Car finance has been in the spotlight recently with fears over negative equity in car deals and the prospect of a Financial Conduct Authority investigation into motor finance. In essence, there are two issues at play that are linked but separate. The first is a question of affordability on the part of the consumer; the second is the exposure of finance companies to potential downgrades in the … [Read more...]
Lifebelt for struggling car finance
An estimated 1.6 million used car owners currently in the middle of their dealer finance or PCP agreement are now able to change their car early with the launch of www.paymentswap.co.uk. The new ‘no fees’ online service allows buyers to digitally manage every part of the transaction for themselves, including vehicle trade-in, sorting out the settlement of their old finance agreement, signing up … [Read more...]
Clocking comes around again
Fraudsters have returned to “clocking” vehicles odometers to boost part exchange prices and escape mileage penalties under growing leasing schemes, says hpi. The number of cars on UK roads showing mileage discrepancies has risen to one in 16, a jump of 25 per cent according to new figures from hpi. The figure has leapt from one in 20 cars in 2014. The figures emerge as what is believed to … [Read more...]
Tradelines 3 May
Dacia has announced UK pricing and specification for its New Logan MCV Stepway which was unveiled at the Geneva Motor Show in March. The distinctively rugged version of the New Logan MCV Stepway follows in the footsteps of the New Sandero Stepway and the fifth member of the Dacia UK range is priced from £11,495 with first customer deliveries expected in June. The Bank of England is reported … [Read more...]
PCP schemes expected to cost more
The falling value of the pound is likely to see monthly PCP new car payments rise in 2017, predicts Glass’s. The vehicle data specialist says that manufacturers importing their vehicles into the UK will need to recoup margins somewhere and that PCP payments are the least unpalatable choice. Rupert Pontin, director of valuations, explained, “The pound fell in value by about 20% against the … [Read more...]
Next growth area for PCPs will be tourers and motorhomes
Staycations or stay-at-home holidays in the UK are set for a boost with, for the first time, PCPs becoming widely available in the motorhome and touring caravan market. According to vehicle data provider Glass’s, the finance product, which has revolutionised the new car market in recent years, will make leisure vehicles much more affordable and potentially bring a wave of new buyers. Rupert … [Read more...]
Hidden or closed intranet sales distorting used sales
The growing use of “upstream marketing” by motor manufacturers and leasing companies could explain why the long-heralded explosion in used car numbers has so far failed to materialise. The advanced strategy – designed to defleet cars quickly through online channels – could explain the smaller-than-expected increase in used car numbers hitting the wholesale market in Q3 2016, a development that … [Read more...]
PCP contracts and condition clauses surprise motorists
More may need to be done to educate the rapidly rising number of PCP customers about the condition in which their lease car should be returned, says Glass's. The vehicle data provider says that it is receiving notable anecdotal evidence from the trade that some customers are shocked to find that there are potential financial implications surrounding the vehicle's return. Rupert Pontin, … [Read more...]
Financial deals & incentives will drive UK sales this year
Growth in the number and variety of finance packages available to private buyers will drive the new and used car markets in 2016, predicts Glass's. In the new car sector, which will see growth in registrations of around 3%, further finance packages will need to stimulate consumer interest and provide new avenues to affordability. However, the real innovations are being seen in the used … [Read more...]