[xenon]

As a rough guide, how far would you need to be in to a 48 month PCP to be able to VT?

[GBR1]

Depends on deposit, mileage etc, but approx 3 years..

GBR1

[teaston]

Your contract should say, mines 38 months iirc with a £2k deposit.

[davyk31]

Totally dependent on you deposit as the VT point is when you have paid a certain percentage back. Bigger deposit gets you to that point quicker.

[mcoops]

^^ This.

BMWFS can tell you if you can't find it on your documentation.

[Rukka]

Generally month 37/38 but sooner if you have put a bigger deposit in.

[AndyMD]

I was told that as long as 50% of the cars value is cleared you can VT it. Hence 40K car if it has 20K paid off, whether it's month 9 or 47 you can VT it.

[isleaiw1]

Originally Posted by AndyMD

I was told that as long as 50% of the cars value is cleared you can VT it. Hence 40K car if it has 20K paid off, whether it's month 9 or 47 you can VT it.

its half the total amount payable including interest so not quite as simple as you suggest....

[Beancounter_74]

^^^^ This

[bodtwo]

Originally Posted by Beancounter_74

^^^^ This

google "pcp 50 50 rule"

[Beancounter_74]

Originally Posted by bodtwo

google "pcp 50 50 rule"

Exactly, it's 50% of the total amount payable (capital and interest).....not sure of your point

The total amount payable (which is the total amount borrowed plus interest and fees, and also includes the Guaranteed Minimum Future Value on a PCP) must be clearly shown on any car finance quotation and contract, so you should be able to find it easily enough. You must pay off half of this figure to be able to voluntarily terminate your PCP or HP.

[pjs]

Just going through the VT process now. Zero point for me was after my Jan payment (37/48) after a small deposit (?1500) so I'm paying just over a grand to get out now ( just before new tyres and extended warranty needed)

[bodtwo]

Originally Posted by Beancounter_74

Exactly, it's 50% of the total amount payable (capital and interest).....not sure of your point

Yes, I read that after and it needed a few extra words along the lines of....

"Beancounter et al, has it, if you google 'pcp 50 50 rule' one of the first links is to a site called 'car expert' who has a clear English article on this with links through to a U.K. Solicitors forum with further guidance."

Hopefully now it makes sense.

[Beancounter_74]

Originally Posted by pjs

Just going through the VT process now. Zero point for me was after my Jan payment (37/48) after a small deposit (?1500) so I'm paying just over a grand to get out now ( just before new tyres and extended warranty needed)

That's another consideration, sometimes better to 'cut your loss' early and buy out as opposed to incur additional costs for tyres/service etc.

I know from when I VT'd my E60 a few years I did a similar thing as decided (£500 at the time) was far lower than the cost of a tyres and a service and some non crucial (non warranty) work.

[TouringPleb]

I've just done a VT. On a 48 month contract I terminated at month 34. I had a small deposit and what I thought were relatively high monthlies of 477.

[....,,,,..,,..]

Originally Posted by TouringPleb

I've just done a VT. On a 48 month contract I terminated at month 34. I had a small deposit and what I thought were relatively high monthlies of 477.

I am popping in to PL in Feb, just to work out options of trade in or VT

Tempted to do a 1-2 year PCH - that gives me a nice option for 2018.

My wife now swears at me if I mention cars lol.

[TouringPleb]

Originally Posted by Brigand

I am popping in to PL in Feb, just to work out options of trade in or VT

Tempted to do a 1-2 year PCH - that gives me a nice option for 2018.

My wife now swears at me if I mention cars lol.

When I dealt with them they didn't seem interested in taking trade in's at all, which didn't bother me as I didn't need that for my deposit. It was all about getting new metal out the door for them.

I didn't even make it to the dealership everything was done over the phone or email. Didn't even test drive one!

[E60MKF]

I think the VT rule is a slippery slope and will come to cost firms such as BMWFS, who discount heavily, dearly! For the dealership it doesn't matter too much, they just miss the profit on resale of the part-ex that has now been VT'd. Instead they will be one sale closer to the big bonuses on meeting targets. But sooner or later, BMWFS will have a massive write down as BMW keep falling in value and more people choose to VT