Skoda has announced new PCP finance offers, scrappage and free fuel offers for selected models in its range for the first quarter of 2018.
The brand has various different incentives on offer for different models, which is somewhat confusing but is presumably based on what Skoda’s marketing folk think will appeal to customers of each model.
There are deposit contributions for PCP finance agreements on Citigo and new Karoq (£1,500), Fabia, Rapid and Kodiaq (£2,000), Octavia (£3,000) and Superb (£4,000).
In addition to its £2,000 deposit contribution, the Kodiaq also comes with £1,000 of free fuel if you take a PCP finance agreement with Skoda Finance.
Certain specifications of each model are not included in the offer, so check the details with the dealership. The deposit contributions cannot be used in conjunction with any other offer, like the scrappage offer below.
The PCP offers are all based on a 5.9% or 6.3% representative APR, which is nothing special in the current car finance market, so the money you save in deposit contributions will be eaten up again in interest over the course of the agreement.
Scrappage offer extended
Skoda has also extended its scrappage offer until the end of March, which offers a guaranteed part-exchange value for older diesel part-exchange vehicles.
The scrappage allowances are available on Citigo (£1,500), Fabia (£2,500), Rapid (£3,000), Octavia (£3,500) and Superb (£4,000). You can’t combine the scrappage allowance and the finance contribution, unfortunately.
What about the fine print?
- The scrappage offer is a part-exchange allowance, for selected used cars part-exchanged against selected new cars.
- Your current car can be from any brand, but must be built to Euro 4 emissions standard or earlier. This will definitely be cars registered before 31 December 2009, although some cars had Euro 5 specification engines earlier than this.
- You must be the owner of the part-exchange vehicle and the buyer of the new car (same name and registered address).
- You must have owned the old car for at least six months, to stop people buying an old banger for £200 and then getting a £4,000 part-exchange allowance for it.
- The scrappage price is fixed for any car part-exchanged as part of the scheme, not an allowance on top of the car’s value. You are effectively getting nothing for your car, but a discount on the new car (although it won’t be written that way on the contract).
- Cars must be sold and delivered by 31 March 2018.
- This offer cannot be used on top of any other offers from the dealer/manufacturer/finance company.
- The offer is not dependent on you taking any finance package or other products.
- This offer provides a deposit contribution towards selected new Skoda models, over and above any other discount you can negotiate.
- The finance package must be a PCP agreement (called Solutions) from Skoda Finance.
- The offers set out on the Skoda website are only examples, and you are entitled to adjust the deposit and annual mileage to suit your own needs. The APR shown on the examples is either 5.9% or 6.3% depending on model, but that does not mean you will be offered a similar rate.
- The annual mileage used in all of the examples is 10,000, which is average. You need to make sure that the annual mileage you are quoted matches your expected use of the vehicle.
- Excess mileage charges may apply at the end of the agreement if you have exceeded your limit, so make sure you allow yourself enough mileage when setting up the finance agreement. The charge only applies if you are giving the car back and claiming the guaranteed future value (GFV).
- Cars have to be ordered and delivered by 31 March 2018.
- The finance offers are provided through Skoda dealers by Skoda Finance (which is part of Volkswagen Financial Services). If a dealer offers you a finance deal that does not match these details or from another lender, it is not part of this offer.
As with any car purchase, work out your budget before you visit the showroom and don’t be persuaded to go over it – regardless of what the smiling sales executive suggests. They don’t have your best interests at heart, but The Car Expert does!