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Loving my 1 year young XC40 :)

Posted: Sun Apr 04, 2021 5:11 pm
by rk5
Been using a XC40 for an year now. Absolutely loving it’!

The car is impeccable. Offers great comfort, driving pleasure and practicality.

Have a few wish list items though. Would love to start a few posts and get thoughts from this lovely community!

Cheers

Re: Loving my 1 year young XC40 :)

Posted: Sat Jan 01, 2022 1:53 am
by Bernard Bernardsson
Then go for it dude, we all love to chat about our xc40s, so chuck something in the pot, and welcome.
P. S. I may be slightly under the influence, but I love herein about other people's experiences when I'm not ✌️✌️

Re: Loving my 1 year young XC40 :)

Posted: Sat Jan 01, 2022 11:26 am
by Deleted User 3629
Yep, the XC40 is a great car, however value for money has in my view become a different matter. You could purchase an XC40 B4 R-design a year ago for around £32k - today its more like £41k - a hefty 30% increase - good value a year ago - no such good value today??

Re: Loving my 1 year young XC40 :)

Posted: Sat Jan 01, 2022 1:33 pm
by Chris John
Bernard Bernardsson wrote: Sat Jan 01, 2022 1:53 am Then go for it dude, we all love to chat about our xc40s, so chuck something in the pot, and welcome.
P. S. I may be slightly under the influence, but I love herein about other people's experiences when I'm not ✌️✌️
Never have guessed you were under the influence, well other than replying to a 8 month old post 🤣🤣🤣. Happy New Year

Re: Loving my 1 year young XC40 :)

Posted: Sat Jan 01, 2022 4:09 pm
by m@rk
Oldie wrote: Sat Jan 01, 2022 11:26 am Yep, the XC40 is a great car, however value for money has in my view become a different matter. You could purchase an XC40 B4 R-design a year ago for around £32k - today its more like £41k - a hefty 30% increase - good value a year ago - no such good value today??
But Volvo don't want you to buy a Volvo thus the retail price is pretty meaningless. Indeed whilst I am in a company car this time round, I tend to jump in and out of the private car/company car option every few years and I cannot remember the actual cash price of the car even entered the discussion.

For many owners buying a car has evolved over the last 20 years from HP to PCP and lease and now we are starting to see true subscriptions emerge. If anything, Volvo want you to look at the cash price and think "I might as well just pay monthly for it".

Sure there are still owners out there who buy their new cars for cash and keep them many years but these days, they really are in the minority and if Volvo looses them along the way, it doesn't matter

Re: Loving my 1 year young XC40 :)

Posted: Sun Jan 02, 2022 10:24 am
by NitramA
But Volvo doesn't want you to buy a Volvo thus the retail price is pretty meaningless. Indeed whilst I am in a company car this time round, I tend to jump in and out of the private car/company car option every few years and I cannot remember the actual cash price of the car even entered the discussion.

For many owners buying a car has evolved over the last 20 years from HP to PCP and lease and now we are starting to see true subscriptions emerge. If anything, Volvo want you to look at the cash price and think "I might as well just pay monthly for it".

Sure there are still owners out there who buy their new cars for cash and keep them many years but these days, they really are in the minority and if Volvo looses them along the way, it doesn't matter
[/quote]

Nothing like a bit of Capitalist manipulation to grease the wheels heh :D

Whilst I understand that most people go the PCP route and it doesn't impact you directly, but a higher list price will increase your final balloon payment to keep the car (assuming that the higher MRP doesn't impact depreciation and your monthly payments that is).
Of course, when it comes to renewal time you won't want to keep the car as it's old and you won't be paying that huge final amount but you will go back to Volvo to keep them in business. As I said greasing the wheels of the car manufacturer and financiers.
You then are replacing the car when they want not when you want to.

It's not an issue if that's what you're happy doing it that way but I'd be concerned that any choice you may have had is slowly being eroded by it no longer being financially viable.
Of course, Volvo wants you to go subscription as it's an ongoing revenue stream but a proportion of people like a choice (not trying to be confrontational here).

Maybe we are actually seeing a change in the ownership of private cars and will move to a shared PAYG model, but that's another subject!!

Happy New Year everyone!

Re: Loving my 1 year young XC40 :)

Posted: Sun Jan 02, 2022 6:29 pm
by Deleted User 3629
Whether you buy, HP, PCP, company-car etc etc - your outlay is directly linked to the retail price of the car - and the more a car is the more you pay - one thing is for sure - the options, other than to buy outright, will be the most expensive way to obtain one - and guess what, the manufacturers know that???

Re: Loving my 1 year young XC40 :)

Posted: Mon Jan 03, 2022 12:23 pm
by m@rk
Oldie wrote: Sun Jan 02, 2022 6:29 pm Whether you buy, HP, PCP, company-car etc etc - your outlay is directly linked to the retail price of the car - and the more a car is the more you pay - one thing is for sure - the options, other than to buy outright, will be the most expensive way to obtain one - and guess what, the manufacturers know that???
I would have to disagree

On things like PCP, the manufacturer can (and do) underwrite an artificially high final value thus reducing the amount to finance and therefore the monthly payments. Mercedes Benz are particularly bad for doing this but others do too. I'm sure there must be a write off taking place somewhere in the process but they use this as a way to shift more new units

In the case of subscription, look at what happened with the P8 when it first came out on Volvo subscription. Initially the cheapest monthly payment was £1000 per month and many people complained. The one day it simply dropped to £600 per month (same car, same term, same miles) yet the retail price did not change.

When the manufacturer controls the supply AND the finance they really can manipulate the figures to however they want

Re: Loving my 1 year young XC40 :)

Posted: Mon Jan 03, 2022 4:09 pm
by Deleted User 3629
Disagreeing won't make any difference to reality. With a PCP you cover the monthly depreciation, this can be manipulated down or up with the size of balloon payment at the end, but all this is calculated at the list price - do you know anyone who has negotiated a 10%-plus reduction on list and then calculated the PCP deal? With the P8 scenario - this was no doubt, new car what can we charge mentality - and they got it wrong. When folk mainly brought cars outright, with or without a loan, an iron-fist grip was maintained on any rising retail prices - Today, the retail price is obscured by the "affordable" monthly payment, with the balloon payment seemingly too far away to be any obstruction to that shiny new car - and the consumer is poorer for it!!

Re: Loving my 1 year young XC40 :)

Posted: Mon Jan 03, 2022 4:54 pm
by Den48
Hi
To get back to the thread, yes I have driven the xc40 for ten months now , firstly a T3 manual from last March and a change from November to a B4 auto , love both cars and I appreciate the extra oomph of the B4 if needed.

As regards pcp deals , I have purchased my last 5 cars on pcp non of them run the full course of the agreement and only one car a seat Ateca had a small negative equity when I traded it in for my first T3 .

The balloon payment is the same if you purchased the car at list price or a discontinued price, it’s a prediction and guaranteed minimum value of the vehicle after the length of the pcp arrangement. The pcp financials are calculated on any discount that you achieve from the list price and any deposits that you put down. The discounts and deposits will obviously lower your monthly payment but you will still have to pay the same amount at the end of the term whatever you paid for the car.