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JB75 · 25th August 2006, 10:27

Does anyone understand this?

Honda offered me this when I first approached them earlier in the year but, as I had reservations, I opted to go with hire purchase. Yesterday evening however I learnt that someone I know has a Civic on order and is seriously considering the PCP plan. She reminded me that, after three years, Honda present 3 options:

Pay an agreed 'guaranteed minimum value' figure and purchase the car outright.
Hand the car back, provided it's in reasonable condition, and walk away.
'Trade in' the car for its 'guaranteed minimum value' against another Honda.

I was confused by the final option though and questioned how you could trade in a car, the final payment of which remained outstanding. Does anyone know if Honda give you the trade in value against a new car, or just write off the remaining payment and put you onto a new deal? I'm wondering if I might be able to transfer my agreement (probably not I guess).

25th August 2006, 10:27	#1 (permalink)
JB75 Locking Wheelnut Join Date: 18th August 2006 Location: Yorkshire Posts: 178 Thanks: 0 Thanked 0 Times in 0 Posts iTrader: (0)	Honda PCP plan. Does anyone understand this? Honda offered me this when I first approached them earlier in the year but, as I had reservations, I opted to go with hire purchase. Yesterday evening however I learnt that someone I know has a Civic on order and is seriously considering the PCP plan. She reminded me that, after three years, Honda present 3 options: Pay an agreed 'guaranteed minimum value' figure and purchase the car outright. Hand the car back, provided it's in reasonable condition, and walk away. 'Trade in' the car for its 'guaranteed minimum value' against another Honda. I was confused by the final option though and questioned how you could trade in a car, the final payment of which remained outstanding. Does anyone know if Honda give you the trade in value against a new car, or just write off the remaining payment and put you onto a new deal? I'm wondering if I might be able to transfer my agreement (probably not I guess).