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Discussion Starter · #1 ·
Currently in the middle of a PCP on my BMW 4 gran coupe. Enjoying saving £400pm on my car parking/train fare during wfh. When we eventually return to working in offices I don't want to lose all of that, so I'm aiming to be in the office twice a week, maybe 3 times max. One of those offices is wimbledon, the other is central london and both have parking if I can get the car there - so I'm considering an EV (I want one anyway, this may accelerate the decision)

I've mostly done PCP as it gives me the option to keep the car at the end (which I almost never do..) or terminate early (which I often do).

Leases seem fairly attractive but I've never done one. Only downsides I can think of is I don't get a choice to keep the car at the end and I have no way to end early. Which has me considering a Tesla loan - thinking the relatively high resale value should help offset the interest charges and give me more flexibilty should I need to ditch in a hurry.

Any thoughts?
 

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Depending on your lease company you can have the option to purchase the car at the end of the lease term so don't discount that route altogether. I bought my BMW 435d GC at the end of my 3 year term for £17k and then sold it 9 months later for £18.5k and got a Model 3 Performance instead. Win, win! :)
 

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Discussion Starter · #3 ·
will that be made clear by the company or will it be buried in the T&Cs somewhere? That could be a good option
 

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will that be made clear by the company or will it be buried in the T&Cs somewhere? That could be a good option
The lease company actually wrote to me a few months before the end of the term and gave me the option to extend my lease or buy the car. I guess before you go ahead and take a lease out have a chat with whoever you are planning to use and see what their policy is. The lease company for my BMW was Alphabet but they were no good for M3's - I went to Select for my Tesla. I didn't ask about the purchase option to be honest so I'm not sure if it's something they do...
 

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To hell with schlepping into the office after all of this. I'll continue to WFH as much as possible, thank you very much, even though my commute is now a very reasonable 5 minute walk, door to door ;)
As for which type of finance to take, I'd be looking at leasing. I'm driving a £75k RRP Jaguar I-Pace HSE for approx £600/month with only a £2k deposit, although this is a business lease rather than personal.
 

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I considered PCP as a reasonably affordable way to buy but was approved for a loan. It comes down to whether you want to keep it, and actually how much you really want the car. Buy/loan has no mileage restrictions and is great if you intend on keeping, but if you want to give it back, look at a lease or PCP deal that fits your needs and mileage
 

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Up until recently I had taken out PCP deals on my last 2 cars but when looking to get a Kia e-Niro I opted for a lease deal. My rationale was that I did not want to own as have experienced depreciation and repair costs in my last owned car and did not go for a PCP which was far more expensive than the lease option. However there is no right answer as depends on what your own priorities are. You just need to do your homework and if you do opt for a lease then look at the good guides out there that explain what your responsibilities will be.
 

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Up until recently I had taken out PCP deals on my last 2 cars but when looking to get a Kia e-Niro I opted for a lease deal. My rationale was that I did not want to own as have experienced depreciation and repair costs in my last owned car and did not go for a PCP which was far more expensive than the lease option. However there is no right answer as depends on what your own priorities are. You just need to do your homework and if you do opt for a lease then look at the good guides out there that explain what your responsibilities will be.
That sounds very similar to my line of thought. This is my first full EV. I'm treating it as a trial run so I wanted a relatively short agreement term. Leasing made the most sense for me.
 

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Discussion Starter · #9 ·
That sounds very similar to my line of thought. This is my first full EV. I'm treating it as a trial run so I wanted a relatively short agreement term. Leasing made the most sense for me.
this seems a sensible approach and how to see it. Also my history so far has never kept a car after a PCP so would just be additional cost each month
 

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something to bear in mind is that up until 2019 PCP was often used as a sort of tax avoidance scam where they could provide what was in effect a lease (as you would never keep the car at the end due to inflated valuations) but not have to pay any tax. This is one of the reason some PCP deals seemed way too cheap. Mercedes took the pi$$ and HMRC put a stop to it, so now PCP is kinda what it should be, and the amount to pay off at the end should be closer to the value. This means bigger monthly payments, but a smaller end payment if you did want to keep the car. Leasing can be quite attractive especially with salary sacrifice options at some work places (although with places like the NHS you need to consider if pension contributions are calculated after the deduction or before)
I personally went with the loan option as I'm allergic to worrying about driving "someone else's" car and any arguments over curbed wheels, stone chips or scratches.
 
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