satines
Well-Known Member
Anyone know what is this? The PML BMW website top link
Is this leasing or what? Can only drive 60k km / 3yrs.
Is this leasing or what? Can only drive 60k km / 3yrs.
Guaranteed Future Value Program?
- Thread starter satines
- Start date
DRV
Well-Known Member
Re: Guaranteed Future Value Program?
Sounds like leasing... very popular in US and Europe but not common in Singapore
It's like long term rental. You pay a small downpayment and a monthly fee and at the end of the 3 years you just walk off...
Usually PML will then offer you the car at the end of 3 years for a certain price if you want to keep it, if not then go find another car.
I believe there is some lock in period so you can't just terminate before 3 years without penalty
Sounds like leasing... very popular in US and Europe but not common in Singapore
It's like long term rental. You pay a small downpayment and a monthly fee and at the end of the 3 years you just walk off...
Usually PML will then offer you the car at the end of 3 years for a certain price if you want to keep it, if not then go find another car.
I believe there is some lock in period so you can't just terminate before 3 years without penalty
ecoquest
Well-Known Member
Re: Guaranteed Future Value Program?
Yes, sounds like the vehicle leasing models common in US/Canada. When I was living there, I leased 2 of my cars and it's less of a headache during 'disposal'.
But contractually, you can't terminate your lease although you can find another buyer to take over your lease and transfer all assignment to the buyer.
Normally, the lease-holder may have to pay some cash incentive for someone else to take over his/her lease should the lease have quite while to run.
You can check out websites like www.takemylease.com to get a feel of how leases change hands.
Would be really good to see this leasing model take off here.
Yes, sounds like the vehicle leasing models common in US/Canada. When I was living there, I leased 2 of my cars and it's less of a headache during 'disposal'.
But contractually, you can't terminate your lease although you can find another buyer to take over your lease and transfer all assignment to the buyer.
Normally, the lease-holder may have to pay some cash incentive for someone else to take over his/her lease should the lease have quite while to run.
You can check out websites like www.takemylease.com to get a feel of how leases change hands.
Would be really good to see this leasing model take off here.
unpluggedmusic
Member
Re: Guaranteed Future Value Program?
can i still back out from my purchase with PML if I should ever decide to do this lease thingy?
can i still back out from my purchase with PML if I should ever decide to do this lease thingy?
Re: Guaranteed Future Value Program?
Can it be assumed that modifications are not allowed since it's a "lease"-like finance structure and they may have the upper-hand in voiding the agreement if found otherwise. Also the servicing probably has to be done entirely at PML.
Otherwise, it sounds like a good deal.
Can it be assumed that modifications are not allowed since it's a "lease"-like finance structure and they may have the upper-hand in voiding the agreement if found otherwise. Also the servicing probably has to be done entirely at PML.
Otherwise, it sounds like a good deal.
Re: Guaranteed Future Value Program?
I was thinking the same too. From what i know and read on the US forums, the US guys still mod their cars when leasing but mods which are not visible by the naked eye. meaning like piggybacks, etc. There is 1 guy who shit in his pants after the dealership found out abt his wastegates failing and took his ECU apart to find a piggyback lurking there. If you are gonna mod even to a level where it will and can be detected, its not worth it. But for short term owning, i'd say it rules.
Puny;316666 said:
I was thinking the same too. From what i know and read on the US forums, the US guys still mod their cars when leasing but mods which are not visible by the naked eye. meaning like piggybacks, etc. There is 1 guy who shit in his pants after the dealership found out abt his wastegates failing and took his ECU apart to find a piggyback lurking there. If you are gonna mod even to a level where it will and can be detected, its not worth it. But for short term owning, i'd say it rules.
ecoquest
Well-Known Member
Re: Guaranteed Future Value Program?
As a further note, usually the leasor (in this case PML) will require that the leasee return the car in the same configuration at the end of the lease period. (ie, cannot make modifcations)
This will probably put a dampener on most of the folks here.
As a further note, usually the leasor (in this case PML) will require that the leasee return the car in the same configuration at the end of the lease period. (ie, cannot make modifcations)
This will probably put a dampener on most of the folks here.
DRV
Well-Known Member
Re: Guaranteed Future Value Program?
This kind of lease is good for people who buy new cars and change their cars every 3 years (warranty period) without mods etc, and who drive average distances.
Also good for those who don't want the hassle of taking a loan or of bearing the unknown depreciation of the car. Leasing allows the person to just pay a monthly fee and walking off at the end.
Not good for those that change car often, want to mod, drive more than average etc...
This kind of lease is good for people who buy new cars and change their cars every 3 years (warranty period) without mods etc, and who drive average distances.
Also good for those who don't want the hassle of taking a loan or of bearing the unknown depreciation of the car. Leasing allows the person to just pay a monthly fee and walking off at the end.
Not good for those that change car often, want to mod, drive more than average etc...
coolant
Well-Known Member
Re: Guaranteed Future Value Program?
Here is the info i got from my SE friend at PML, its only available for the BMW 320iA Professional version, here is how the GFV program works:
Retail Price is based on $139,800. You put down $13,980 deposit, then for the next 36 months pay $1,950 per month. The car is registered under your name, so is the loan (nope, its not under PML). You still have to pay for the road tax and insurance and servicings etc (different from actual car leasing). At the end of 36 months, PML will take the car back and do the fullsettlement for you. The car has to be less than 60,000km when handover, if got excess km have to just top up a certain $ amount per extra km.
Looks like its the same as buying the car yourself, just that PML will assure you that you will not have to top-up any money after 36 months based on the GFV package.
I guess you'll have to calculate it out to see if its really worth it.
Here is the info i got from my SE friend at PML, its only available for the BMW 320iA Professional version, here is how the GFV program works:
Retail Price is based on $139,800. You put down $13,980 deposit, then for the next 36 months pay $1,950 per month. The car is registered under your name, so is the loan (nope, its not under PML). You still have to pay for the road tax and insurance and servicings etc (different from actual car leasing). At the end of 36 months, PML will take the car back and do the fullsettlement for you. The car has to be less than 60,000km when handover, if got excess km have to just top up a certain $ amount per extra km.
Looks like its the same as buying the car yourself, just that PML will assure you that you will not have to top-up any money after 36 months based on the GFV package.
I guess you'll have to calculate it out to see if its really worth it.
Re: Guaranteed Future Value Program?
Based on normal situation whereby a future owner takes a 6yr loan (2.5%) @ monthly payment of $2,010. (very close to $1,950 based on the leasing programme)
At the end of 36 months (3yrs), the redemption/settlement amount for the remaining 3 years is only $68,520. This *includes* 20% penalty on top of rule 78 and can be considered the worst scenerio.
This simply means at the end of 3 years, any sale price greater than $68.5K WILL breakeven the cost of the car/loan.
I seriously doubt anyone will have problems selling a 3yr old E90 320i on the market for $68.5K. :screwedu:
Based on normal situation whereby a future owner takes a 6yr loan (2.5%) @ monthly payment of $2,010. (very close to $1,950 based on the leasing programme)
At the end of 36 months (3yrs), the redemption/settlement amount for the remaining 3 years is only $68,520. This *includes* 20% penalty on top of rule 78 and can be considered the worst scenerio.
This simply means at the end of 3 years, any sale price greater than $68.5K WILL breakeven the cost of the car/loan.
I seriously doubt anyone will have problems selling a 3yr old E90 320i on the market for $68.5K. :screwedu:
Re: Guaranteed Future Value Program?
this is a crap deal.
1) The retail price is 139k, but we all know that the selling price is closer to 129k.
2) ($1950 X 36 months + $13950) - interest @2.5%p.a) = approximately $80k paid up
If i go on the normal deal and pay $1950 per month, by the 4th year, the car would be almost paid up! why would anyone want to take this deal and have zero balance left after 3 years?
I think this scheme doesn't suit Singaporean, or even the Foreign Talents who are working here for short time.
this is a crap deal.
1) The retail price is 139k, but we all know that the selling price is closer to 129k.
2) ($1950 X 36 months + $13950) - interest @2.5%p.a) = approximately $80k paid up
If i go on the normal deal and pay $1950 per month, by the 4th year, the car would be almost paid up! why would anyone want to take this deal and have zero balance left after 3 years?
I think this scheme doesn't suit Singaporean, or even the Foreign Talents who are working here for short time.
ezmobile
Well-Known Member
Re: Guaranteed Future Value Program?
i think they are just providing services for the seek of providing.
customer: Do u lease bmw in spore?
pml : Sorry, no.
customer: I would like to own a bmw ,but it seems pointless.cos i will be staying for only 3 years.
pml :If that's the problem,we will look into it.And offer you a special package.
after 1 week.........
pml : We have arrange someting for you sir ,after looking into ur concern.
customer: ...........................................................:yikess:
LL can't complaint anything
i think they are just providing services for the seek of providing.
customer: Do u lease bmw in spore?
pml : Sorry, no.
customer: I would like to own a bmw ,but it seems pointless.cos i will be staying for only 3 years.
pml :If that's the problem,we will look into it.And offer you a special package.
after 1 week.........
pml : We have arrange someting for you sir ,after looking into ur concern.
customer: ...........................................................:yikess:
LL can't complaint anything
Re: Guaranteed Future Value Program?
I'm not sure but I believe if you are paying this amount, then EVERYTHING including servicing would be included in the cost. Basically, it gives the lease-ee peace of mind that he will not have to worry about the car 3 years later.
I'm not sure but I believe if you are paying this amount, then EVERYTHING including servicing would be included in the cost. Basically, it gives the lease-ee peace of mind that he will not have to worry about the car 3 years later.
ezmobile
Well-Known Member
Re: Guaranteed Future Value Program?
if onli can drive up to 60k thats mean they onli need to service for 6 times or 7 for intial run in. If the ride gives u so much problem during the 60k of driving, better dun buy or drive bmw already.
Anyway new ride also under warranty mah so not much diff.
Unless pml saying that the lease of the ride which went total lose ,they will replace another just for you FREE!. Then there's something to consider hehehe. Every now and then go sepang!
TheNew7;317679 said:
if onli can drive up to 60k thats mean they onli need to service for 6 times or 7 for intial run in. If the ride gives u so much problem during the 60k of driving, better dun buy or drive bmw already.
Anyway new ride also under warranty mah so not much diff.
Unless pml saying that the lease of the ride which went total lose ,they will replace another just for you FREE!. Then there's something to consider hehehe. Every now and then go sepang!
