Tiguin R 190 DSG - 2 Years Old - 2 Years Contract Left - To buy?

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Tig190DSG
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Re: Tiguin R 190 DSG - 2 Years Old - 2 Years Contract Left - To buy?

Post by Tig190DSG » Mon Aug 10, 2020 9:16 pm

Tammma wrote:
Mon Aug 10, 2020 5:51 pm
Tig190DSG - do you buy it at that trade value, I presume?

On your last question, you will simply move to another car I presume which you will buy and pay another new car dealer margin (unless you get a used private sale somewhere). Of course it'll be a newer car, and an upgrade most likely, so it depends on your personal circumstances a bit. So it is a bit hard to answer in isolation.

Are you after an answer on what makes sense financially? Because there are probably other non financial considerations depending on what your circumstances are potentially. Are you in a growing family and going to need a larger next car (perhaps an Allspace...or an MPV even)? Or are you going to downsize for your next car, perhaps a Golf or Polo? Or are you simply going to go carless at some point?

Or, will the current Tig be fine for a few more years yet? Just remember, everytime you churn, someone takes a clip on the way through...irrespective of whatever finance package you choose. :)



tammma.
I could do but I'm thinking I'm going to be happy with the Tig for a good few years now =) just bought a caravan and have a 2-month-old little girl, so can't downsize.

It's financially really, what's the best way to maximise me getting the car outright i suppose, and yeah it's trade value it will be valued at when I come to buy it, not the resale rate - which is good for me =D

Tough one.. if it cost me 18.5k i can't see it being worth more than say 14k @ trade price in another 2 years with 40k on the clock, given a new Tigs soon out and the gov will start giving incentives for electric vehicles i reckon before then. so total would be ? £32k...

I'm just throwing figures out there, no idea what it may / may not be at the time.

Thank you for your advice =)

Tammma
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Re: Tiguin R 190 DSG - 2 Years Old - 2 Years Contract Left - To buy?

Post by Tammma » Tue Aug 11, 2020 9:29 am

The 18.5k is a sunk cost and should no longer have any bearing on your keep/sell decision moving forward. The money has been paid and is gone.

If you are saying this is purely a black&white unemotional financial decision, then the decision should be a versus two alternatives:

Option 1: buying your current car outright at the ~14k trade price, whilst knowing what you are getting for that 14k since you have owned since new - better the devil you know etc etc.

Option 2: what you can buy for your equivalent ~14k money? ...Since you mentioned that you still need a car after disposing of the current one.

I daresay, short of buying a good deal at an auction perhaps, you really arent going to be getting more bang for buck with option #2, and most likely will have to spend some cash fixing whatever little niggles are on a car that has gone through BCA et al. And then you've paid all the extra auction bid fees etc. As I said, everyone clips the ticket on the way through. Then as you go car shopping for an alternative, you will probably get upsold on some new feature or car and end up spending more than the original 14k - which is fine, but its no longer a purely financial decision then either...

When you buy the car at trade, you are simply saving the dealer the hassle of sending it through BCA and recouping the residual value that way. If you are happy with what you have and look after it well, then stick with it.

Others like to change their cars more frequently and may take a different view on this....but then Id argue its not necessarily a pure financial decision.


tammma

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SlimPollack
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Re: Tiguin R 190 DSG - 2 Years Old - 2 Years Contract Left - To buy?

Post by SlimPollack » Tue Aug 11, 2020 3:17 pm

I think all discussion here is somehow off topic I'm afraid as the OP mentioned - as I understand - that he took the car on Personal Contract Hire i.e. personal leasing.
He signed up the dotted line that for 48 months he will pay a monthly rental for using the car.

https://www.volkswagen.co.uk/offers-and ... tract-hire

There is normally no option to buy the car at any stage (although at the end of lease of my previous Tig I have been offered such option).

If - for whatever reason - he wishes to end the agreement early he can request an early termination quote to cover the cost of the remaining rentals. This is normally 55% of the remaining rentals (at least at VWFS). But that does not mean he can keep the car.

Additionally it is rarely viable to signup for 48 months PCH too. After 3 years you need to MOT the car, you are responsible for any potential repairs as the warranty is finished and - assuming your lease is not fully maintained - you likely to spend more on consumables like tyres etc.

Sorry to be a bad news messenger but I'm afraid I have the feeling that Op did not read what he signed up for.
Last edited by SlimPollack on Tue Aug 11, 2020 5:31 pm, edited 1 time in total.
2016 Pure White Tiguan SE Nav 2.0TDI 150PS 2WD manual - handed back on 18/01/2019
2019 Pure White Tiguan R-Line 2.0TDI 150PS 4Motion DSG - collected on 18/01/2019

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Tricky
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Re: Tiguin R 190 DSG - 2 Years Old - 2 Years Contract Left - To buy?

Post by Tricky » Tue Aug 11, 2020 5:08 pm

I don't see where he stated its PCH as opposed to PCP... Only that he took out VW finance.

Tammma
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Re: Tiguin R 190 DSG - 2 Years Old - 2 Years Contract Left - To buy?

Post by Tammma » Tue Aug 11, 2020 5:18 pm

To be fair, he did clarify later on it was a hire contract, not HP/PCP.
Tig190DSG wrote:
Mon Aug 10, 2020 5:37 pm
Hi guys,

Thanks for the input, I don't think I was super clear so apologies.
My car is on hire contract, not hire purchase or PCP.


Tig190DSG
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Re: Tiguin R 190 DSG - 2 Years Old - 2 Years Contract Left - To buy?

Post by Tig190DSG » Wed Aug 12, 2020 8:36 am

SlimPollack wrote:
Tue Aug 11, 2020 3:17 pm
I think all discussion here is somehow off topic I'm afraid as the OP mentioned - as I understand - that he took the car on Personal Contract Hire i.e. personal leasing.
He signed up the dotted line that for 48 months he will pay a monthly rental for using the car.

https://www.volkswagen.co.uk/offers-and ... tract-hire

There is normally no option to buy the car at any stage (although at the end of lease of my previous Tig I have been offered such option).

If - for whatever reason - he wishes to end the agreement early he can request an early termination quote to cover the cost of the remaining rentals. This is normally 55% of the remaining rentals (at least at VWFS). But that does not mean he can keep the car.

Additionally it is rarely viable to signup for 48 months PCH too. After 3 years you need to MOT the car, you are responsible for any potential repairs as the warranty is finished and - assuming your lease is not fully maintained - you likely to spend more on consumables like tyres etc.

Sorry to be a bad news messenger but I'm afraid I have the feeling that Op did not read what he signed up for.
Hi there, Don't think you read my post, and I have spoken to VW directly, and although contract hire (mentioned in an earlier post) i DO have the option to purchase at the end at trade value - which could potentially make this a better deal than PCP or HP, depending on the future obviously.

It actually works out better than PCP or HP in some cases, something which was explained to me by VWFS themselves only the other day, all this depends on certain factors but i got the Tig on a good deal, havn't seen it cheaper anywhere since i took out the contract !

Warranty i will extend + MOT etc is not a problem.

I don't mind keeping a good car long term - was just weighing up the smart decision from a financial perspective and if others have had a similar experience.
Last edited by Tig190DSG on Wed Aug 12, 2020 8:44 am, edited 2 times in total.

Tig190DSG
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Joined: Mon Aug 10, 2020 10:47 am

Re: Tiguin R 190 DSG - 2 Years Old - 2 Years Contract Left - To buy?

Post by Tig190DSG » Wed Aug 12, 2020 8:39 am

Tammma wrote:
Tue Aug 11, 2020 9:29 am
The 18.5k is a sunk cost and should no longer have any bearing on your keep/sell decision moving forward. The money has been paid and is gone.

If you are saying this is purely a black&white unemotional financial decision, then the decision should be a versus two alternatives:

Option 1: buying your current car outright at the ~14k trade price, whilst knowing what you are getting for that 14k since you have owned since new - better the devil you know etc etc.

Option 2: what you can buy for your equivalent ~14k money? ...Since you mentioned that you still need a car after disposing of the current one.

I daresay, short of buying a good deal at an auction perhaps, you really arent going to be getting more bang for buck with option #2, and most likely will have to spend some cash fixing whatever little niggles are on a car that has gone through BCA et al. And then you've paid all the extra auction bid fees etc. As I said, everyone clips the ticket on the way through. Then as you go car shopping for an alternative, you will probably get upsold on some new feature or car and end up spending more than the original 14k - which is fine, but its no longer a purely financial decision then either...

When you buy the car at trade, you are simply saving the dealer the hassle of sending it through BCA and recouping the residual value that way. If you are happy with what you have and look after it well, then stick with it.

Others like to change their cars more frequently and may take a different view on this....but then Id argue its not necessarily a pure financial decision.


tammma

Thanks mate, will take all this into account and just play it out i think and hope the value tanks come hand over time, giving me a good deal ! :D

hantshog
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Re: Tiguin R 190 DSG - 2 Years Old - 2 Years Contract Left - To buy?

Post by hantshog » Wed Aug 12, 2020 10:22 am

I read it that you had the car from new and require a tow bar.
So keep it, you've looked after it and know its history, that in its self is worth its weight in gold.
Can you not find the likes of 'Tow Bars Direct' that usually have tow bars to fit latest versions. They normally get quite practiced in fitting complicated wiring problems re sensors etc.. OK it might not swivel, but the whole time I've had my factory fitted tow bar, I've never tucked it away, purely because it gives added protection from careless parking by others..... :)

There is no magic formula for cars, they're expensive to buy, they lose money, get dented, require maintenance and get frequently updated to make you think yous is old and outdated.
Indium Grey, 190 R line

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SlimPollack
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Re: Tiguin R 190 DSG - 2 Years Old - 2 Years Contract Left - To buy?

Post by SlimPollack » Wed Aug 12, 2020 10:33 pm

Tig190DSG wrote:
Mon Aug 10, 2020 11:06 am

Would i be better getting a settlement figure now, or waiting another 2 years and see what factors affect the value ? e.g. electric grants from gov / new tig shape etc.
Tig190DSG wrote:
Wed Aug 12, 2020 8:36 am
Hi there, Don't think you read my post, and I have spoken to VW directly, and although contract hire (mentioned in an earlier post) i DO have the option to purchase at the end at trade value - which could potentially make this a better deal than PCP or HP, depending on the future obviously.

I don't know the details of your PCH (lease) agreement as it is between you and VWFS. But unless something has changed or you have very unusual T&Cs the following applies to PCH:
1. You are not the owner of the car. You don't even have V5C provided as it is not on your name.
2. You agreed to pay some monthly rentals for some agreed period of time (that can be extended but not reduced) with agreed contracted mileage.
3. There is no option to purchase the car mid-term because agreement was constructed for fixed period of time that both parties agreed to and VWFS makes money from that.
Contract Hire agreements are not designed to be settled early. If you wish to end your agreement early you can request an early termination quote to cover the cost of the remaining rentals
4. There is normally no option to buy the car at the end of the lease. A family member may be allowed to buy it but the lease holder will not*. All at the discretion of VWFS though. They have no obligation to offer it for sale.

Therefore unless you are able to quote the exact sections of your PCH agreement to prove otherwise, allow me to stand by what I wrote above.

* Close to end of the PCH of my previous Tig I had a letter from VWFS asking if I wanted to buy it. They gave me details of a link on their site that I put the reg and a few of my details in and got a price to buy it straight away, price seemed OK but I did not go for it.
2016 Pure White Tiguan SE Nav 2.0TDI 150PS 2WD manual - handed back on 18/01/2019
2019 Pure White Tiguan R-Line 2.0TDI 150PS 4Motion DSG - collected on 18/01/2019

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Tig190DSG
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Re: Tiguin R 190 DSG - 2 Years Old - 2 Years Contract Left - To buy?

Post by Tig190DSG » Thu Aug 13, 2020 7:49 am

SlimPollack wrote:
Wed Aug 12, 2020 10:33 pm
Tig190DSG wrote:
Mon Aug 10, 2020 11:06 am

Would i be better getting a settlement figure now, or waiting another 2 years and see what factors affect the value ? e.g. electric grants from gov / new tig shape etc.
Tig190DSG wrote:
Wed Aug 12, 2020 8:36 am
Hi there, Don't think you read my post, and I have spoken to VW directly, and although contract hire (mentioned in an earlier post) i DO have the option to purchase at the end at trade value - which could potentially make this a better deal than PCP or HP, depending on the future obviously.

I don't know the details of your PCH (lease) agreement as it is between you and VWFS. But unless something has changed or you have very unusual T&Cs the following applies to PCH:
1. You are not the owner of the car. You don't even have V5C provided as it is not on your name.
2. You agreed to pay some monthly rentals for some agreed period of time (that can be extended but not reduced) with agreed contracted mileage.
3. There is no option to purchase the car mid-term because agreement was constructed for fixed period of time that both parties agreed to and VWFS makes money from that.
Contract Hire agreements are not designed to be settled early. If you wish to end your agreement early you can request an early termination quote to cover the cost of the remaining rentals
4. There is normally no option to buy the car at the end of the lease. A family member may be allowed to buy it but the lease holder will not*. All at the discretion of VWFS though. They have no obligation to offer it for sale.

Therefore unless you are able to quote the exact sections of your PCH agreement to prove otherwise, allow me to stand by what I wrote above.

* Close to end of the PCH of my previous Tig I had a letter from VWFS asking if I wanted to buy it. They gave me details of a link on their site that I put the reg and a few of my details in and got a price to buy it straight away, price seemed OK but I did not go for it.

Not really sure the point of your post, i don't own the car right now, and have not said i do?

I have spoken to VWFS directly regarding my policy which i can confirm is the same as you had Contract Hire and as it stands, if i want to purchase the car at the end of the term they will sell it to me, these were the words spoken direct from somebody who settles finance @ VWFS this week, so this information is the latest and greatest.

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