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I expect this has been well and truly covered but cant find it on the forum. Is there a concensus on battery leasing v ownership? I hate being tied into a third party on the leasing side but I can see the argument that if I sell it in six years with an owned battery it will possibly substantially devalue it. Would value your opinions.
 

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Discussion Starter #3
Expected as much! 7000 miles a year means i would have paid for batteries after 6 years so who is going to buy a car with only 2 years of guaranteed battery life?
 

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or is the question, who when paying back a car loan for a 2nd hand car is going to be willing to pay more a month for the rental of the battery than they are for the car itsself?
 

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Yeah, there is definitely two camps!

Dealers (and most people here) advise that (especially now car costs more) for lower mileage (7500 a year) rental will probably work out cheaper but at high end (15,000 a year) battery owned is better.

In the middle is more grey because nobody knows what either Zoe will be worth in 3 or 5 years time, so whichever you choose is a crapshoot! Don't use Zoe 22kWh to predict as battery owned are very rare, whereas there are far more ZE40. Also, the market will change a lot in next 5 years.

Personally, I chose battery rental because I could afford to pay for the car (once I sold Ampera) and just pay the battery rental each month. However, over the 3 year rental I will average 6K year as Zoe will be 2nd EV once Model 3 arrives. I expect to keep 5 years but will time my sale based on market conditions, just like with Ampera (which I had expected to keep longer).
 

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I would say their isn't a right answer and @proddick is fair to say about the miles verses renting. We do 13 K miles and intend keeping the car for a long time and batteries seem pretty reliable. Also Renault do use active cooling on the Zoe so might be more durable than Nissan and no one worries about battery ownership with them. If I was purchasing using a short term lease then the answer would be just go for the cheapest. Otherwise go with your gut instinct and don't question it later.
As a side note we are very pleased with the ZE40 Q90i we own and its about to take us on a 600 miles round trip this weekend which it will easily do.
 

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Agree with the above, but also need to factor in time, not just mileage. Longer the duration and higher the mileage, the more likely it is that a battery owned model makes more financial sense.

For me anything above 3/4yrs or >7,500miles is firmly in the battery owned camp. Even if it does turn out to be marginally more expensive, at least you can benefit from unlimited mileage and could even look at repurposing the batteries for home storage?

All a bit moot though as I would not consider buying either model at their current new prices....I don't see any value in new cars generally...!
 

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Discussion Starter #8
Ordering the signature R110 40kw. Price seems very good so I think will go for battery lease paying cash for the car. Hav'nt yet signed on the dotted line.............
 

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I expect this has been well and truly covered but cant find it on the forum. Is there a concensus on battery leasing v ownership? I hate being tied into a third party on the leasing side but I can see the argument that if I sell it in six years with an owned battery it will possibly substantially devalue it. Would value your opinions.
Here's the other side of the argument. The sort of demographic who buy a 6 year old car at the depreciated value will largely not be prepared to commit to an ongoing monthly battery rental and will run for the hills (or to a battery owned car) ;)
 

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Based on....?

Have you checked whether you get a bigger discount on PCP deal? Can then settle straight away.
Seconded, dealers will often offer big incentives for PCP based on the large kickback they get from the finance company. They might not like it when you pay it off after the first month, but it's perfectly legitimate to do so and might mean you get a large deposit contribution from the dealer :)
 

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Based on....?

Have you checked whether you get a bigger discount on PCP deal? Can then settle straight away.
When I bought (Dec 18) that was definitely the case, but I think cash deals have also been good recently. I paid 3 month payments before I settled, but I believe just paying the first month is OK.
 

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When I bought (Dec 18) that was definitely the case, but I think cash deals have also been good recently. I paid 3 month payments before I settled, but I believe just paying the first month is OK.
Yea cash deals were cheaper, but when I checked recently it seemed to have changed back again.

I got told everything from 1month, 3months and even 6months. I paid most of it off straight away and was going to let it run, but when I got a settlement figure it didn't suddenly go up £1000!

Couldn't find anything in my T&C's and hated paying any interest for money I don't need to borrow, so settled it in full the other day!
 

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Discussion Starter #14
I should also say that I have got £3000 scrappage which cant be used with other offers like PCP. The cash deal is much better than the PCP.
 

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Seconded, dealers will often offer big incentives for PCP based on the large kickback they get from the finance company. They might not like it when you pay it off after the first month, but it's perfectly legitimate to do so and might mean you get a large deposit contribution from the dealer :)
So does the dealer get penalised if an owner settles PCP early?
 

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So does the dealer get penalised if an owner settles PCP early?
It's not that they get penalised, it's that supposedly they get a bonus from the finance company for every car they sell using finance.

However the finance arrangement apparently has to be active for a set number of months before they get that bonus payment. So by settling it very soon after, they don't get the bonus. This seems to be anything between 1 and 6months...most quoted time scale I've seen is 3months.
 

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It's not that they get penalised, it's that supposedly they get a bonus from the finance company for every car they sell using finance.

However the finance arrangement apparently has to be active for a set number of months before they get that bonus payment. So by settling it very soon after, they don't get the bonus. This seems to be anything between 1 and 6months...most quoted time scale I've seen is 3months.
Yeah I figured this was what was meant when someone said dealers aren't happy with PCP being settled early.
 

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Yeah I figured this was what was meant when someone said dealers aren't happy with PCP being settled early.
Yes, they'll lose the commission payment. Personally I wouldn't care less, but maybe I don't have enough compassion for sales people ;)

Remember, for every canny type who might do this to them, there'll be 10 suckers who don't know how to negotiate who've over paid ;)
 

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Yes, they'll lose the commission payment. Personally I wouldn't care less, but maybe I don't have enough compassion for sales people ;)

Remember, for every canny type who might do this to them, there'll be 10 suckers who don't know how to negotiate who've over paid ;)
Sorry?
Everyone who doesn't buy themselves out of PCP quickly is a sucker...?
That's a bit much, many are just perfectly happy with the deal.
I'm not interested in taking out a loan to completely buy the car, not one little bit, even it would 'technically' save me some money long term.
 

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Sorry?
Everyone who doesn't buy themselves out of PCP quickly is a sucker...?
That's a bit much, many are just perfectly happy with the deal.
I'm not interested in taking out a loan to completely buy the car, not one little bit, even it would 'technically' save me some money long term.
I think he meant people who either pay more with cash straight away, or don't negotiate a strong discount to begin with.

But a PCP is a taking out a loan to completely buy the car, so I'm not sure what you mean by the last sentence? It's just a car loan with a different repayment structure.
 
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