Quote:
Originally Posted by Nobby Clark
Alex440 Regardless of how often this is discussed, you still seem to believe deposits are lost.
When you VT, you have to pay 50% regardless. It doesn’t matter if, on a £40k car, you put in £10 or £10000, at VT point it’s 20 grand gone. Buy putting in a smaller deposit, all you are doing is increasing the monthlies, increasing the interest and increasing the period before you an VT.
The earlier you VT, the higher the cost per month. It’s the cost per month I’m taking about being more expensive.
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And no matter how often it is discussed you still don't understand either.
If you put no deposit down and if you're not intending to buy at the end, VTing as soon as you can is categorically no more expensive per month.
My monthly payment is £606 per month and I don't choose that amount it is defined by my mileage, I cannot pay less. If I keep it 31 months and VT it costs me £606 a month, if I keep it 48 months it still costs me £606 per month. There is zero difference.
It really is pretty simple.
If you put a deposit in then that is spread over the full term reducing every single monthly payment. So if you VT early you are losing the deposit that would have been reducing your remaining payments.
At no point have I ever said anything about making optional extra payments to reach the VT point. That would be wasted money. I am just referring to the minimum payments defined by BMWFS.