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PCP Help

madduffyx

Active Member
Dec 21, 2009
348
0
Hi all,

Just wondering if anyone could help. Ordered a new Leon SC FR a couple of weeks ago on a PCP 42 month deal. The dealer said that the interest rate for this couldn't be changed as it was set by VW solutions financing at 7.1%. How ever I noticed that on Seats website, they are offering 4.9% APR. Is APR and interest rate the same thing or have I been shafted by the dealers lol I haven't signed the finance agreement yet so if that's the case I'm probably within my right to question them on this.

Many thanks!
 

ZBOYD

Looking up at the stars!
Site Owner
May 19, 2001
9,471
6
Cheshire
www.seatcupra.net
According to their website, the APR is 4.9% and the rate of interest is fixed at 4.2% (However there is a small caveat applied to the small print) - Offer may be varied or withdrawn at any time.

However they'd have to make that publicly known and remove their current advertising which they have not. The current offer is still on until the end of this month and the free tech pack is extended to the end of the year.

A fixed interest rate loan is a loan where the interest rate doesn't fluctuate during the fixed rate period of the loan.

APR is a term you will see on several different lending products, including mortgages, credit cards and loans. Short for Annual Percentage Rate, it's a legal requirement for APR to be shown on products where you borrow money in order that an easier and fairer comparison can be made.
 
Last edited:

madduffyx

Active Member
Dec 21, 2009
348
0
Cheers for the quick reply Mark. Sounds like the dealer was trying to shaft me over then! I think a quick phone call is in need of! :)
 

ZBOYD

Looking up at the stars!
Site Owner
May 19, 2001
9,471
6
Cheshire
www.seatcupra.net
As I understand it, and I'm not great with this stuff myself.

APR can be either nominal (which is simply like the fixed rate figure) or effective which includes compound interest calculated over the period of a year, which is what the higher figure of 4.9% is describing.

I may be completely wrong. But the 7.1% rate mentioned isn't part of VW/SEAT's current finance offer on the Leon FR.

Try using this website, and see how your figures compare.

http://www.pcpcal.co.uk/
 

madduffyx

Active Member
Dec 21, 2009
348
0
Cheers! I just got off the phone from the dealer and I've never heard a sales man speechless before lol Basically he tried to get out of it by saying that this was literally a new offer and when I ordered my car 2 weeks ago the only PCP available was 42 months and 7.1% interest. As I even asked if 36 months was available and they said no. I can smell some bullsh!t there lol! So Mr Sales man is off to speak to the manager and give me a phone back......could be interesting as I've not signed any finance documents yet :)
 

steve67

Guest
hi,
ive just had a quote from dtd offering a fr on a 3yr pcp at 4.6%
dont know if this helps. working the figures back the car is £18883
:D

pcpcal.co.uk
 

Fusster

Active Member
Jul 19, 2011
148
1
i,ve just looked at the SEAT website and the 4.9% pcp is with £4439 initial deposit (£1000 from SEAT)
My guess is you,ve been quoted for a normal pcp with only a small £200-£300 initial contribution ?

The dealer will be quoting from SEAT finance so dont think he will be trying to shaft you
 

steve67

Guest
i,ve just looked at the SEAT website and the 4.9% pcp is with £4439 initial deposit (£1000 from SEAT)
My guess is you,ve been quoted for a normal pcp with only a small £200-£300 initial contribution ?

The dealer will be quoting from SEAT finance so dont think he will be trying to shaft you

figures quoted are
deposit of £1500
gfv 10,052
36 x £266 pm

inc is the £1000 from seat
 

LeonSC

Guest
Remember the difference between PCP (with a balloon payment) and hire purchase (without).

When I bought mine, the deal was 4.9% on the PCP and 7.9% on the hire purchase.
 

LeonSC

Guest
Also a thought - the 4.9% PCP deal they offered me was 36months...taking it over 42 might mean you can't have this deal, I'm not sure.
 

Fusster

Active Member
Jul 19, 2011
148
1
figures quoted are
deposit of £1500
gfv 10,052
36 x £266 pm

inc is the £1000 from seat
My comment was aimed at the O P not you and the figures I quoted were from SEAT,s site
I was offering an explanation to the differing interest rates
 

steve67

Guest
My comment was aimed at the O P not you and the figures I quoted were from SEAT,s site
I was offering an explanation to the differing interest rates
Sorry if comments taken the wrong way.
Just posted figures quoted.
 

madduffyx

Active Member
Dec 21, 2009
348
0
Cheers for all the replies lads :) The dealer literally phoned me back 30 minutes later and apologised endlessly for not offering me this. Reduced me down to 4.9% and over 36 months. Saves me about £25 which is good :D
 
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