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Service payment in installments - is it worth it?

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Offline sgreeno

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as you may have seen else where i have recently got my 1.6 diesel premium :)

i was offered a way of paying for servicing on a monthly basis (basically £22 / month for 5 years) whic apparantly covers the minor and major services every 12500 / year. without wishing to hijack this thread, does anyone think this is worth it (being from the UK, as it prevents any inflation prices, gives me 10% off dealer parts ie. brakes etc and 10% off my mot in 3 years...)

cheers

sgreeno


Offline Shambles

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What kind of mileage will you be covering per year?

I have a service every 8 months or so, so in 5 years I would have 7.5 services. If my service costs continue to alternate between £130 and £230 (I'm guessing as I can't remember the actual costs) then for me, those services would add up to around £1350. In your case, were you to do the same mileage, your cost would be £1320.

So, not knowing what "dealer parts" you would want to buy, I'd say keep your money in your bank account. Had I taken out such a plan when I bought Fergie I'd be well out of pocket as my dealership folded a few months later.
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Offline bumpkin

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Agree with Steve here.

I am low mileage so only one service per annum, your plan so far would have cost me £528, but my servicing costs have been £324, so have saved £204.

It also ties you to the dealer which is OK if they stay in business as Steve says or you remain happy with their work, I however have decided not to darken my dealers service doorstep again and without the plan am happy to take my business elsewhere..........................
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Offline sgreeno

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i'd be standard mileage really. not high or low! but i was told to have a service once a year, and figured that if this was the case the servicing costs would balance out...
sounds like i wont tie myself into a direct debit with them.
ta!


Offline eye30

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I was offered this type of Plan and decided to keep the money and pay out at each service.

I've had 2 service's and due my 3rd in September.

On both my previous I've been offered at less than the "board" price so made a "saving".

I'm expecting a similar "discount" at my 3rd.

I'm not getting the MOT done at the dealers as they want FULL price £54.85 so I'm getting it done at an Independent as they are offering it for £27.00 (50% off full price).

I'd rather keep the cash and pay at time rather than £XX per month into an insurance type plan which may go bust!!!!!!

ps
I'm sure you can passport the plan to any Hy dealer participating in the scheme. I'm not sure whether this includes them all so you may be restricted in your choice of "local" dealer service centres.

pps
Why not put the monthly payment into a savings account.  That way if you need cash in an emergency, it's available.
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Offline wedge69

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I looked into this and took them up.

You are protected from price increases (so will save after the VAT increase), and the money is held by a seperate company, so if the dealer does go bust, you get your money back.


Offline asathorny

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I looked into this and took them up.

You are protected from price increases (so will save after the VAT increase), and the money is held by a seperate company, so if the dealer does go bust, you get your money back.

I took the deal too, it's a separate deal and not run by the dealership.  Now that the VAT is set to rise and hard times are a-coming it may turn out to be a decent deal....

A


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