No More Buying Vehicles from Motability at Lease End

  • This topic has 33 replies, 8 voices, and was last updated 3 weeks ago by archie Meghan.
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  • #147985 Reply
    BigDave
    Participant

    As I mentioned a few months back, having ordered a new Landrover Discovery, I will be shortly leaving the Motability scheme as my lease is due to end in a couple of months. I haven’t told Motability as yet as there is no requirement to at this very moment.

    I was toying with the idea of buying my current Motability car as a run about, so telephoned Motability and requested a quote to buy it.

    I was rather taken aback to be told that Motability no longer permit you to buy your vehicle at the end of the lease.

    This seems to be borne out by their website:

     

    https://www.motability.co.uk/contact/faqs/can-i-buy-the-car-at-the-end-of-the-lease

    In fact all references to buying a vehicle direct from Motability at lease end seem to have been removed from their website.

    I am not sure when this change of policy occurred, but it may have a bearing on some customers choice of scheme vehicle, if they were looking to ‘load it’ with options with a view to buying it direct from Motability at lease end.

    Of course, one could try to ‘do a deal’ with the car dealer to whom the vehicle will be returned. However, they may want to ‘add in’ a healthy profit margin (knowing you particularly want that vehicle). Or possibly may want/not want the vehicle themselves, or Motability preferring it goes to the wider trade or auction. In short, a dealer/Motability has no obligation to sell it back to the ‘soon to be’ ex-Motability customer.

    My view of this apparently change of policy is that Motability do not want customers buying their vehicles at lease end (and thus losing them) and are making it as difficult as possible, preferring to keep them captive on the scheme as a very profitable leasing customer.

    In my case, they have ‘lost’ me anyway so I cannot really fathom it. Unless some ‘deal’ has been done with the trade/manufacturers to increase sales of new vehicles on the scheme and this policy change has been slipped in as part of it.

    Whatever, it is something to be aware of if thinking about leaving the scheme and buying one’s vehicle.

Viewing 25 replies - 1 through 25 (of 33 total)
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  • #147989 Reply
    Tim

    Very shady and under the radar IMO. A fair few would have had this in mind at lease end, or even after a lease extension to further reduce the final buy price. One recent example on this forum alone was from a gentleman with limited life remaining wanting to know how his family could purchase the vehicle… we sorely need more options in this area, not a final removal of anything that isn’t profit driven. I’m fairly sure hire purchase existed at one point in time, another sign of things becoming more limited.

    #147990 Reply
    Glos Guy
    Participant

    Good spot BigDave. I hadn’t noticed that and it seems to have slipped in without announcement. Can’t say that I’m surprised. Motability have been tasked with addressing the fact that only one-third of those eligible to join the scheme do so – hence the current TV ads. With less and less choice on the scheme and more people (like yourself) preferring to go independent this is, as you say, one way of making it less easy to leave. Have to say though that I am surprised that many people buy their cars at the end of the lease. Out of interest, we have always asked for a purchase price at the end of each lease and the prices quoted have always been ludicrously high, even though we have added quite a few options to every car we’ve had (which, supposedly, they don’t take into account). In every case, we could have bought a newer version / higher grade model from a dealer, even before factoring in the inevitable discount that you could negotiate, and that car would come with a warranty. Buying a Motability car gives you no warranty and they won’t negotiate over the price so it’s always seemed pointless to me, but it’s a shame if the option has gone as some people do choose to go down this route, in spite of the financials .

    #147997 Reply
    Welsh Joe
    Participant

    I have checked with the correct purchase department at Motability this morning and I was told that you can still purchase your lease car at the end of the contract.  I am personally waited to get my price so was horrified to read this incorrect information on the website this morning.

    I think that this topic should be removed as it is not true.

    #147999 Reply
    Glos Guy
    Participant

    I have checked with the correct purchase department at Motability this morning and I was told that you can still purchase your lease car at the end of the contract. I am personally waited to get my price so was horrified to read this incorrect information on the website this morning. I think that this topic should be removed as it is not true.

    I’m sure that BigDave has posted legitimate information. Perhaps this change only applies to new leases? That would make sense I guess, so that those who ordered a car with a view to buying it can still do so, but they gradually phase out the option with all new leases from now on? Just a thought as I have no definitive knowledge either way.

    Edit – I’ve just checked the Motability website myself and it clearly states that you cannot buy your car at the end of the lease, exactly as BigDave says. However, as I have said above, it may be that this new rule only applies to new leases from now on. It doesn’t say either way.

    • This reply was modified 1 month ago by Glos Guy.
    #148000 Reply
    Tim

    Until Motability update the website and this thousands of people reading it, Welsh joe, then it will be ‘true’. I appreciate they told you otherwise but the writing is on their own site!

    #148003 Reply
    Welsh Joe
    Participant

    I was told this morning that they still allow you to purchase your car at the end of the lease and that they do not advertise this on there web site as they would rather your lease a new car.

    I am not going to get in to an argument but any one reading this topic who may be thinking of purchasing there lease car  please phone the motability operations purchase team directly on 0300 0379899.

    #148004 Reply
    BigDave
    Participant

    I was told this morning that they still allow you to purchase your car at the end of the lease and that they do not advertise this on there web site as they would rather your lease a new car. I am not going to get in to an argument but any one reading this topic who may be thinking of purchasing there lease car please phone the motability operations purchase team directly on 0300 0379899.

    Welsh Joe,

    I spoke with Motability myself the day before yesterday and received the answer I posted in the opening post.

    I have also quoted directly (and screen shot) their exact webpage and posted the live link to their website with the information on.

    Either, Motability are confusingly telling you one thing and giving me differing information.

    However, can you explain why all reference to purchasing vehicles directly from Motability has been removed from their website and replaced with the information currently on their website?

    Very odd.

    Dave

    #148008 Reply
    wmcforum
    Which Mobility Car

    I am sure in the coming hours and days this situation will be resolved, this is important information and as is the way in a large organisation the news of a change can be delivered in something of a hotch potch manner.

    We will get to the bottom of this situation, sit tight.

    WMC

     

    #148009 Reply
    Welsh Joe
    Participant

    As I said previously I do not want to get in to an argument or spend the rest of my life posting replies.  Simply call the purchase team at motability operations on 0300 0379899 and ask them.  They may be some misunderstanding with regard to purchasing your car before the end of lease such as when you are half way through the lease or the person on the phone was not from the purchasing team and was misinformed.

    Once you have called them Dave would you mind putting your findings down in this topic page..

    thanks

    #148010 Reply
    BigDave
    Participant

    Incidentally, if it is as Welsh Joe says and that you can in fact still purchase your vehicle (despite what I was told) then it is even more disingenuous the fact that Motability have removed all reference to being able to do so on their website.

    It is actually being quite underhand removing the information and not spelling out ALL one’s options at lease end (including purchasing the vehicle direct).

    It is as if they are ‘trapping’ their customers into taking out a new lease.

    I am pleased to be leaving the scheme if this is to be the way they are going to operate.

    #148017 Reply
    MR Mark Winter

    Well yesterday the 12.05.2021 I was talking to a lady at Motability about buying our car from them (lease ends in 2 months time and will have had it for just over 6 years by then). I was told a price to buy and informed of the £1100 good condition bonus that would be sent to us once the lease was up.

    #148160 Reply
    Just2Fish

    I’ve just phoned Motability to ask about this and whilst agreeing that the wording is confusing, and needs clarifying, they say that you CAN buy the car, but not within the last 21 days of the lease agreement as its destiny will have then been decided. Motability’s sales team are still in existence to offer a purchase price from 3 months to 22 days before the end of the lease. I hope that this is correct, there again I once changed from one Alhambra to another Alhambra, at significant expense, because they told me I could only have a new hoist in a new car, even though it was exactly the same model, spec, etc, and was only a few months old, ludicrous but that’s what they insisted upon so that’s what happened. A year later they tell me they could have put a hoist in the old one.

    Motability are looking at making the wording clearer regarding when you can and can’t buy the car. So they say, watch that space.

    #148185 Reply
    ajn

    Is there much discount in buying the car at the end of the lease?

     

    #148192 Reply
    Tim

    I’m curious about the discount on offer too. It’s been mentioned a few times that 20% VAT is removed, is this true? If that’s the case can a disabled buyer have VAT removed when purchasing at a dealer too?

    #148196 Reply
    Glos Guy
    Participant

    I’m curious about the discount on offer too. It’s been mentioned a few times that 20% VAT is removed, is this true? If that’s the case can a disabled buyer have VAT removed when purchasing at a dealer too?

    Tim – Motability has a block VAT exemption on all cars so, yes, they get 20% VAT off as well as sizeable manufacturer discounts (which I would guess are at least 20% and could be significantly more with some manufacturers). VAT exemption only applies at the point of a new car purchase, which is why Motability won’t allow customers to select pre-registered or used cars. Private buyers can only get the 20% VAT exemption on a new car of it has ‘significant adaptations’ for a disabled person. This includes things like hand controls, but doesn’t apply if the car is at a specification that an able bodied person could specify. In other words, when people say that they need things like electric seats or leather to ease access, these don’t constitute ‘significant adaptations’ as many able bodied people will select those. Hand controls, on the other hand, would only ever be selected by a disabled driver.

    #148198 Reply
    Tim

    Very useful, thanks chap

    #148199 Reply
    Tim

    Just a further thought… if the sale price offered to a customer is discounted by 20% , how on earth are dealer prices more competitive? Their offers must be aimed at discouraging purchase…

    #148201 Reply
    ajn

    Pointless

    #148204 Reply
    Glos Guy
    Participant

    Just a further thought… if the sale price offered to a customer is discounted by 20% , how on earth are dealer prices more competitive? Their offers must be aimed at discouraging purchase…

    The 20% discount applies when the vehicle is brand new only. Prices at end of lease are not discounted at all. In fact they are very high. Better value can be had by buying a second hand car from a dealership, where you can negotiate a discount (Motability only offer a fixed price) and the vehicle will come with a warranty (cars bought at end of lease from Motability don’t).

    #148207 Reply
    YorkMan
    Participant

    I was told by someone at Motability about 3 months ago that I could buy the car at the end of the lease and that this would be VAT free.  I would be given a quote by the relevant team.

    #148211 Reply
    Glos Guy
    Participant

    I was told by someone at Motability about 3 months ago that I could buy the car at the end of the lease and that this would be VAT free. I would be given a quote by the relevant team.

    Technically yes, the vehicle is VAT free, as it was first registered new as VAT exempt, but the reality is that they still ask for silly prices. I have asked for a price for every one of our cars at the end of lease and, had I wanted to buy the car, I could have done better buying another car from a dealer every time, given that dealer prices are negotiable and the car would have a warranty which would be worth quite a bit.

    #148331 Reply
    Glos Guy
    Participant

    Just called Motability to make sure that they had extended our current lease (due to lead time of new vehicle) and asked about purchasing our current car (not that I would, but out of curiosity, given this thread and the clear statement on the website that you can’t).

    Anyway, I was told that you need to call the purchasing department on 0300 037 9899 within 14 weeks of the end of the lease (or extended lease) with the exact mileage of the vehicle and they will give you a price. Vehicles are ‘sold as seen’ with no warranty and the price is fixed, so no warranty or negotiating a discount, as you would get with a dealer. I will call them next week when the 14 weeks window of our extended lease opens and see if it’s as overpriced as it has been previous times. Of course, if what they have told me is true, it begs the obvious question of why they are clearly stating on the website that you can no longer purchase cars. I can understand them not promoting the fact, as they make a lot of profit out of every lease and want to encourage people to remain in the scheme, but there’s a big difference between not promoting the fact and providing inaccurate information.

    #148343 Reply
    Wigwam
    Participant

    Glos Guy, I’m going to guess that as they seem to have changed the rules, they will apply to new leases only.

    #148354 Reply
    Glos Guy
    Participant

    Glos Guy, I’m going to guess that as they seem to have changed the rules, they will apply to new leases only.

    Yes, I speculated the same earlier in the thread. It would make sense and explain the revised wording on the website and the fact that those with existing leases are being given prices. Anyone ordering a car now in the expectation that they will buy the car at the end of the  lease would be wise to assume that this will no longer be possible for new leases.

    #148361 Reply
    Richard

    Selling a vehicle sold as seen in this way seems highly likely to be unlawful. If they were selling the vehicle at a price accordingly as some dealers do but I’m fairly sure of you bought your car & it blew up a week later motability would ultimately be for the high jump with this sold as seen rubbish.

    All the more reason not to buy the car, goes to auction dealer buys it sells for similar price with a warranty. Very suspect.

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