[teaston]

Originally Posted by 73henny

No. You're paying interest on the whole value, GVF included.

edit - Tengo beat me to it.

What! Why? If you VT or give car back at the end of term then you never pay the GFV! Why the hell do you pay interest on it??

[Tengocity]

Originally Posted by teaston

What! Why? If you VT or give car back at the end of term then you never pay the GFV! Why the hell do you pay interest on it??

Someone has to pay for the thousands of pounds capital tied up in it! Nothing is for free. If you can't buy it outright, then you're paying interest on every penny you borrow, no matter what your final payment is.

That's how the finance companies make their money.

[teaston]

Originally Posted by Tengocity

Someone has to pay for the thousands of pounds capital tied up in it! Nothing is for free. If you can't buy it outright, then your paying interest on every penny you borrow, no matter what your final payment is.

That's how the finance companies make their money.

I see.

So if you put the money in a savings account you get interest on that money, but you'll be paying very slightly more interest on the car as you're paying off less of the money owed each month.

Still worth doing for the other reasons though.

[JustChris]

Hmm ok I'm going with slightly under at 15k and will try to up it to 25k asap.

Unless there is an M5 in the showroom. Then I'm getting divorced.

[Tengocity]

Originally Posted by teaston

I see.

So if you put the money in a savings account you get interest on that money, but you'll be paying very slightly more interest on the car as you're paying off less of the money owed each month.

Still worth doing for the other reasons though.

Exactly. If you've got spare money then better in the car, or maybe paying off the mortgage.

[MarkG_M5Comp]

Originally Posted by teaston

BMW FS have replied to TRL regarding this. This what they've said:

"Thank you for your recent communication.

We are able to change mileage on a PCP on a concessionary basis. If a customer was to VT at that point their mileage would be considered and charged pro rata if they are over their designated allowance. The answer to the questions are both yes, they can currently have addtional mileage at no extra cost to a certain amount. If a customer VT's yes they can be charged pro rata.

Hope this helps.

Yours sincerely

BMW Financial Services"

So they say the mileage increase is concessionary but then they say you can get charged pro rata! I don't understand what they mean :

We need to see the question he asked - it seems there were two parts and my guess is;

1) can people change the PCP mileage for free?

2) does BMW FS actually charge the mileage penalty in a VT situation? (Ie. People have suggested they are not allowed to do so and if we haven't adjusted our mileage above then we would be liable).

[teaston]

Originally Posted by MarkG335

We need to see the question he asked - it seems there were two parts and my guess is;

1) can people change the PCP mileage for free?

2) does BMW FS actually charge the mileage penalty in a VT situation? (Ie. People have suggested they are not allowed to do so and if we haven't adjusted our mileage above then we would be liable).

By the "charged pro rata" bit, Tony says they mean if you go over the mileage you increased to. So basically it's all good news!

So I've asked him to reduce mine to 10kpa!

[MarkG_M5Comp]

Originally Posted by teaston

By the "charged pro rata" bit, Tony says they mean if you go over the mileage you increased to. So basically it's all good news!

So I've asked him to reduce mine to 10kpa!

Good plan....

I think I'll up my wife's car from 8k to 15k then take my next car on a 15k contract - I'd like to have options

[MarkG_M5Comp]

Happy days - almost official!!

[SaintMac]

Yes, got my letter in the post today, all pretty straighforward.

Thank you for posting and yes, happy days.

[SaintMac]

Yes, received my letter today, all pretty straighforward.

Thank you for posting and yes, happy days indeed!

[Tengocity]

If they can take it away at any time they feel like it then it's not really worth the paper it's written on surely?

[SaintMac]

Depends when you hand the car back I guess. Mine goes back around February, so hopefully I will benefit.

But, yes longer term, it may get withdrawn.

[teaston]

Originally Posted by Tengocity

If they can take it away at any time they feel like it then it's not really worth the paper it's written on surely?

That's what i'm thinking!

You go off and do 20kpa in the car instead of 10kpa because they've told it's ok for you to do, then a few months before the end they tell you they're withdrawing the concession and you actually have to pay for any excess mileage over the original 10kpa!?

I'd tell them to feck off!!

[HiBee]

Originally Posted by teaston

That's what i'm thinking!

You go off and do 20kpa in the car instead of 10kpa because they've told it's ok for you to do, then a few months before the end they tell you they're withdrawing the concession and you actually have to pay for any excess mileage over the original 10kpa!?

I'd tell them to feck off!!

More like BMWFS will say that the concession could possibly be stopped in the future. Can we have £££ please due to your excess mileage.

Tbh. When i handed mine back i was expecting to pay the excess as agreed in the T&C's.
I don't know how are folk saying that the charges can be waived.

Suppose they ask but you don't pay up, surely that would be a black mark on your credit status.
Good luck to those that have managed to avoid paying the excess though.

[Mattt1]

Thanks - done!

[Mattyk]

Originally Posted by teaston

That's what i'm thinking!

You go off and do 20kpa in the car instead of 10kpa because they've told it's ok for you to do, then a few months before the end they tell you they're withdrawing the concession and you actually have to pay for any excess mileage over the original 10kpa!?

I'd tell them to feck off!!

Call me the grinch, but nothing is for free, BMWFS will probably withdraw once everyone has racked up mega miles on low mileage pa pcp's with high excess mileage charges?

Unless when they withdraw that which has gone before remains unchanged? Ie you sign up to 4 years, 10k pa, convert to 25k pa,run for 3 years/ 75k miles then the upgrade is withdrawn and you revert to 10k for the final year only?

[MarkG_M5Comp]

Originally Posted by Mattyk

Call me the grinch, but nothing is for free, BMWFS will probably withdraw once everyone has racked up mega miles on low mileage pa pcp's with high excess mileage charges?

Unless when they withdraw that which has gone before remains unchanged? Ie you sign up to 4 years, 10k pa, convert to 25k pa,run for 3 years/ 75k miles then the upgrade is withdrawn and you revert to 10k for the final year only?

Alright grinch!

You have a point and it's entirely possible however imagine the bad press and 'Daily Mail' headline. No large corporate would normally risk their name in that way and in fact would have 'risk assessed' offering the deal in the first place. I can imagine they will stop offering it to new requests but continue for those agreed already - at least in the first instance.

I really am toying with the idea of increasing my wife's 8k allowance to give us complete flexibility in car sharing....

[Ti Rich]

Long story but I have a massive arguments with my dealer. I thought I had brought a car on a 20k PCP and they supplied on a 10k PCP.

I will do 30k excess mileage at 12p per mile so this could save me 3.6k if correct.

[teaston]

Originally Posted by Ti Rich

Long story but I have a massive arguments with my dealer. I thought I had brought a car on a 20k PCP and they supplied on a 10k PCP.

I will do 30k excess mileage at 12p per mile so this could save me 3.6k if correct.

Nice!

[Ice Man]

Originally Posted by Ti Rich

Long story but I have a massive arguments with my dealer. I thought I had brought a car on a 20k PCP and they supplied on a 10k PCP.

I will do 30k excess mileage at 12p per mile so this could save me 3.6k if correct.

It wouldn't suprise me if this is the situation BMWFS are covering their arses on by giving the option of witndrawing the concession. Out by a few / several K out and will give you the benefit of the doubt but if it is materially out like double I wouldn't be so confident

[Mark1966]

Anybody that thinks they can get away with going way over there initial agreed mileage I suspect will be in for a shock come trading in time.

BMW will wriggle out of this very soon unless I am sorely mistaken.