Hi. I currently have a Puma on PCP that is up in the summer. I'm considering whether to buy out the balloon payment or change to a new car. I've looked at a new one but the monthly payments double unless I put another high deposit into it. I've done that already on this car so open to advice 

I'm a bit biased as I have always bought cars outright and then saved for the next one although long term ownership with the stupid price of cars and parts is becoming a worry, we'd never buy new and are now looking at vehicle 4 years old that have suffered a lot of depreciation but still have relatively low mileage - we'd like under 40k as the ideal but very high mileages are common).

I understand that depreciation is THE  biggest issue and after owning the car for 14 years it has cost us about £106/month (ignoring fuel/maintenance etc).

If you can afford the ongoing monthly charge (I view it as being locked in to £300+ or whatever per month) and must have a newish car then so be it.

If you like the car (my question is always "Can we live with this for 10 years?") and are prepared to save an emergency fund in case repairs are needed, that is another option, to pay for it and own it.

Well, you did ask!

Thanks I do like the car so am probably more inclined to buy the pcp out

A couple of acronyms:

BOAT: Bring On Another Thousand

CAR: Cash Always Required.

So providing you are prepared to self-insure (against anything major) and carry out servicing to at least the minimum recommended, then I think it will always be cheaper to own long term.

Where are the PCP addicts with their alternative take!!!

Difficult to comment without knowing the full financial picture - amount of balloon, equity in the car, trade in value, new deal offered, etc.

You normally have 3 options

- Hand it back and walk away

- pay the balloon and own the car

- Put the equity (if any) into a new car** deal

**It doesn't have to be another Puma or another Ford, any dealer could settle the finance and start off another deal.

If you are happy with your existing car, assuming the figures stack up for you personally, I'd be inclined to suggest sticking with it and clearing the finance, unless there's something else you'd particularly want.

I'm coming up to the same decision. Obviously I can't get another new Fiesta, and there are no real alternatives left on the new market anyway, so I'll be clearing mine. 

The world of cars has completely changed within the last 10 years or so.  I also owned used cars outright for years, but there are so many things to go wrong and such high repair costs on current models that I wouldn't be so keen to do it now.

If you do keep the car, it might be worth considering an extended warranty, depending on the price they offer you for it.

Back in 2017 i decided that i would try and buy the car that i most wanted. Although i had to go the Ford in Liverpool to buy it i decided that that was the one for me. It cost me £14,991 ! strange figure i know but thats what i paid. It was 10 months old with 2880 miles on the clock and had been a Ford managers car with all the options added. And the special order colour i wanted, Iceberg blue. Only seen another two that colour up here since, both 17 plate cars. I wont be replacing it and its my last car, thats why im lavishing time and a little money on it now because up to now it has cost me nothing apart from the RF antenna that is documented elsewhere on this forum.8 years of ownership is working out way cheaper than replacing every 2 or three years. Look after them and they will last, bolt on bits are cheaper in the long run than balloon payments etc. That is just my take on it, each to their own.