Africa Twin for £25/ month - surely this is the WORST finance proposal ever imagined!?!

[davsato]

So after a £4k deposit I get to rent the bike for 3 years at £25pm, pay the upkeep and pay a Honda dealer to stamp the service book, not be able to put any permanent accessories on it because it's not my bike, then either pay nearly £8k to keep the bike or give it back in good condition along with another £11496 because I average 12k miles a year?

Eee that's a bloody bargain I'll have two

[TomBoyNI]

So let me get this straight.

It`s a 37 month interest free deal to buy a new bike and you think it`s the worst deal ever ?


What exactly would you like ? A free bike ?

No matter what way you look at it, or what payments there are, it`s interest free.

Put the money away every month on top of the payments and job done surely ?

Why would a low rate loan be better ? because you get to pay interest to a loan company ?

Sorry, you`ve beaten me , I have no idea why and interest free PCP is a bad deal.

No I don't want a free bike. And I'm not anti PCP either. It's just this one makes no sense to me.

And it's not the same as putting the money away every month (although you could do that I suppose to save for the final payment). You need to put 4K down at the start. That's what gets me. Couple that with the 111 miles a month.

Putting 4K down on a bike most will never likely own is a poor choice.

Nationwide have a 5% interest savings account at the minute. Your 4K is better in there.

A loan of 2.8% over 3 years means you pay about 700 in interest over 3 years and you can drive where you want, farkle how you want and own the bike at the end. Then you can trade in or keep it. At the end of this deal you decide to to re finance and you are out of warranty, meaning anything goes wrong and it's all down to you and you are still paying off your 6k.

Having a huge deposit and a huge final payment and a huge deposit makes no sense to me. If it does to you, fair play.

[Chasbmw]

At £1500 per year, with no interest, surely that works well if the mileage fits.......most other PCPs work out closer to £2500 per year with 5K mileage

[AlanHolt]

At £1500 per year, with no interest, surely that works well if the mileage fits.......most other PCPs work out closer to £2500 per year with 5K mileage

Maybe it's because I'm a tight Yorkshireman, or because I used to work in the motor industry, but I'd never buy a new vehicle. Losing £2500 a year is crazy just to have something new sat in the garage. The last bike I bought was 4 years old, it's now 9 years old and I've lost £200 per year in depreciation.

[crofty]

For a start no one is giving 5% without so many strings it makes it a full time job trying to keep up. The Nationwide deal is for 500 a month savers and you could,nt stick your 4 grand in there. You could get a cheap 2.8% deal on the full purchase price of 10900 but you would be paying well over 300 a month. And your bike after 3 years is only going to be worth 6 or 7 grand so you have still lost the 4 grand anyway so I don,t see any difference. you can be as creative as you like with the finances but if you want a 11 grand new bike and don,t have the money up front you are going to have to pay through the nose.

[[email protected]]

4k a year I will do that in 3 months without even trying I would probably pay over a grand in mileage penalties??

[Monster]

There is a saying that ...
If IT flies, floats or fornicates .... it's cheaper to rent

Never done a PCP on any vehicle and wouldn't on a bike

There are several ways to drive a new car or bike and this is something that the motor trade has created in order to be flexible to the needs/wants/desires of the customer

You can decide is what is important I think

[moto al]

Many years ago one of my friends purchesed a merc on the same plan ok it was called something else ,at the time I thought he was off his head,my reasoning in 3 years time their will be a glut of mercs and the value will be reduced . I was was proved wrong ,he got top book price for his car . Then used the same plan too buy a top of the range Audi .