Numpty - agree completely, but from a car dealers perspective on generally small balances over short terms the APR is always going to be proportionately higher than a larger balance over a longer term even if the flat rate is the same...
But you try telling a customer that who thinks he's a smart arse because he's seen Tesco's/Northern Rock etc advertising rates from 5.9% APR. The key is the 'from' bit. The laws are changing with how direct lenders can advertise now, no more rates from, or typical APR's etc.
Chris - Obviously as you are expereincing first hand the aftermath of the likes of Yes Car Credit, but it's not a scenario I imagine with no personal experience, it was my job
I know exactly what they are like, we had a dealership just round the corner from the one I worked in, we even all took it in turns to 'mystery shop' them over a period of time so we could relate to the buying experience (yes it was an 'experience').
Yes they hard sell, but you look at any decent car salesman & the ones who earn the money are the ruthless ones. They might be a bit more subtle with it in a main dealership, but the people who work in these places know they dont have to. They have the customers over a barrell because of thier credit position.
Thier sales process is actually not as hard as someone like Trade Sales for example, who will grind you down into just saying yes. How do you mean the innacuracies of thier contracts? If it's in relation to the finance agreement then I would be very surprised, with regard to the ordering and order form of the vehicle I would have to see it to pass a judgement. I cant comment on the vehicles, but again, im not saying what they do is right, but it's no different from massive nationwide franshises. You would be shocked if you knew even a tenth of what went on in a dealership, at whatever level of vehicle.
Give me examples, reference the clauses etc, I might be able to help you get out of the agreement.
The actual figure they give you to settle is worked out the same way as everyone else, on a theory called the "rule of 78", the agreement is front loaded with interest so you pay a wedge of that off before you start paying the capital, its thier way of ensuring they earn at least some money from you. It is 110% no different from the way your mortgage/other loan/etc is worked out as the finance company does it & they have to by law, otherwise they lose thier CCL & thier right to sell finance.
Its a serious offer, if you want some advice, fire away & i'll help you & if I cant I'll speak to someone I know who definately can