My Audi has done 24,000 miles in a year so it’s been well used. Also the Peugeot is signed up for 15,000 miles a year so that’s why the payments are higher. The finance remaining on the Audi is £20,000 and nobody would buy it for that. Due to this I wouldn’t be able to clear the finance as I don’t personally have £3000/4000 lying around. Buying this Peugeot and them clearing the finance has allowed me to get rid of my problematic Audi, save money on car payments and save money on insurance. The main thing for me at this point was saving money and getting rid of my A3 as quick as possible. Thank you for all your input but with limited time and funds available to me, I had to ditch the A3 fast. The longer I keep it (the more miles I do), the more money I lose.... I’ve got three and a half years left on the agreement so I’m not keeping it for that long with the issues I’ve had. It’s goingAlso managed 2.9% APR on the Peugeot deal which I was happy with. Personally I think the £16,000 they said the car was worth was fair for trade-in when AutoTrader said it’s worth £17,000 privately. I’ve confirmed that I’ll save £4,500 on insurance next year
Sounds as if you’ve made your decision so all the best with it mate.
I’m a little confused about the settlement figure though..? 67plate ex demo 2.0TDI S-Line is about £20k, so I imagine you didn’t pay much more for your 66 plate 9months ago, right? How after 9 payments of £367 + any deposit do you still owe £20k? Seems awfully high to me?
I’ve also seen this from a few other members, where they’ve described a dealer ‘sorting out their negative equity’. Unfortunately Peugeot haven’t cleared your outstanding finance. Anyone can get £4k discount off a 208 without a P/X. Despite what the salesman might have told you, they aren’t a charity...You have just refinanced that debt into a new car finance agreement. Whilst most are getting at least £2,500 (on the website), but more likely up to £4k discount, you are essentially just paying full RRP.
Whilst it’s understandable to look at just the monthly payment, you really need to factor in the deposit as well, since obviously that dictates the monthly figure. £1500 over 48m is £30. So that £80 per month saving is in fact £50. If you plan to only keep it 24m, then £1500 over 24m is around £60. So now you’re only actually saving £20 per month...that’s why when you do the total cost over 24m (monthlies of your A3 vs the monthlies and deposit of the Peugeot), it’s only about £500 different....remember that a brand new car will depreciate far quicker than a used. That’s what the £4k negative equity represents. It’s seems daft to pay that high depreciation cost, and then start another one on the Peugeot all over again when the aim is to save money??
With regards to your insurance, if that really is your best price then that really is poo! You really do have to shop around and haggle hard. The reason your quote is so unbelievable is that there are 20yr olds on here with RS3’s not even paying as much as £6k...! A non-fault accident shouldn’t rise a premium by 214%....
I just really hope you are making decisions based on clear information and proper calculations. I worry it could end up putting you in, at best, the same situation financially but driving a Peugeot, or at worse doubling your debt on a Peugeot worth less than you owe on it....all because you got an insurance company changing their arm with a ridiculous renewal quote that is nowhere near what you would actually pay!
Good luck with it all buddy. Car finance and insurance is such a ball ache...! Oh and hope you had a lovely Xmas
