Hi I'm looking at possible buying a new multi on pcp scheme. On the face of it looks good and the ability to change every couple of years for new bike, so I'm told by the dealer. anyway the deal I've been offered is trade in price of £7000 for my two bikes I'm looking to sell which will be my deposit. Then it's £75 over 37 months with a balloon payment of 8300 I think it was. now if I just gave the bike back at the end do I get any money back for the pavements I've made plus deposit or would I basically have just paid the 3 years of finance and woud get nothing back. i sort of understand the above of I'm correct about getting nothing back. the bit that's confusing me is the changing to a new bike bit. The dealer if I understood him correctly said that on the multi at the end of the three years it would still have good value in it and I would basically use it as a px against a new bike and still pay similar pavements. Is that correct and how does that work because if as above I essentially have just paid off the finance and not touched the balloon pavements how do I the have any px value in the bike? thanks.
You buy a bike that's 16k and you arrange to do limited mileage in three years, say 9000 miles, then the dealer/market will guarantee the price of that bike, say 7k. This 7k then becomes your deposit for the next bike and you just continue paying monthly installments again for another three years etc. The dealer will then take your bike (the one you've just traded in) and sell it for 8.5k for example. The PCP deal is good if you want to change bikes and let be honest who wouldn't want a new bike every three years. No MOT problems, simple services, probably only have to buy one set of new tyres.
Have just signed up to do this on an 848. The balloon payment is the minimum value. If you don't take up the bike at the end you hand it back and no money changes hands. But the minimum value is set quite low and therefore in theory at the end the bike will be worth more than the balloon payment and so you can start a new agreement with a bit of equity there for the deposit (value less balloon payment)..... On the 848 Corse its £5900 I think. A 3 year old one should be worth more than that one would hope....
I always think these things make far more sense with small deposits. That way it's like taking a traditional loan; you start with nothing, get half way thru paying it back, decide to sell and get enough cash to clear the balance. So in affect you've just paid the depreciation so far and built nothing up. A large deposit means you are front ending your depreciation and sinking all that money day one. Am thinking about doing this on a multi as the int rate is so low at the mo
ok thanks for all the info. I think I understand. I guess I could always not put one of the bikes into the fijance and that way would still have cash back but would be paying more each month. It's the thought of trading two bikes then effectively having nothing after three years or show for it or do you think with market values of multi and they are holding money that I would have a bit of cash left in the bike
Too many choices. Thought I'd done well to talk myself out of a panigale lol and decide on just the one bike
If you don't mind the hassle and can afford the repayments, then selling your bikes privately and taking out a straightforward loan to fund the rest will ultimately be cheaper than anything offered by the manufacturer - take a look at moneysupermarket.com or similar. Just shop around a bit.
Hi all, since I have a log-on here and do sometimes take a look around, this seemed like an invitation to post a shameless plug! We have some TriOptions PCP deals going on at the moment with relatively low APR and payments. The link is here, or go in through our front page at Official Site Ducati UK - Bikes, Equipment, Accessories, Racing, Company, Dealer : Ducati - Ducati launch a new TriOptions Finance Deals I'm always nervous about FSA rules so I'll remind you that you need to judge these deals yourself and probably ask questions of someone who is FSA approved!! Tim Maccabee Ducati UK
As with any finance deal - ask youreslf one question : is the dealer going to give you anything that's costing them money ? As they say on The Real Hustle - "anything that looks too good to be true probably is". Obviously it's a good deal for some people, but not everybody...
For me too much to resist. I was paying £90 a month on the HP for my 7 year old bike but with this PCP my bike is the deposit, I pay an extra £35 a month for a Corse SE. Balloon payment at the end but no way will it be worth less than £5900 after 3 years. And the mileage limits on it for 3 years is 18,000 miles which is way more than I will do....
Wouldnt it be great if by being a Senior Member on here you were eligible for a Ducati discount. You know, just putting it out there for consideration :wink:
2010 my of similar model are what, 8500-10k at the mo? Of interest, whats the annual mileage restriction?
Depends, if he goes the large deposit route the bal is only on <3% apr and even with the int due on the balloon it may work cheaper. The prob with a loan is the repayment will be twice as high pm, in which case may as well see what ho deal can be done with dealer (which tbf is likely to be way above loan rates)
Everyone has to make their own decisions. PCP's are right for some and not for others. After a rough few years with the health of family and friends, i now take the view that today is more important than next week. Some people don't even make next week so if you have something in life you want to do and can afford it, then why not.
if its good enough for a bean counter..... going to see if I can get on with a multi. Thinking I really want to race next year so initial thought is 848 goes, replace with Multi or something I can crunch miles on anytime, and get far cheaper gixxer thou or similar for smashing to pieces racing for mid pack mediocrity. Just think it will be too tall...I loved my GS and if it had 150hp I'd probably have kept it
never got chance to ring today but stuck my gs on ebay and had an offer of 2800 already so that 300 better already. if i can squeeze a little more out of it then i think ill get a termi on at same time for cash and use the 7k as deposit. still need to clarify exactly how the new bike in 3 years bit works as thats the bit thats holding me back at the moment
