Is this the most expensive Cali ever!

[subthree]

I think we should ask Rachel Riley.

 

[66tim99]

Isn’t that £940 per year?

No - the total cost of borrowing. Cash price - £66,432, total amount to pay £68,372 less £1000 deposit contribution. Anyway, I was happy with that.

 

[66tim99]

Sounds right to me.
£33k at 2.8% is £924

£924 x 4 years = £3,696.00 ( interest if the whole £33k is paid back at the end of 4 years, rather than in monthly instalments)

£3,696.00 X 50% ( the average balance over the 4 years if paid back monthly) = £1848

£1848 less the £1k from VW = £848


@66tim99 I think the correct terminology is borrowing £33,216 over 4 years rather than borrowing it for four years.

Thanks, yes, 'over 4 years' is correct - I've already paid £732 back and I've only owned it for a month...

 

[Ozzy Pete]

No - the total cost of borrowing. Cash price - £66,432, total amount to pay £68,372 less £1000 deposit contribution. Anyway, I was happy with that.

Doesn’t matter what the APR is or how much you pay the finance company if you are happy with it and you haven’t got the cash to pay outright it’s your choice. My calculations are different to yours.

 

[Amarillo]

No - the total cost of borrowing. Cash price - £66,432, total amount to pay £68,372 less £1000 deposit contribution. Anyway, I was happy with that.

I’m not surprised you’re happy. It’s about 0.7% APR.

 

[66tim99]

Doesn’t matter what the APR is or how much you pay the finance company if you are happy with it and you haven’t got the cash to pay outright it’s your choice. My calculations are different to yours.

I’m just relaying the actual. If VW have got their maths wrong (they say 2.8%) it would seem it in my favour. Sounds like Andy agrees it’s about right though

 

[66tim99]

I’m not surprised you’re happy. It’s about 0.7% APR.

If I was borrowing £33,216 for 4 years. But I’m paying it off as I go. As Andy rightly corrected me, I’m borrowing ‘over 4 years’, not ‘for 4 years’

 

[andyinluton]

When quoting 2.8% it makes no allowance for the £1k discount.
You are really paying £1.9k in interest but as a result of that they knock £1k off the price. Hence Amarillos figure being different as a percentage.

At the end of the day you've only spent £900 odd quid extra for 4 years finance which is peanuts in the context of what you've bought.

 

[Amarillo]

When quoting 2.8% it makes no allowance for the £1k discount.
You are really paying £1.9k in interest but as a result of that they knock £1k off the price. Hence Amarillos figure being different as a percentage.

At the end of the day you've only spent £900 odd quid extra for 4 years finance which is peanuts in the context of what you've bought.

It could also be claimed that VW’s quoted cash price is misleading. You can take out the finance, claim the £1000 deposit contribution, then pay off the finance immediately and buy the vehicle cash for £1000 less than the quoted cash price.

Don’t you just love the opaqueness of car finance “facts” and figures!?

 

[SusiBus]

It could also be claimed that VW’s quoted cash price is misleading. You can take out the finance, claim the £1000 deposit contribution, then pay off the finance immediately and buy the vehicle cash for £1000 less than the quoted cash price.

Don’t you just love the opaqueness of car finance “facts” and figures!?

We've been told that for our new Cali to be delivered in Spring 2022 ( hopefully), there will be no offer of a cash deposit contribution when taking out finance.
All the incentives seem now to have been withdrawn.
Back in 2016 you got £650 off for what VW called a Loyalty Bonus if you already had a VW that you had owned for a certain time.
Then in November price protection was withdrawn for new orders.
Now no Deposit Contribution for taking out finance.
I think VW are of the opinion that it a seller's market. At least they have got something right!

 

[Ozzy Pete]

I’m just relaying the actual. If VW have got their maths wrong (they say 2.8%) it would seem it in my favour. Sounds like Andy agrees it’s about right though

Like I said it’s your choice. 2.8% over 1 year is around £940. At 2.8% I would lend you the money, it’s more than twice what I’m getting ATM.

 

[andyinluton]

Like I said it’s your choice. 2.8% over 1 year is around £940. At 2.8% I would lend you the money, it’s more than twice what I’m getting ATM.

Difference is that if he borrows from VW they give him an extra £1000 discount.
As Amarillo calculated, that makes it an equivalent of 0.7% interest.

 

[vmaxkiddy]

I’ve noticed that most ads for new cars highlight the “monthly“ cost rather than the total cost.

Lease deals distort that even further, the OTR price is irrelevant to them. I’m sure that the factory gate prices are inflated because of lease deals, and government (tax payer) subsidies. I deliver electric vehicles around the the country, and every single one this year has been a lease agreement, some as low as £125/m. No idea what deposit has been paid, or what their final payment maybe.

 

[ArunAlec]

Lease deals distort that even further, the OTR price is irrelevant to them. I’m sure that the factory gate prices are inflated because of lease deals, and government (tax payer) subsidies. I deliver electric vehicles around the the country, and every single one this year has been a lease agreement, some as low as £125/m. No idea what deposit has been paid, or what their final payment maybe.

One thing I’ve noticed (based on a couple of friends) once people go down the leasing road they seem to be hooked into a cycle of leased cars.

 

[Ch1pbutty]

Lease deals distort that even further, the OTR price is irrelevant to them. I’m sure that the factory gate prices are inflated because of lease deals, and government (tax payer) subsidies. I deliver electric vehicles around the the country, and every single one this year has been a lease agreement, some as low as £125/m. No idea what deposit has been paid, or what their final payment maybe.

3,6 or 9 month ‘deposit’ (non refundable so not really a deposit!) . The higher the deposit, the lower the monthly payment. No final payment, you just hand the car back at the end of the term. You are normally just paying the depreciation.

 

[ArunAlec]

3,6 or 9 month ‘deposit’ (non refundable so not really a deposit!) . The higher the deposit, the lower the monthly payment. No final payment, you just hand the car back at the end of the term. You are normally just paying the depreciation.

I’ve never looked seriously at these deals but if you are just paying the depreciation where’s the profit for the leasing company?

 

[Ch1pbutty]

I’ve never looked seriously at these deals but if you are just paying the depreciation where’s the profit for the leasing company?

I am guessing that they just get some kind of brokerage payment from the dealer. As the lease car is delivered direct from the manufacturer.

edit - see below:

//

How do car leasing companies make money?​

As we said, transparency is key, and that means even telling you how much car leasing companies make.

It really depends on the leasing company. Some make their money by charging an administration fee. This can be anything from £100 to £900. This is their profit and is there to pay for their services. A credible leasing company should make you aware of the administration fee before you sign anything.

Other leasing companies will charge the dealerships for introducing them to customers and providing them with business. How much they charge depends on their relationship with the dealership.

On average, leasing companies make anything between £150 and £500 per vehicle. In comparison to say, mortgage brokers, this amount is very small.

There is also the chance to make money selling insurance products, as long as they are compliant to do so. Others might have a volume bonus with a dealership or finance house. This is where they introduce a certain amount of customers in a set period of time, then they will get a lump sum at the end. This is to encourage loyalty and volume.
//

 

[vmaxkiddy]

I am guessing that they just get some kind of brokerage payment from the dealer. As the lease car is delivered direct from the manufacturer.

edit - see below:

//

How do car leasing companies make money?​

As we said, transparency is key, and that means even telling you how much car leasing companies make.

It really depends on the leasing company. Some make their money by charging an administration fee. This can be anything from £100 to £900. This is their profit and is there to pay for their services. A credible leasing company should make you aware of the administration fee before you sign anything.

Other leasing companies will charge the dealerships for introducing them to customers and providing them with business. How much they charge depends on their relationship with the dealership.

On average, leasing companies make anything between £150 and £500 per vehicle. In comparison to say, mortgage brokers, this amount is very small.

There is also the chance to make money selling insurance products, as long as they are compliant to do so. Others might have a volume bonus with a dealership or finance house. This is where they introduce a certain amount of customers in a set period of time, then they will get a lump sum at the end. This is to encourage loyalty and volume.
//

“I am guessing that they just get some kind of brokerage payment from the dealer. As the lease car is delivered direct from the manufacturer.”

Not always, I’ve just started delivering cars that are on a 3 year lease to another, different leasing company who are sending them out on 1 year leases.

 

[Kernowboy]

Ok, it’s not a Cali but come on…

Vehicle Details - Leighton Vans

Leighton Vans, UK, are specialists in Volkswagen vans and conversions. For quality used VW Kombi, Sportline and Transporter vans, visit us in Sheffield, South Yorkshire

www.leightonvans.co.uk

 

[GrumpyGranddad]

Ok, it’s not a Cali but come on…

Vehicle Details - Leighton Vans

Leighton Vans, UK, are specialists in Volkswagen vans and conversions. For quality used VW Kombi, Sportline and Transporter vans, visit us in Sheffield, South Yorkshire

www.leightonvans.co.uk

Nice looking van BUT what a price !!!!!!!

 

[Ozzy Pete]

Nice looking van BUT what a price !!!!!!!

I don’t care what anyone says....It’s STILL a VW van.

 

[The Merle]

Ok, it’s not a Cali but come on…

Vehicle Details - Leighton Vans

Leighton Vans, UK, are specialists in Volkswagen vans and conversions. For quality used VW Kombi, Sportline and Transporter vans, visit us in Sheffield, South Yorkshire

www.leightonvans.co.uk

If anyone pays that for it they need to go straight to the looney bin!!!! Mental

 

[Velma's Dad]

Nice looking van BUT what a price !!!!!!!

And for carpet on the walls.

 

[flymartin]

And for carpet on the walls.

And no climatronic air con..

 

[66tim99]

And no climatronic air con..

Or chairs built into the tailgate, or electronics including roof all in a neat device, or pro nav etc