Want to start the New Year with a new best car deals? We're living through a strange time in the automotive world, but there's one more thing: Manufacturers still need to sell cars. So it can be said that there has never been a better time to buy a new best car deals, as there are so many exciting new car deals to lure you into showrooms.
But while buyers can do well to get some very good new-car deals, you must know what to buy and how to buy it. We searched the financial calculators of almost every major brand website to find the best prices for you, focusing on the Personal Contract Purchase (PCP) program, because these are by far the most popular way to buy a new best car deals.
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What's important is the number in our list of the best new best car deals deals: deposits, monthly repayments and optional final payments are all crucial and you can read more in our PCP guide. It is also important to know the interest rate, the term of the agreement, the mileage limit and the amount of any deposit the manufacturer will make. Most of our deals assume you'll put down a deposit of around 10% to 15% and cover no more than 8,000 miles per year.
Golf for the masses - £205 per month
Honda Civic - £229 per month
Seat Arona- £231 per month
Peugeot 208- £259 per month
Skoda Octavia Estate - £274 per month
Mazda CX-5- £279 / month
HYUNDAI IONIQ - £279 / month
Mercedes Class A - £299 / month
Nissan Leaf- £309 / month
Lexus UX- £309 per month
How does PCP work?
More than 90 per cent of new cars sold in the UK are bought through some form of financing, so while sticker prices are often mentioned, monthly figures and savings are arguably more relevant. Most best car deals manufacturers have their own personal contract purchase (PCP) versions, and they all work the same way.
The PCP is best divided into three parts: deposit, monthly repayment and optional final repayment. Margin is cash that you deposit in advance. This can be as simple as a one-time payment, the value of the parts exchanged, a manufacturer's deposit or a combination of all three.
The amount you deposit will affect the amount you pay back each month. These are usually made over a period of 24, 36 or 48 months, but can be scaled up or down depending on your situation. The final portion is the optional final payment, sometimes referred to as "balloon payment". Your deposit and monthly payment are only part of the return. In fact, they actually pay off the depreciation within the time you earn it. To own the best car deals, you need to pay in full, but not every buyer does.
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Many drivers take "equity" in their cars as their next deposit. This "equity" consists of the amount you might overpay, because manufacturers often overestimate the value of a new car to make sure it's safe. This quirk of the PCP means that you don't necessarily need to find a large deposit every time you make a new transaction.
If you don't want to own the car outright or convert any "equity" into a new transaction, your third option is to return the car without additional payment and walk away.
Few buyers have the ability or incentive to spend tens of thousands of pounds at a time. So, while PCP transactions are the most popular financial option, retailers also have another option, called Personal Contract Employment (PCH).
PCH transactions, also known as personal leases, require less capital. After the "initial rent" or advance payment, you make a series of regular payments until the agreement terminates, at which point you turn the car back in and walk away.
While not having a large deposit, the PCP offers a degree of flexibility that the PCP does not. The PCH will help you throughout the entire period and there is no option to return the car early without financial loss.
Not many people are buying on the installment plan these days, but it's still possible to sign up for the old HP on a new car.
Putting down the deposit and paying it off each month, unlike a PCH or PCP deal, can pay off the value of the car. By the end of the semester, you will have full ownership of the car.
HP deals are guarantees on vehicles, so they tend to offer more attractive interest rates than unsecured bank loans, for example.
In the new car market, the days when cash was king are long gone, and you may find that the deals offered through this purchase are not as attractive as those available to you when you make a PCH or PCP transaction.
Credit cards offer consumers protection against purchases between £100 and £30,000, but at high interest rates. Attractive interest rates on a bank loan are another route. You'll be paying cash for the car, so it's hard to get a dealer discount.
Below, we highlight some of the best choices in a range of categories. These are some of the suggestions we consider, but they're not for everyone. You should take the time to ensure that the model you choose has the space, style, economy, and performance you need.
Once you've drawn up your shortlist, call the dealer to book a test drive and make the most of the car. Make sure that you and anyone else who will be driving it is satisfied and that you can find the right driving position behind the wheel.
Bring children along to make sure they are comfortable and easy to fit into. And, if you have a particular hobby, make sure the car is suitable for your job.