP.

 

VT'ing a PCP doesn't directly affect your credit score either, it is simply noted that you've VT'd. Some lenders may use this marker as part of their consideration on future borrowing but it is highly unlikely unless you do it regularly.

Edited 17 January, 20179 yr by silver1011

I'll have to go for mad, you're essentially turning down free money :D

 

I don't like being in debt either, but stashing the value of the loan in an ISA and taking the 0% finance was an easy choice in this case. Especially as they gave a deposit contribution if you took the finance.

And the free servicing.