[Jack@DriveElectric]

I don't understand the logic there why would anyone want to pay for 33 months use but only get the car for 24?

Hi Keith,

So with those lease prices you can pay a high upfront payment to make the monthly payments more manageable, as the large first payment deducts from the overall lease cost i.e. 9 months upfront. But you are right that ultimately you will pay the same amount for the overall lease cost regardless of the initial payment. We commonly advise lower payments but sometimes the larger advanced rental suits people better.

 

[Woodulike]

Hi Keith,

So with those lease prices you can pay a high upfront payment to make the monthly payments more manageable, as the large first payment deducts from the overall lease cost i.e. 9 months upfront. But you are right that ultimately you will pay the same amount for the overall lease cost regardless of the initial payment. We commonly advise lower payments but sometimes the larger advanced rental suits people better.

So would it work out the same overall cost of it was 3 months up front? I've haven't had a lease before but have had prices and thought it was cheaper to put down a bigger deposit. If there's no difference I would put down the smallest deposit possible.
Would the price be same same if it was a business lease? I might want to put it through my company but the bik rates for the next two years make it very close either way on buying outright, haven't run the numbers on leasing.

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[Orrery]

Hi Keith,

So with those lease prices you can pay a high upfront payment to make the monthly payments more manageable, as the large first payment deducts from the overall lease cost i.e. 9 months upfront. But you are right that ultimately you will pay the same amount ...

Doesn't it reduce the interest payments?

 

[Jack@DriveElectric]

Doesn't it reduce the interest payments?

Good question.

No because it isn't a purchase agreement like a PCP so APR rates and such don't effect the customer and it would be a flat lending rate between the funder and the bank. The overall price will fluctuate slightly by a few pence but the overall costing is actually the same.

 

[Jack@DriveElectric]

So would it work out the same overall cost of it was 3 months up front? I've haven't had a lease before but have had prices and thought it was cheaper to put down a bigger deposit. If there's no difference I would put down the smallest deposit possible.
Would the price be same same if it was a business lease? I might want to put it through my company but the bik rates for the next two years make it very close either way on buying outright, haven't run the numbers on leasing.

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Yeah that's right the overall costing will be the same.

Yes the Bik rates for the upcoming years aren't making business leasing as attractive (at least until 2020).

I (being slightly bias) would say that outright purchase in most cases for EV drivers aren't better than leasing. That being said if the mileage is high then outright purchase is probably the best route overall. With the market being as fast moving and developing at the rate it is, depreciation on these EV's will likely be quite high.

But if you find a car you like, suits your needs and want to keep beyond the length of a lease period to run for a long time then outright purchase. If you want to update when the next gen EV's come out leasing is likely the best route.

 

[donald]

It makes sense to put down the smallest deposit for most circumstances, however there are some situations where things like insurance are affected by larger monthlies, so in that case logic to put in bigger deposit.

For the lease via dealers (ALD leasing) there is a very small extra on top.

I don't understand the logic there why would anyone want to pay for 33 months use but only get the car for 24?

It's just the way the structure of payments works for leasing.

[£200/pm x (9+23) months]/24,000 = 27p/mile
[£200/pm x (9+35) months]/36,000 = 24p/mile

The longer you have one the cheaper the p/mile is. Mine is 4 years and works out at 20p/mile. It's just arithmetic after that.

 

[fishpond]

Hi

Hello everyone,

We have been fortunate enough to renew this rate until the new year so please don't hesitate to get in touch with me if you are interested.

All the best!

Hi Jack

What's the approximate lead time from point of ordering?

 

[Jack@DriveElectric]

Hi



Hi Jack

What's the approximate lead time from point of ordering?

Hi there,

Realistically we are looking at January, there are a few stock cars available for Early December though.

 

[Woodulike]

What's the list price, for bik purposes?
I'll put it in the spreadsheet and see how it works out.

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[Jack@DriveElectric]

What's the list price, for bik purposes?
I'll put it in the spreadsheet and see how it works out.

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It is £30,439.99, then:
2017/18 - 9%,
2018/19 - 13%
2019/20 - 16%

 

[Keith Alexander]

I was playing devils advocate re my Q above

I run my own family business as well
For me paying myself 45p per mile to use my privately owned car is far better than tying up business capital on a depreciating asset. and risking the ever increasing Bik escalator.
What I find amazing is you can claim 45p per mile even for an EV
HMRC are quite generous re those, reason being the high initial purchase price.

My spare profit goes into staff pensions first then an SPV for funding buy to lets etc rather than loose 20% via CT.

 

[Ed Straker's Car]

MAP 's are a payment to an employee for the use of their vehicle, not a fuel allowance.
Wear and tear , servicing , tyre wear, depreciation on the value of the vehicle due to business mileage.
Yes, potentially the fuel element cost could be 3p a mile as opposed to 11p for petrol.
In reality, if you are using on route chargers you'll likely to be paying far more .
Lost count of the times I pointed this out to colleagues, driving a EREV.

 

[Woodulike]

It does depend on your circumstances. I've been working out the numbers and for me it still doesn't work out through the company, I'm better off running the car personally and claiming for the miles. For writing off the early depreciation on a new car it probably is better to but the car through the company, but that depends on the cost of the car and personal circumstances.
As this looks like a good deal on a 2 year lease which is probably cheaper than buying the car outright and only keeping it for 2 years I'm not sure which is the cheapest way to go.
What I am wondering is if this deal would work out as cheap as my 3 year old leaf, and it is very close. The difference is my leaf is on 0% HP so I will own it after 3 years and I hope a 6 year old Leaf will have some value. Other than that over three years the cost is the same and there should be no risk of repairs with the Soul. This will be my next option if I can't get comfortable in the seat in my Leaf, but that's another story.

 

[AnotherJoe]

It does depend on your circumstances. I've been working out the numbers and for me it still doesn't work out through the company, I'm better off running the car personally and claiming for the miles. For writing off the early depreciation on a new car it probably is better to but the car through the company, but that depends on the cost of the car and personal circumstances.
As this looks like a good deal on a 2 year lease which is probably cheaper than buying the car outright and only keeping it for 2 years I'm not sure which is the cheapest way to go.
What I am wondering is if this deal would work out as cheap as my 3 year old leaf, and it is very close. The difference is my leaf is on 0% HP so I will own it after 3 years and I hope a 6 year old Leaf will have some value. Other than that over three years the cost is the same and there should be no risk of repairs with the Soul. This will be my next option if I can't get comfortable in the seat in my Leaf, but that's another story.

I ended up purchasing via Jack (hopefully for a Nov delivery!) , it was far cheaper than the other options which i ran through with a dealer. And PCH (dealer or jack) was so much cheaper than the alternatives such as outright purchase on finance or PCP that it was almost embarrassing to even bother considering them. They were around 2x the cost per month.

This is aside the fact that the current rate of advance of BEV capability means that buying new makes no financial sense because even if you mean to keep it for say 10 years, you are still better off with a 2-3 year deal now, and buying a better cheaper car then. By then, once 200+ mile real range is here, maybe that will be a different matter.
The depreciation on my current car was probably in the range of the cost of the PCH so it was practically free using that man maths

To be fair, my mileage is very low, so very high mileages might change things. And companies and the way car tax and VAT works might alter the numbers, cant comment on that side of it.

 

[Glowcar]

Well, it’s great news that you’ve been able to continue the same deal, but it comes as a surprise...

I was making enquiries with Drive Electric in August and, at the end of that month, I received a call from one of your team telling me, in very clear terms, that you’d received notice of a price increase to take effect in September. In initial conversations I’d been told this was “expected” to happen, but this call stated that the price increase had indeed been confirmed by Kia “earlier than expected”.

Consequently, I was told, the only way I’d be able to secure a car at the lower price would be to act very quickly and “use an existing quote” generated prior to the price increase, which you would then be able to honour.

Taking this to be true, we went ahead and completed the paperwork to secure the deal, even though it would actually have suited us to wait a month or two longer.

I’ve been happy with the service provided by Drive Electric to date, and with the terms of the lease, but it does appear now that we were pressured into a hurried purchase on the back of misleading/untrue information.

 

[donald]

Well, it’s great news that you’ve been able to continue the same deal, but it comes as a surprise...

I was making enquiries with Drive Electric in August and, at the end of that month, I received a call from one of your team telling me, in very clear terms, that you’d received notice of a price increase to take effect in September. In initial conversations I’d been told this was “expected” to happen, but this call stated that the price increase had indeed been confirmed by Kia “earlier than expected”.

Consequently, I was told, the only way I’d be able to secure a car at the lower price would be to act very quickly and “use an existing quote” generated prior to the price increase, which you would then be able to honour.

Taking this to be true, we went ahead and completed the paperwork to secure the deal, even though it would actually have suited us to wait a month or two longer.

I’ve been happy with the service provided by Drive Electric to date, and with the terms of the lease, but it does appear now that we were pressured into a hurried purchase on the back of misleading/untrue information.

Just cancel the deal and request it is rearranged at the price you want, then suitably delayed.

It does seem the price has come down even more, I cannot quite tell.

For off-premises contracts, you can even withdraw from the contract 7 days after receiving the car.

Jack - has the price come down? That "36 months, 12,000 miles, 9 months upfront (£1,786.23) - £198.47" deal looks cheaper even than the one you offered me. Is it? Or are the numbers just different due to mileage/duration differences? I can also rescind on my contract elsewhere if yours becomes too advantageous to ignore.

 

[Jack@DriveElectric]

Well, it’s great news that you’ve been able to continue the same deal, but it comes as a surprise...

I was making enquiries with Drive Electric in August and, at the end of that month, I received a call from one of your team telling me, in very clear terms, that you’d received notice of a price increase to take effect in September. In initial conversations I’d been told this was “expected” to happen, but this call stated that the price increase had indeed been confirmed by Kia “earlier than expected”.

Consequently, I was told, the only way I’d be able to secure a car at the lower price would be to act very quickly and “use an existing quote” generated prior to the price increase, which you would then be able to honour.

Taking this to be true, we went ahead and completed the paperwork to secure the deal, even though it would actually have suited us to wait a month or two longer.

I’ve been happy with the service provided by Drive Electric to date, and with the terms of the lease, but it does appear now that we were pressured into a hurried purchase on the back of misleading/untrue information.

Hi there!

In all honesty we were taken slightly by surprise by this pricing, as a broker we operate very much in the dark when it comes to the funders pricing and are often left guessing when it comes to quarter end pricing reviews. Due to the nature of our deal being very competitive our suspicion was that the price would go up.

This has in the past caused massive disappointment for our customers when pricing changes at the end of the quarter so having learned our lesson we often have run loads of quotes at the end of the quarter to insure we can maintain our price for the following 28 days. This does however mean we can't run any fresh more tailored quotes at old pricing rates hence the end of quarter panic.

On another note I am very sorry you had this experience, Drive Electric prides itself on being more of a consultative customer orientated service than a pressurized sales ethic. If you happen to know or remember the name of the sales exec that handled your inquiry (Even if it was myself) I will happily log a complaint to that effect.

In regards to your current car, the FCA regulations are fairly strong and cancellations are fairly lenient in this time frame, it does largely depend on the dealerships own policy though as to how much fight they put up.

If you would still like to claim our deal and cancel your other order, I can personally make sure your account is handled to the best of my ability.

 

[Jack@DriveElectric]

Just cancel the deal and request it is rearranged at the price you want, then suitably delayed.

It does seem the price has come down even more, I cannot quite tell.

For off-premises contracts, you can even withdraw from the contract 7 days after receiving the car.

Jack - has the price come down? That "36 months, 12,000 miles, 9 months upfront (£1,786.23) - £198.47" deal looks cheaper even than the one you offered me. Is it? Or are the numbers just different due to mileage/duration differences? I can also rescind on my contract elsewhere if yours becomes too advantageous to ignore.

Hi Donald,

Some of the residual pricing on other longer 36 month contracts have changed slightly but this price is seemingly more attractive different because of the larger initial rental. Also mileage appears to have less effect on the price than previously. Happy to engage with you on this should you feel this deal is more attractive, it may well delay the arrival of the car to December/January time though if you were offered sooner.

Let me know what you think.