BMW 2 Series Active Tourer - Part Exchange at start of PCP deal

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Sat 4 Apr 2015 15:54
BMW 2 Series Active Tourer - Part Exchange at start of PCP deal - arlowood

Hi there

Considering splashing out on some new wheels and have seen several attractive PCP deal offers. However to save any hassle I would like to part exchange my current car at the start of the PCP arrangement.

The deal I am most interested in only requires a deposit that is about 2/3rds of the approx part exchange value of my current car.

Having read a little around the PCP subject I understand that the Finance Companies will not accept deposits greater than a specified figure.

My question is - How will the dealer handle this disparity. Are they allowed to massage the figures to either reduce the monthly payment or change the Guaranteed Final Value?

Or will they offer some sort of cash payment of the difference?

Or will they try to persuade me to upgrade to a car where the deposit matches the value of my part exchange?

Does anyone have any first-hand experience of this kind of thing. Or does anyone from the industry know how it would be dealt with?

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Sat 4 Apr 2015 19:51
BMW 2 Series Active Tourer - Part Exchange at start of PCP deal - Happy Blue!

Having read a little around the PCP subject I understand that the Finance Companies will not accept deposits greater than a specified figure.

Is this correct? Surely the PCPs advertised are based upon minimum deposits and maximum GFVs to reduce the headline monthly outgoings. You could put a larger deposit down and pay a lower monthly fee even with a lower GFV.

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Sat 4 Apr 2015 21:22
BMW 2 Series Active Tourer - Part Exchange at start of PCP deal - Falkirk Bairn

You could take the overage in the trade-in as a cash rebate!

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Sat 4 Apr 2015 21:46
BMW 2 Series Active Tourer - Part Exchange at start of PCP deal - leaseman

If your part exchange is worth a lot more than the required initial payment, then the monthly payments are going to reduce significantly, and, when it comes to changing cars next time, there is a risk that these monthly payments will rise dramatically. and all Finance Companies are afraid that this would be (mis) reported to the FCA who took over compliance duties on consumer credit last year.

My simple advice; Sell your swapper to a web-site buyer, so you are in the pound seats. Pay the required minimum deposit and enjoy your new car.

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