Porsche PCP Finance rate - Page 3 - Porsche General - PistonHeads UK

Quoted 3.9% Equiv 7.4% APR on a new Macan. Is this the going rate for PCP for new car? Understand lower rate of 5.9% only for Boxster and Cayman. Never used Porsche finance before but thinking about it to give a guaranteed hand back at end of 3 years given who knows what economy will look like then

5.9% for the Cayster sounds like a new lower rate, it was 6.9% pre-COVID.

O/T but these companies must be raking it in when the Base Rate is, what, 0.1%! TX.

Terminator X said: O/T but these companies must be raking it in when the Base Rate is, what, 0.1%! TX. Not starting an argument but merely pointing out that making a profit isn't a crime, and there's always alternatives if the OP does some research. Personally I don't think it's too bad a rate, and if they're going PCP route its a way of knowing broadly, exactly how much the vehicle will cost you in the time of your 'ownership'.

Just jumping in on this - I'd love a Macan GTS as my next car, covid has thrown a delay in the works but still plan to get one I've never done a PCP before, is there any other finance companies worth speaking to or will Porsche direct be the best option? I assume the biggest difference will be the residual value used for the balloon, with Porsche keeping it higher? Would appreciate any recommendations

Bam89 said: Just jumping in on this - I'd love a Macan GTS as my next car, covid has thrown a delay in the works but still plan to get one I've never done a PCP before, is there any other finance companies worth speaking to or will Porsche direct be the best option? I assume the biggest difference will be the residual value used for the balloon, with Porsche keeping it higher? Would appreciate any recommendations That tends to be how it works. But it's not necessarily the best value. A third party lender with lower interest rate may have a similar monthly payment, but the balloon is smaller.

Fnumber1user said: Terminator X said: O/T but these companies must be raking it in when the Base Rate is, what, 0.1%! TX. Not starting an argument but merely pointing out that making a profit isn't a crime, and there's always alternatives if the OP does some research. Personally I don't think it's too bad a rate, and if they're going PCP route its a way of knowing broadly, exactly how much the vehicle will cost you in the time of your 'ownership'. No problem with people making money; 3.9% is 39x higher than the Base Rate There is profit and there is profit it seems! O/T so apologies TX.

Terminator X said: No problem with people making money; 3.9% is 39x higher than the Base Rate There is profit and there is profit it seems! O/T so apologies TX. It doesn't work like that though. If you have a loan business you measure the profit on the absolute amount. So if you loan £1m on 20 cars, you need to make (say) £40k pa. So your charge must be £40k more than the price of the money. Also In your example, if the base rate went down to 0%, how would it work to determine whether the profit is egregious or not? Bert

Exactly, you can't just look at the rate difference you need to work on absolutes if you want to make a living!

How much are you borrowing? If it is less than 25-30k, there are cheaper options out there like the supermarket banks or even someone like HSBC. 7.9% is quite high to be honest but from memory, Porsche PCP has never been below 5.9%. I used to package these loans up for car companies. They basically finance them in the capital markets at zero percent with 15-20x leverage. So for 20 cars, they would be making 40k on 50k of equity per annum using the example above. There are obviously other costs as well but the finance arm of car companies often created all the value in the firm. It also helped to shift a lot more cars.....

5.8% on a Taycan i picked up yesterday

cc3, Run a quote by Alphera (BMW Finance) . I got 5.9% on my Macan GTS last October . Don't know what the rates are now though.......interestingly Porsche didn't attempt to sell their finance on the (pre-owned) vehicle

It sounds like the rate varies model by model.

Twinfan said: It sounds like the rate varies model by model. Surely most of that variance, manufacturer's contribution.promotion aside, is merely due to the differing GMFV for respective models?

Good point, it may well do.

Twinfan said: It sounds like the rate varies model by model. No different to any other manufacturer, who will vary their rate between models and quarterly campaigns

Dimebars said: Twinfan said: It sounds like the rate varies model by model. No different to any other manufacturer, who will vary their rate between models and quarterly campaigns Promotional and marketing-driven assistance aside, residuals vary considerably between models. Just consider a base spec Cayanne, versus a top spec GT3 RS and think which will likely hold better value in 3 or 4 years time.

Digga said: Promotional and marketing-driven assistance aside, residuals vary considerably between models. Just consider a base spec Cayanne, versus a top spec GT3 RS and think which will likely hold better value in 3 or 4 years time. Of course residuals vary But that has no impact on the headline APR figure offered by the manufacturer

Dimebars said: Digga said: Promotional and marketing-driven assistance aside, residuals vary considerably between models. Just consider a base spec Cayanne, versus a top spec GT3 RS and think which will likely hold better value in 3 or 4 years time. Of course residuals vary But that has no impact on the headline APR figure offered by the manufacturer Depends how you look at it. APR is APR, but residual will impact: https://www.buyacar.co.uk/cars/1444/car-finance-ho...

Digga said: Depends how you look at it. APR is APR, but residual will impact: https://www.buyacar.co.uk/cars/1444/car-finance-ho... That's not what the OP was asking about though

I asked Porsche Finance if they wanted to extend the PCP deal we have on our Macan GTS for another 3 years. It was at 6.5%, not great but not bad, and I thought they might like the deal as it was "easy money" and frankly it would save me the hassle of switching. Short answer is no, was quoted 8.3% on HP only, and when I asked to see if they could a PCP or a better rate (twice) they have not even bothered to reply. I work for a bank, frankly we'd grab a finance deal that produced a 6k return on a 36k loan over 3 years for someone with a gold plated credit history. But they are simply not interested, which underlines the view that they are only there to support car sales. I shouldn't be surprised by this, but in the current climate the smart business would have been to offer good refinancing rates for existing customers who will then buy more later.

gd said: I asked Porsche Finance if they wanted to extend the PCP deal we have on our Macan GTS for another 3 years. It was at 6.5%, not great but not bad, and I thought they might like the deal as it was "easy money" and frankly it would save me the hassle of switching. Short answer is no, was quoted 8.3% on HP only, and when I asked to see if they could a PCP or a better rate (twice) they have not even bothered to reply. I work for a bank, frankly we'd grab a finance deal that produced a 6k return on a 36k loan over 3 years for someone with a gold plated credit history. But they are simply not interested, which underlines the view that they are only there to support car sales. I shouldn't be surprised by this, but in the current climate the smart business would have been to offer good refinancing rates for existing customers who will then buy more later. My experiences with all end-of-term PCP deals have been the same, they really dont want to know and the rate climbs significantly; I guess they want to get you into new metal rather than keep what you have. Thats their business model first and foremost, they are not banks, finance is a necessary evil to sell cars? Fortunately, the last couple of cars we've re-financed at the end have had residuals low enough to use balance transfer 0% cards(!) or in the case of the last one, used a high street lender at 2.9%. £36k is a bit top heavy for those options I guess. One had very good equity in it, so kept it only to sell when we were ready 9 months later. The most recent one was 40k miles excess and a dent in every body panel(!!!!), so we chose to buy it as mechanically it's a good 'un and will sell sometime next year when its worth what we owe. Or keep it until it dies as punishment for one member of the household being incapable of looking where they are going. Frequently.

cc3 said: Quoted 3.9% Equiv 7.4% APR on a new Macan. Is this the going rate for PCP for new car? Understand lower rate of 5.9% only for Boxster and Cayman. Never used Porsche finance before but thinking about it to give a guaranteed hand back at end of 3 years given who knows what economy will look like then 7.4% apr is high, shop around. Plenty of quality lenders will better that rate. Are you getting a discount to offset the high apr rate?

GT4RS said: 7.4% apr is high, shop around. Plenty of quality lenders will better that rate. Are you getting a discount to offset the high apr rate? GTS so discounts thin on the ground but part ex is good. I usually pay cash but was thinking about the benefit of PCP and handing back at end of 3 years if the economy has tanked by then. They value car in 3 years at £40k

cc3 said: GT4RS said: 7.4% apr is high, shop around. Plenty of quality lenders will better that rate. Are you getting a discount to offset the high apr rate? GTS so discounts thin on the ground but part ex is good. I usually pay cash but was thinking about the benefit of PCP and handing back at end of 3 years if the economy has tanked by then. They value car in 3 years at £40k Had a coouple if new GTS macans, 40k is good if it’s a GFV. The last one I ordered had a GFV of 36k after 3 years. I’ve only ever managed to get a discount on the last gts and I think that was only due to ordering other cars. Imo they make a great daily car, not to big to be able to park in town, don’t stand out and go fairly well. I wouldn’t use Porsche for finance mind, Lombard have always been very helpful and also very competitive. I guess if the px price is good that helps the deal.

GT4RS said: Had a coouple if new GTS macans, 40k is good if it’s a GFV. The last one I ordered had a GFV of 36k after 3 years. I’ve only ever managed to get a discount on the last gts and I think that was only due to ordering other cars. Imo they make a great daily car, not to big to be able to park in town, don’t stand out and go fairly well. I wouldn’t use Porsche for finance mind, Lombard have always been very helpful and also very competitive. I guess if the px price is good that helps the deal. Yes sorry a Macan GTS. Cancelled order but nice spec. Will look at Lombard thanks

Thanks for the recommendations, will be contacting Alphera and Lombard to compare

Bam89 said: Thanks for the recommendations, will be contacting Alphera and Lombard to compare With the latter you'll need some patience. They are not always very efficient. That's based upon using them a number of times over the years.

I got 5.9% APR On a Taycan that I picked up this week too. On a 3 year deal it was 5.9% and on a 4 year it was 5.8%. My finance was approved pre-lockdown. A few friends are now making new enquiries about the Taycan after seeing my car and they are being told the APR is now 6.3% and they won't budge.

PrancingHorses said: I got 5.9% APR On a Taycan that I picked up this week too. On a 3 year deal it was 5.9% and on a 4 year it was 5.8%. My finance was approved pre-lockdown. A few friends are now making new enquiries about the Taycan after seeing my car and they are being told the APR is now 6.3% and they won't budge. Nothing strange with that Your deal was already done in an earlier quarter at the rate Porsche GB offered at that time New quarter, new offer

In the olden days you could negotiate on the rate, indeed about 12 years ago I managed to halve the APR when I bought my old 997 C2S. It was a total ball ache of going round 3 different lenders to get Porsche to beat rates but they did each time until I got to something really very competitive. Fast forward to 2018 when I was buying my current 981 GTS and Porsche wouldn't budge from a fixed 6.9% APR, even though i had more competitive quotes elsewhere. Madness, I even told them i was quite happy to go with Porsche, they just need to match rates and was given a flat no and told that they no longer negotiate on rates - ever!!?? Seems a silly strategy to me - why wouldn't they want the business?

OPOGTS said: In the olden days you could negotiate on the rate, indeed about 12 years ago I managed to halve the APR when I bought my old 997 C2S. It was a total ball ache of going round 3 different lenders to get Porsche to beat rates but they did each time until I got to something really very competitive. Fast forward to 2018 when I was buying my current 981 GTS and Porsche wouldn't budge from a fixed 6.9% APR, even though i had more competitive quotes elsewhere. Madness, I even told them i was quite happy to go with Porsche, they just need to match rates and was given a flat no and told that they no longer negotiate on rates - ever!!?? Seems a silly strategy to me - why wouldn't they want the business? Time was when you had to deal with a specialist chap at Porsche finance, if the rate dropped below a certain level. I still have his number somewhere. But he could do better deals than dealerships, when necessary.

PrancingHorses said: I got 5.9% APR On a Taycan that I picked up this week too. On a 3 year deal it was 5.9% and on a 4 year it was 5.8%. My finance was approved pre-lockdown. A few friends are now making new enquiries about the Taycan after seeing my car and they are being told the APR is now 6.3% and they won't budge. How are you finding the Taycan, what model did you go for? I've a Taycan Turbo on order.

old thread but in my experience OPC are ready to sit down and talk, they will match APR rates you get elsewhere, especially if the amount is interesting

rosino said: old thread but in my experience OPC are ready to sit down and talk, they will match APR rates you get elsewhere, especially if the amount is interesting Sounds good. What kind of APR have you been quoted?

rosino said: old thread but in my experience OPC are ready to sit down and talk, they will match APR rates you get elsewhere, especially if the amount is interesting In my (albeit historic) experience they won't. They used to have a chap in Porsche Financial Services who I used to end up dealing with, Adrian Bicker, when the dealership couldn't get close. He could invariably get somewhere near, but rarely beat someone like Lombard.

I don't believe they match others any more, rates are fixed.

If you have a good credit history Lombard will wipe the floor with Porsche financial services

Clydesdale Asset Finance usually can do a good deal.

I tried a few of these companies a few months back, in the end they were all about the same (6.3-7%) and payments weren't dissimilar as a result. They beat VW/Porsche finance by a good amount, but it still felt like quite a lot in today's low interest climate. In the end I decided to use a bit of savings and get a personal loan with my bank for the rest... at 3.1%. The difference in payments is material, as is the total amount of interest paid over 3 years. They are still making a decent margin, but not the usurious rates being charged by some of these companies. And I have title to the car, which you don't on a HP/PCP deal. We could have gone further and added it to the mortgage (at 1.75%) and overpaid it over the term of the car loan. But further advances are more tortuous to secure than unsecured loans if you haven't got a flexible mortgage. There is quite reasonable finance out there if you look for it. But you won't usually find it in a car dealership.

Being told Porsche PCP finance rates just reduced from 10.9 to 10.4 - anybody found anything better? My 911 is in sheerness, looking to fund circa 40-50% deposit minimum given costs of borrowing.

There is questionable wisdom in using PCP to fund a car with a hefty deposit, as you risk losing the lot if / when you end the PCP deal and you pay interest on the whole deal iit. It's been a while since I PCP'D, there are downsides and funny maths to do but I can't remember them off hand not just the Normally HP works out more sensible if you are going to put a wedge in as a deposit / down payment

bennno said: Being told Porsche PCP finance rates just reduced from 10.9 to 10.4 - anybody found anything better? My 911 is in sheerness, looking to fund circa 40-50% deposit minimum given costs of borrowing. Ouch! Can't help re rates, but borrow as little as possible at those figures. If you are funding 50%, wouldn't a straight loan from your bank be better than a PCP?

bennno said: Being told Porsche PCP finance rates just reduced from 10.9 to 10.4 - anybody found anything better? My 911 is in sheerness, looking to fund circa 40-50% deposit minimum given costs of borrowing. Even 10.4 is comical, you need to pretty desperate to have that car if you are happy to pay them figures. Could you not look at other lenders, types of finance?

GT4RS said: bennno said: Being told Porsche PCP finance rates just reduced from 10.9 to 10.4 - anybody found anything better? My 911 is in sheerness, looking to fund circa 40-50% deposit minimum given costs of borrowing. Even 10.4 is comical, you need to pretty desperate to have that car if you are happy to pay them figures. Could you not look at other lenders, types of finance? Sometimes you can get a dealer contribution if you agree to their punchy finance rate. Nothing to say you have to keep it going.

GT4RS said: Even 10.4 is comical, you need to pretty desperate to have that car if you are happy to pay them figures. Could you not look at other lenders, types of finance? Perhaps, I can prob pay off other 50% in 3-4 months, it’s a world away from 3% former rates.