Lotus increased interest rate from 5.9% to 6.9%

[kitkat]

Well I must be even more old fashioned and probably in a tiny minority these days My attitude to buying cars has always been that if I can't buy it outright for cash, with a good cash buffer over, then I can't afford it. If that meant I'd be driving a 10 year old hot hatch rather than an £80k Emira, then so be it. Expensive sports cars are nice obviously, but with the right mindset you can have a hell of a lot of fun in a cheap car without any finance costs to worry about.

For me it doesn’t matter if it’s a cheap econobox or an expensive sports car, the formula is simple: If I think I can net a higher return post taxes investing the money than it costs to finance the vehicle — then I will take the financing. If not, I buy it cash.

 

[freefall_junkie]

For me it doesn’t matter if it’s a cheap econobox or an expensive sports car, the formula is simple: If I think I can net a higher return post taxes investing the money than it costs to finance the vehicle — then I will take the financing. If not, I buy it cash.

A very valid approach, although as mentioned above, a lot depends on attitude towards investment risk. Since 2008 with the 'everything bubble' blown by QE that would have worked very well much of the time, even just with an S&P 500 tracker. This year with stocks, bonds, crypto all tanking and now property also looking a bit shakey, it is much harder for to find decent returns.

 

[Lots_Of_Trouble]

Matt Windle just last week:"These rising industrial costs will not be passed on to our customers"

A week later, *Ant & Dec image in mind* -"Put the interest rates up by 1%"

 

[TomE]

Matt Windle just last week:"These rising industrial costs will not be passed on to our customers"

A week later, *Ant & Dec image in mind* -"Put the interest rates up by 1%"

The cost of buying the car isn’t going up. The cost of funding the purchase for people who need to borrow the money is going up. But only if you use the Lotus finance.

 

[PaulP]

Well I must be even more old fashioned and probably in a tiny minority these days My attitude to buying cars has always been that if I can't buy it outright for cash, with a good cash buffer over, then I can't afford it. If that meant I'd be driving a 10 year old hot hatch rather than an £80k Emira, then so be it. Expensive sports cars are nice obviously, but with the right mindset you can have a hell of a lot of fun in a cheap car without any finance costs to worry about.

I’m with you 100%. Cash buy or nothing. The banks can go pound sand.

 

[Gibbo205]

So Lotus said they would honour the price of the car but have cheekily increased the finance rate from 5.9% upto 6.9% so those paying on finance will be paying more for the car, they are just getting it in a different way then just increasing the price.

Cheeky but I would say to be expected with Bank of England base rate and inflation rising.

 

[donskibeat]

Already discussed here - https://www.emiraforum.com/threads/lotus-increased-interest-rate-to-6-9-already.1574/ - not really a surprise in the current climate, and not really cheeky as not Lotus providing the finance directly so out of there control

 

[boozyjay]

You can still get some personal loans at low rates. The AA offer one at 3%.

 

[4380r]

Lotus isn't financing the car, a lender with which they have an agreement is financing the car. Lotus may be getting a small kickback. It's more likely the finance person in the dealership gets the kickback as part of his/her compensation.

Convenience is about the only reason to finance through any car dealership. You can almost always get better rates, often MUCH better rates, from other sources. In the US, many credit unions or online banking entities can be hard to beat.

 

[Magicman]

Just spoken to lotus about my spec, not as delayed as I was expected was August last time round now sept)
However I asked if they were honouring the 5.9% deal and the answer was no, it was now 6.9% due to emissions apparently

 

[Tonyshepp]

Just spoken to lotus about my spec, not as delayed as I was expected was August last time round now sept)
However I asked if they were honouring the 5.9% deal and the answer was no, it was now 6.9% due to emissions apparently

its down to the cost of borrowing money being higher now as the BOE as increased its interest rates - nothing to do with emmisions

 

[Magicman]

its down to the cost of borrowing money being higher now as the BOE as increased its interest rates - nothing to do with emmisions

I can only quote what I was told

 

[Tonyshepp]

I can only quote what I was told

lol perhaps Boris is now advising Lotus!

 

[Lots_Of_Trouble]

The On the road price has gone up because of the Emissions being more than what was expected.
Finance increase is down to our economy being a bag of w%nk right now.

 

[Magicman]

The On the road price has gone up because of the Emissions being more than what was expected.
Finance increase is down to our economy being a bag of w%nk right now.

She said the otr price was not effected and would not be going up

 

[Leonard]

She said the otr price was not effected and would not be going up

Ah punishing those that are not as cash rich to compensate for the rise in OTR costs. Maybe Boris is advising!

 

[Mctaff]

Just spoken to lotus about my spec, not as delayed as I was expected was August last time round now sept)
However I asked if they were honouring the 5.9% deal and the answer was no, it was now 6.9% due to emissions apparently

I do wish lotus comms would stop spouting such utter bollocks… it’s really starting to ^%#} me off

 

[vision]

I do wish lotus comms would stop spouting such utter bollocks… it’s really starting to ^%#} me off

Oh well, I'm still paying the increase to get my car. I find its always tight arses with loads of money who moan constantly. Bottom line is you get a new car and you just pass the increase on when you sell. Looking at Evora / Exige prices on the market some are more than what Im paying including interest?

 

[Evotion]

Emissions. Made me laugh.
Still, this will get worse... both interest rates and emissions stringency.
I have said it many times that I think the V6 run will end sooner than most believe.

 

[vision]

Emissions. Made me laugh.
Still, this will get worse... both interest rates and emissions stringency.
I have said it many times that I think the V6 run will end sooner than most believe.

still getting it