Porsche Finance UK

[Fish Fingers]

Hi, new to this site. Had my GTS on order since Jan 22. Due for production now, was orginally due back end of last year. APR rate was 6.2% at time of order, Fixed and approved in June at 6.9%. Now its gone to 10.8%. It added about £350 a month and £15k to cost of borrowing.

That is quite some increase....

I doubt too many people will just take that on the chin and carry on with the purchase, in the current economic climate.

I think if a lot of people had a spare £350pm at the time of order, they would have gone for a higher spec/model.

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[Jr84]

That is quite some increase....

I doubt too many people will just take that on the chin and carry on with the purchase, in the current economic climate.

I think if a lot of people had a spare £350pm at the time of order, they would have gone for a higher spec/model.

To Be fair I've ordered the GTS as that's the model i wanted but not with that monthly costs etc its push that car into a different bracket of car (Its the same money now as my 911 GTS).

What is worrying me is are people going to cancel and they get stuck with cancelled models so is hurts the used values. Plus will be difficult to get out of as the cost of credit is such a large figure now.

 

[TaycanHero]

To Be fair I've ordered the GTS as that's the model i wanted but not with that monthly costs etc its push that car into a different bracket of car (Its the same money now as my 911 GTS).

What is worrying me is are people going to cancel and they get stuck with cancelled models so is hurts the used values. Plus will be difficult to get out of as the cost of credit is such a large figure now.

That's what I've been thinking and since I'm very likely leaving the UK permanently by March, I'm probably going to be cancelling otherwise the car is sat in storage for 9-10 months of the year until I make my periodic return.

Purchasing isn't the problem, it's depreciation and trying to sell the thing. APR for those financing second hand could see used prices plummet.

I commented a few weeks ago that if something shoots up significantly (used car prices 2022), it often crashes significantly soon after (2023 used car prices?...) before reverting to the mean (2024-5).

Granted I still don't have an allocation, but I'm expecting the call this quarter. The logistics of it all, which includes shuttering my UK business where it's a company car purchase, means I'm likely joining that growing list of order cancellations.

I might see if I can swap it for a personal purchase instead, but then I won't be in the UK long enough each year to enjoy the car.

 

[Scandinavian]

That's what I've been thinking and since I'm very likely leaving the UK permanently by March, I'm probably going to be cancelling otherwise the car is sat in storage for 9-10 months of the year until I make my periodic return.

Purchasing isn't the problem, it's depreciation and trying to sell the thing. APR for those financing second hand could see used prices plummet.

I commented a few weeks ago that if something shoots up significantly (used car prices 2022), it often crashes significantly soon after (2023 used car prices?...) before reverting to the mean (2024-5).

Granted I still don't have an allocation, but I'm expecting the call this quarter. The logistics of it all, which includes shuttering my UK business where it's a company car purchase, means I'm likely joining that growing list of order cancellations.

I might see if I can swap it for a personal purchase instead, but then I won't be in the UK long enough each year to enjoy the car.

Sounds like a sensible approach to cancel the order. Very expensive car for a short time use of a few months.

 

[TaycanHero]

Sounds like a sensible approach to cancel the order. Very expensive car for a short time use of a few months.

I think so. Depending on where I settle, I could always order the car again, it's just if I do leave the UK permanently, I'll be bouncing around various countries for a max of 3 months at a time - possibly for a year or two before settling somewhere I am happy with calling "home".

In that scenario, there is absolutely no need for a car and certainly not a £100k+ Taycan!

Will be a shame. If the car can be delivered by March (unlikely), I'll probably go ahead with it. If it isn't until summer or autumn, I will cancel as it is very unlikely I'll even be in the UK.

I suppose it's a good problem to have.

 

[mutanthands]

I think so. Depending on where I settle, I could always order the car again, it's just if I do leave the UK permanently, I'll be bouncing around various countries for a max of 3 months at a time - possibly for a year or two before settling somewhere I am happy with calling "home".

In that scenario, there is absolutely no need for a car and certainly not a £100k+ Taycan!

Will be a shame. If the car can be delivered by March (unlikely), I'll probably go ahead with it. If it isn't until summer or autumn, I will cancel as it is very unlikely I'll even be in the UK.

I suppose it's a good problem to have.

Are you really going to base your business / location on if a car arrives by March or not?!
You've been talking about potentially moving since joining the forum, make a decision already! haha

 

[Andy0565]

I ordered my car in Oct 2022. It was delivered 4 weeks ago. My finance deal was quoted at 5.9% when I handed over the deposit and the rate was guaranteed.

I was planning on buying the car outright as I’d loaded up the extras so that the balloon payment was on the low side compared to my expectation of the car’s value after 4 years. However, when rates started to rise it started to look like a good deal, so I took it and have left the money invested.

I feel lucky to have secured the rate given what others are now saying but am also surprised to see what’s happening as I understood that the rate guarantee was universal.

 

[TaycanHero]

Are you really going to base your business / location on if a car arrives by March or not?!
You've been talking about potentially moving since joining the forum, make a decision already! haha

Ha, of course not! The business would still be closing, but the car ownership would transfer to me personally. Then a few weeks later I would find myself somewhere sunny and exciting. The car would find itself somewhere dreary with a corrugated roof.

The head is telling me that is utterly pointless. The heart is saying keep it, for those few months I return to the UK.

I suppose I could instead rent an e208 for those months I return, but then equally it could be a GTS ST... As you can tell, my life is incredibly complex, with a lot of drama and immense dilemmas to work out.

 

[Rob********]

Starting to consider a cancellation myself. Given the rate rises the leasing costs are higher and push the car from a c£1000 a month to a c£1300 a month...plus VAT. Forza Finance have quoted at a rate of 7.4% however, and they can get the monthly cost to c£1100 but they require a £25k deposit. The original Porsche deal was c£920 a month plus VAT with only £8k initial rental. Over 4 years, it amounts to quite a lot more!

 

[Jin]

I ordered my car in Oct 2022. It was delivered 4 weeks ago.

did you mean 2021? would be some turn around if not

 

[Andy0565]

did you mean 2021? would be some turn around if not

Totally! Good spot! ?

 

[TaycanHero]

Starting to consider a cancellation myself. Given the rate rises the leasing costs are higher and push the car from a c£1000 a month to a c£1300 a month...plus VAT. Forza Finance have quoted at a rate of 7.4% however, and they can get the monthly cost to c£1100 but they require a £25k deposit. The original Porsche deal was c£920 a month plus VAT with only £8k initial rental. Over 4 years, it amounts to quite a lot more!

Hmmm, if it's looking that expensive even out of principle I would hesitate.

That money can be used for so many better things and let's face it, we are only buying a Taycan becuae of the tax benefits. If those benefits evaporate, then what's the point?

May as well take a bigger salary and get a 911 instead.

There will be a lot of cheap used cars by the summer as more get handed back and even more sit in showrooms with people unwilling to finance.

 

[mutanthands]

Ha, of course not! The business would still be closing, but the car ownership would transfer to me personally. Then a few weeks later I would find myself somewhere sunny and exciting. The car would find itself somewhere dreary with a corrugated roof.

The head is telling me that is utterly pointless. The heart is saying keep it, for those few months I return to the UK.

I suppose I could instead rent an e208 for those months I return, but then equally it could be a GTS ST... As you can tell, my life is incredibly complex, with a lot of drama and immense dilemmas to work out.

With a softening market, an expensive depreciating asset sat in a garage most of the year makes zero sense.
Why not just put your name down, or buy second hand wherever you plan on moving to? They have Porsche in UAE / Dubai.etc too

 

[TaycanHero]

With a softening market, an expensive depreciating asset sat in a garage most of the year makes zero sense.
Why not just put your name down, or buy second hand wherever you plan on moving to? They have Porsche in UAE / Dubai.etc too

Totally. It is just not worth the hassle.

To your second point, I was thinking exactly that, but then I don't know where I will settle long term. Not the UAE though - it's a great home for my business and my bank balance, but not for me! Possibly Madrid, or somewhere in the Far East

That's what the next 12 months will be: working out where my base will be. Then I'll put in an order for a nice car again.

But then paying 0% corp and 0% income tax means I will no longer be interested in a Taycan.

I will instead be buying a 911.

 

[W1NGE]

Hmmm, if it's looking that expensive even out of principle I would hesitate.

That money can be used for so many better things and let's face it, we are only buying a Taycan becuae of the tax benefits. If those benefits evaporate, then what's the point?

May as well take a bigger salary and get a 911 instead.

There will be a lot of cheap used cars by the summer as more get handed back and even more sit in showrooms with people unwilling to finance.

Taycan vs 911 - not really a fair comparison or substitute IMHO.

Still have low BIC, no road tax, cheaper to fuel etc. Economics are still stacked in the Taycan's favour.

I don't think the recession will last the year. Wholesale gas prices had dropped significantly - needs to now be reflected in domestic prices and the mess with electricity resolved also. Interest rates will soften but I guess this won't help new finance agreements with a fixed rate before that happens.

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