25 August 2016 by Christofer Lloyd, Finance Editor

  • Audi A4 finance
  • Land Rover Discovery Sport
  • BMW 1 Series
  • Land Rover Discovery Sport
  • Make your budget stretch further with a PCP scheme
  • Pay less for a premium model than a mainstream rival
  • Hand the car back when the contract ends for maximum value

After an upmarket car, but think you can only afford something from a budget brand? Think again. Opt for a PCP finance deal and you can get a BMW for the price of a Citroen or a Land Rover for the same per month as a Hyundai, if you hand the car back at the end of the contract. Click here to find out more about PCP car finance.

How is this possible? With PCP spreading the list price of a car – minus its predicted value at the end of the scheme plus any deposit – over several years, the more the car is worth when you hand it back, the less you pay per month.

Therefore if you choose a popular model that retains a large proportion of its value, you can secure Waitrose transport for a Lidl price with finance schemes. Be sure to try out our finance tool to see how much you can afford to borrow. We work with more than 20 lenders to give you access to more than 100 lending options.

Drive a BMW 1 Series for less than a Citroen C4

Despite its small hatchback billing, the BMW 118i M Sport five-door will set you back a substantial £24,160 if you pay cash compared with £19,050 for the Citroen C4 1.2 PureTech 130 Flair.

Secure the car with a finance scheme, though, and the tables are turned. With monthly payments of just £290 (for a four-year contract with a £3,000 deposit), the German car actually works out cheaper per month than the Citroen, which would set you back £297 per month with the same deposit.*

While the Citroen is worth only £4,185 after four years – barely 20 percent of its original price – the BMW is still worth £9,927. As a result, anyone choosing the Citroen will have to pay more every month to cover the greater loss of value. BMW drivers, meanwhile, are able to hand back a more valuable car – shrinking their monthly payments.

Finance offer: BMW 118i M Sport 5dr*

Parkers star rating: 4.5 stars

Monthly cost: £289.91 (47 payments)

Deposit: £3,000

Deposit contribution: £1,069.28

APR: 5.9 percent

Total amount payable by customer: £26,553.87

Cash price: £24,160

Mileage allowance: 10,000 miles per year

BMW 1 Series review

View the latest BMW 1 Series cars for sale

 

Finance offer: Citroen C4 1.2 130 Flair*

Parkers star rating: 3.0 stars

Monthly cost: £297.20 (47 payments)

Deposit: £3,000

Deposit contribution: £0

APR: 4.9 percent

Total amount payable by customer: £21,153.40

Cash price: £19,050

Mileage allowance: 10,000 miles per year

Citroen C4 review

View the latest Citroen C4 cars for sale


Choose an Audi to save money over a Ford

Ford may be on the hunt for Audi, BMW and Mercedes drivers with its posh new Mondeo Vignale, but anyone hankering after an Audi could actually save money by choosing the real thing. Monthly payments of £315 are enough to get the keys to an Audi A4 2.0 TDI 190 Ultra S Line, compared with £348 for a Mondeo Vignale 2.0 TDCI 180 (with deposits of £5,000)*.

Audi is also offering greater discounts, with a £2,500 contribution from the dealer, while Ford will throw in just £1,100*. As a result, signing up for a Mondeo Vignale on finance will cost nearly £1,500 more than the A4 if you hand the keys back after three years.

Should you want to buy the car outright at the end of the PCP period, however, the Audi will prove pricier to the tune of more than £4,000. This is because the final payment is much higher, due to the car being worth much more than the Ford at the end of the contract.

Finance offer: Audi A4 2.0 TDI 190 Ultra S Line*

Parkers star rating: 4.3 stars

Monthly cost: £314.93 (35 payments)

Deposit: £5,000

Deposit contribution: £2,500

APR: 3.9 percent

Total amount payable by customer: £32,809.55

Cash price: £32,900

Mileage allowance: 10,000 miles per year

Audi A4 review

View the latest Audi A4 cars for sale

 

Finance offer: Ford Mondeo Vignale 2.0 TDCI 180*

Parkers star rating: 4.0 stars

Monthly cost: £347.58 (36 payments)

Deposit: £5,000

Deposit contribution: £1,100

APR: 0.9 percent

Total amount payable by customer: £28,749.88

Cash price: £29,395

Mileage allowance: 9,000 miles per year

Ford Mondeo review

View the latest Ford Mondeo cars for sale


Secure a Land Rover off-roader on a Hyundai budget

Ever fancied a Land Rover, but don’t think you can get one in budget? Very high predicted used values for the Discovery Sport off-roader mean that finance can be a great-value way to get a Land Rover on the drive. With a £5,000 deposit you’d be looking at monthly payments of £550 over three years – £8 less per month than an equivalent Hyundai Santa Fe.

The reason why the Land Rover works out at less per month on finance – despite costing £5,650 more than the Hyundai – is that the car you hand back at the end of the contract should be worth £7,000 more. Buy the cars at the end of the contract, however, and you’ll have paid around £7,000 more for the Discovery Sport. 

Work out how much you can afford to borrow with our finance tool.

 

Finance offer: Land Rover Discovery Sport 2.0 TD4 180 HSE automatic*

Parkers star rating: 4.5 stars

Monthly cost: £550.46 (36 payments)

Deposit: £5,000

Deposit contribution: £0

APR: 6.9 percent

Total amount payable by customer: £45,565.56

Cash price: £39,800

Mileage allowance: 10,000 miles per year

Land Rover Discovery Sport review

View the latest Land Rover Discovery Sport cars for sale

 

Finance offer: Hyundai Santa Fe 2.2 CRDI 200 Premium 5-seat*

Parkers star rating: 3.5 stars

Monthly cost: £557.80 (36 payments)

Deposit: £5,000

Deposit contribution: £0

APR: 6.9 percent

Total amount payable by customer: £38,595.80

Cash price: £34,150

Mileage allowance: 10,000 miles per year

Hyundai Santa Fe review

View the latest Hyundai Santa Fe cars for sale


Still thinking about how to pay for your next car? Take a look at the articles below:

Top cars for less than £100 per month

Fantastic finance deals on family-friendly convertibles

Act now: grab a great deal on the very latest cars

How to finance a car for less than a train season ticket

Avoid off-roaders to get the best finance deal

*Deals are correct at time of publication. Everyone’s financial circumstances are different and credit is not always available – Parkers cannot recommend a deal for you specifically. These deals are indicative examples of some packages available this week.

*Deals are correct at time of publication. Everyone’s financial circumstances are different and credit is not always available – Parkers cannot recommend a deal for you specifically. These deals are indicative examples of some packages available this week.How to buy a high-end car for a low-end budget with car finance
Make your budget stretch further with a PCP scheme
Pay less for a premium model than a mainstream rival
Hand the car back at the end of the finance term
After an upmarket car, but think you can only afford something from a budget brand? Think again. Opt for a finance deal and you can get a BMW for the price of a Citroen or a Jaguar for the same per month as a Hyundai, if you hand it back at the end of the contract.
How is this possible? With PCP finance spreading the list price of a car – minus its predicted value at the end of the scheme and any deposit – over a number of years,  the more the car is worth when you hand it back, the less you pay per month. 
 
Therefore if you choose a popular model that retains a large proportion of its value, you can secure Waitrose transport for a Lidl price with finance schemes. Be sure to try out our finance tool for a quote [LINK]. We work with more than 20 lenders to give you access to more than 100 different lending options.
Bag a BMW 1 Series for less than a Citroen C4
Despite its small hatchback billing, the BMW 118i M Sport five-door [LINK] will set you back a substantial £24,160 if you pay cash compared with £18,680 for the Citroen C4 1.2 PureTech 130 Flair [LINK]. 
Secure the car with a finance scheme, though, and the tables are turned. With monthly payments of just £256.16 (with a £5,000 deposit), the German car actually works out cheaper per month than the Citroen, which would set you back £268.10 per month with the same deposit*.
While the Citroen is worth only £5,593 after three years – barely a quarter of its original price – the BMW is still worth £11,538. As a result, anyone choosing the Citroen will have to pay more every month to cover the greater depreciation. BMW drivers, meanwhile, are able to hand back a more valuable car – shrinking their monthly payments. 
Choose an Audi to save money over a Ford
Ford may be on the hunt for Audi, BMW and Mercedes drivers with its posh new Mondeo Vignale, but anyone hankering after an Audi could actually save money by choosing the real thing. Monthly payments of £319 are enough to get the keys to an Audi A4 Sport 2.0 TDI 190 Ultra [LINK], compared with £354.09 for a Mondeo Vignale 2.0 TDCI 180 [LINK] (with similar deposits of around £5,000)*. 
Audi is also offering greater discounts, with a £2,500 contribution from the dealer, while Ford will throw in just £1,100*. As a result, signing up for a Mondeo Vignale on finance will cost over 10 percent more than the A4 if you hand the keys back after three years.
Should you want to buy the car outright at the end of the PCP period, however, the Audi will prove pricier to the tune of £2,904, as it is still worth much more than the Ford at this stage.
Secure a Jaguar or Land Rover off-roader on a Hyundai budget
Ever fancied a Jaguar, but don’t think you can get one in budget? Very high predicted used buyer demand for the new F-Pace [LINK] off-roader, means that finance can be a great-value way to get a Jaguar on the drive. With a £5,000 deposit you’d be looking at monthly payments of £471.56 – around £6 more per month than a Hyundai Santa Fe [LINK] with the same terms.
It’s a similar story with the Land Rover Discovery Sport [LINK], with monthly payments of £466.58 for a reasonably well-equipped SE Tech model. While financing the Discovery Sport and handing it back at the end will cost £30 more than the Hyundai in monthly payments over three years, this figure jumps to £3,000 more should you pay the optional final payment to make the car yours.
Work out how much you can afford to borrow with our finance tool [LINK].
Make sure you hand the car back in good condition
One of the key selling points of PCP schemes is that they give you the option to buy the car or hand it back at the end of the contract, giving you several years to decide whether to keep the car or move onto something else. However, if you do plan to hand the car back, it must be in good condition, have been serviced to the manufacturer’s schedule and under the agreed mileage limit to avoid facing additional charges. 
With extra fees potentially mounting up quickly, it’s also wise to ask the salesperson to clarify exactly what your responsibilities are, before signing on the dotted line. Do this, though, and you may be amazed just how far your budget will stretch.
http://www.parkers.co.uk/cars/finance/car-finance-advice/car-finance-which-option-is-right-for-you/
http://www.parkers.co.uk/cars/finance/car-finance-advice/what-happens-at-the-end-of-a-pcp-deal/ 
http://www.parkers.co.uk/cars/finance/car-finance-advice/5-pcp-finance-myths-uncovered/ 
http://www.parkers.co.uk/cars/finance/car-finance-advice/top-low-deposit-hatchbacks/ 
http://www.parkers.co.uk/cars/finance/car-finance-advice/how-to-buy-a-brand-new-car-for-the-cost-of-a-monthly-mobile-phone-bill/ 
*Deals are correct at time of publication. Everyone’s financial circumstances are different and credit is not always available – Parkers cannot recommend a deal for you specifically. These deals are indicative examples of some packages available this