why does advance payment change so much when car prices don't change

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  • #117067
    martino

      Firstly i am great full for my motability car (that i pay for ) before people start saying i am ungrateful i just think we are being ripped off .

      I’m probably showing my ignorance here, why does advance payment change so much from one quarter to another when car prices don’t change in that time.
      <p style=”text-align: center;”>made up example </p>
      So if a car is £25000 in q1 with £500 A/P ,

      Then in q2 the same car costs the same £25000 but yet  the A/P jumps to £2000

      How can Motability justice the increase in A/P is it just to make as much profit as they can at disabled customers expense.

      I really would like Motability to explain the jump in adanced payments

       

      Most of Motability customers need to use them because they need cars adapted(at extra cost ) they need bigger, wider cars ect,  I do not think Motability care about their disabled custom

      Why cant Motabiliy be run as a non profit to help their vulnerable customers

       

      I also wounder if a complains petition was sent to someone the government / or the Queen (is she not the paterent or something )

       

      Do I feel better after getting that of my chest NO!

    Viewing 25 replies - 51 through 75 (of 86 total)
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    • #117620
      rox
      Participant

        The PIP rates are not set by the DWP so complaining there would be futile. The government sets the rates so you could complain to your MP but that would just get you a “I sympathise with you, isn’t it terrible” blah, blah, blah letter and Joe public think you should be grateful for what you got because he/she works hard to pay for your car. Sorry but that’s how I see things.

        Indeed but what is national insurance for then, clearly it’s not insurance against I’ll health and a lack of mobility etc. It’s their fault if they didn’t cover the citizens for loss after taking a cut for it..

        I’d also say i’d exchange my condition for not having the condition anyday or second if i could and i have had problems since i was 9 years old and run over by a car on a green man crossing the road before anyone suggests it was my fault and i hope they don’t happen to end up with a condition, One day, Like mein and many others in society that have issues that are debilitating.

        My point was though whoever sets it it’s not keeping up with real inflation. it’s set by a different index.

         

        #117632
        Ade

          The AP price is agreed by the dealers quarterly. The AP price is dependent on the what the dealers can realistically sell the car for – at the end of the lease.
          Also, Mobility is a Govt financed scheme to stimulate the car industry.

          If you are crying about car prices,  AP  cost and what you get as a mobility car just remember what you USED TO GET as a mobility car….you could see them at the footlball matches of old, Blue fibre glass, 3 wheelers parked around the edge of the pitch. Just thank your lucky stars it doesnt return to that again….oh wait….we may see that again as the cost of COVID…

          #117645
          ChrisK
          Participant

            The PIP rates are not set by the DWP so complaining there would be futile. The government sets the rates so you could complain to your MP but that would just get you a “I sympathise with you, isn’t it terrible” blah, blah, blah letter and Joe public think you should be grateful for what you got because he/she works hard to pay for your car. Sorry but that’s how I see things.

            Indeed but what is national insurance for then, clearly it’s not insurance against I’ll health and a lack of mobility etc. It’s their fault if they didn’t cover the citizens for loss after taking a cut for it.. I’d also say i’d exchange my condition for not having the condition anyday or second if i could and i have had problems since i was 9 years old and run over by a car on a green man crossing the road before anyone suggests it was my fault and i hope they don’t happen to end up with a condition, One day, Like mein and many others in society that have issues that are debilitating. My point was though whoever sets it it’s not keeping up with real inflation. it’s set by a different index.

            For the first half of my long working life I used to hope that that NI was to look after me should anything happen to me or my family but as time went on I woke up and realised the truth that it’s just another form of income tax.

            #163646
            Mary Jessop

              I cannot drive so my husband in my named driver, he has developed a bad knee, had an op on it but not helped very much, needs a new knee really, so he cannot drive a manual car, but there are very few cars that are automatic on the mobility list, this car we have now, we had to wait a long time for, you would think that most Mobility cars would be automatic, but most are manual.

              our last car was an advanced payment of £1000, but the same car this time, appears to be 3 times as much advance payment, and only a few are automatic, we do not have enough money to pay that amount for our new car, who does?

              so it looks like we will have to ask for an extension on the car we have, if the advance payments do not go down what will happen when we have to hand over our car we have now?

              I have to have a car big enough to carry my scooter. And we want to change from diesel to petrol, as well as have an automatic.

               

               

              #163649
              Glos Guy
              Participant

                I cannot drive so my husband in my named driver, he has developed a bad knee, had an op on it but not helped very much, needs a new knee really, so he cannot drive a manual car, but there are very few cars that are automatic on the mobility list, this car we have now, we had to wait a long time for, you would think that most Mobility cars would be automatic, but most are manual. our last car was an advanced payment of £1000, but the same car this time, appears to be 3 times as much advance payment, and only a few are automatic, we do not have enough money to pay that amount for our new car, who does? so it looks like we will have to ask for an extension on the car we have, if the advance payments do not go down what will happen when we have to hand over our car we have now? I have to have a car big enough to carry my scooter. And we want to change from diesel to petrol, as well as have an automatic.

                Hi Mary. There are still over 600 automatic cars available (just over half the pathetically low number that remain) but I agree that very few of them are big enough to carry scooters with ease and those that are have hefty advanced payments. I don’t know if you are aware, but you can extend your lease to 5 years and, by doing so, still retain the option to order a new car at any time within that extension period – even the month after you extend! Also, if your financial situation is challenging it might be worth talking to Motability about whether you might qualify for a grant towards the cost of a suitable vehicle.

                #172078
                Ali

                  I totally agree, I’ve been looking around and have had the seat leon in mind, a few months have gone by and I fully made my decision the leon is the best car for me over 3 years. However, its now £2,200 AP and in the previous quarter it was £900! ????

                  #172079
                  fwippers
                  Participant

                    Sometimes there is little logic.

                    #172080
                    Ian

                      Interesting if a bit old thread!

                      I saw some posts about Grimsby and Southampton and I thought I would like to share some of my knowledge with you.

                      About 15 years ago I used to work at Grimsby employed by Toyota. I also spent time in Southampton also working for Toyota.

                      My role was within Logistics responsible for the import and export of new vehicles.

                      Grimsby is the export centre for all Derby produced Toyota (was Avensis and Corolla not sure now as I don’t work there anymore). It was also the import centre for Audi, VW, Seat and Skoda). French produced Toyota Yaris were also imported to Grimsby. BMW also imported. Probably all changed now.

                      Grimsby has access restrictions so in terms of car ships they were short sea types with approx 1000 car capacity.

                      Southampton different set up. Deep sea vessels with 8000 car capacity and major import export hub. Jaguar Ford used to be Honda and mini all exported Southampton.

                      There are other large operations at Newcastle Portbury nr Bristol, Sheerness in Kent.

                      Cars just like containers are imported and exported on the same vessel hence lots of rh/lh cars next to the sea.

                      UK is 3rd biggest car market in Europe hence the large volumes of cars you see. When I worked in Grimsby we received 50 lorry loads from the factory every day just for export.

                      #175644
                      David Batten

                        My Tiguan Allspace has gone from £1495 in November 2019 to £3695 in the current quarter January 2022. No justification for that. Hybrid Vehicles are from £3000 upwards for SUV Automatics . And the problem is still that you cannot get these vehicles anyway. Why can’t Motobility go back and offer HP on Vehicles like they used to in order to allow customers the choice of being able to get a quality used car when for example their current Motobility Vehicle has to go back under early termination situation.

                        #175814
                        shoecake

                          there is no way i would be able to privately lease a top spec a200 and do 60k miles in it, for the deduction they have taken.

                          with the comparative money i would get about 9k a year in milage privately.

                          so what if you have to pay for the best car you can get, if you dont like it – just go with the lowest spec car you can get….but most people want something nicer – therefore the option is there to pay for it,

                          i didnt need a a200 – i liked it!

                          #175824
                          Glos Guy
                          Participant

                            there is no way i would be able to privately lease a top spec a200 and do 60k miles in it, for the deduction they have taken. with the comparative money i would get about 9k a year in milage privately. so what if you have to pay for the best car you can get, if you dont like it – just go with the lowest spec car you can get….but most people want something nicer – therefore the option is there to pay for it, i didnt need a a200 – i liked it!

                            It is indeed true that for those who do 20k miles a year and want a car at the top end of the scheme, Motability is unbeatable. It has always been the case that the best value is always to be had from the most expensive cars on the scheme, as the same £10k benefits are sacrificed whether you have an entry level budget car or a top spec premium one. This cost is always far greater than the AP, yet many people overlook it

                            As was evidenced by a recent thread on average mileage, the reality is very different though when it comes to mileage. Most Motability customers seem to do far less miles a year than the  standard PCP deals and quite a few do a mere fraction of that. Those doing very low mileages and happy with lower value cars would most likely get a better deal by leaving the scheme (as two-thirds of those in receipt of qualifying benefits do, because they don’t join the scheme). The problem, however, is that many of these people have a fear of doing so (fear of the unknown etc) or have too poor a credit rating to entertain going private, so if they are determined to drive a brand new car every 3 years they are trapped in the scheme.

                            The thing that I find amusing is that those who won’t hear a bad word said about Motability usually cite the 20k miles a year and ability to have a new car every 3 years, yet the same people often do well under 10k miles a year themselves and often extend their lease to 5 years at an additional cost of over £6k for driving a 4/5 year old car!

                            #175826
                            shoecake

                              i guess im just judging it on my merit,

                              the 3 cars i have had have been fantastic, and i personally havent had a bad word to say on the scheme

                              #175868
                              Martin

                                Following on from @bigdave post, They give the profits to the Charity. However, that’s the profit. IE what’s leftover. if they are paid bonuses on the performance of EFO (earnings from operations). This will dilute the profit as this is a corporate expense.

                                #175958
                                rico

                                  THE ADVANCE PAYMENTS ARE SO HIGH BECAUSE THEY KNEW THEY WOULD ANNOUNCE GIVING 250 TOWARDS IT… to make them look good although, it just makes them look even greedier for the bonus… what did you exxpect when a ex tory took over, it too get better…

                                  #176029
                                  Elliot
                                  Participant

                                    I’m waiting for the article from the Daily Mail that will run along the lines of how disabled people are now able to come up with large sums of money up front for their cars.

                                    #176034
                                    rico

                                      well I would not be one, I was hoping to get the id3 the boot was just big enough for me to fit stuff in (and funny enough the interior being a dedicated electric legnth wise was same as tiguan I am in, kona i can fit stuff in just about but not kid comfortably. So only other option to be green would be a phev to save money but diecent sized ones with space for my long legs (hence kona to small as not enough room left in back seats) stretched out cost more than my budget would allow. Yes it I could get a normal petrol one but I would rather stick with the fully loaded tiggy I have for another two years than get another straight ice car, nothing would come close to what i have at the moment.

                                      suffering with joint aches its probably one of the least tiring cars to drive and one you get out of after trips up to london and back without feeling like you have driven the legnth of the country.

                                      #177268
                                      Terry

                                        I understand why the scheme is available I myself am disabled and I also use the scheme.

                                        On behalf of my parents is why I write this, they are an elderly couple that both use small mobility scooters, so they need a car big enough to carry 2. At the moment they drive a seat Alhambra which they leased for 5 years and the car has to be an auto due to there disability. When you consider that they paid 1800 for the seat and now looking at what would be big enough for them the cheapest is around the 3000 pound Mark I seriously do not know what to suggest to them.   Any ideas would become seriously appreciated.  So many cars seem to of been removed from the scheme in the last 2 years does anyone know why this is.

                                        #177270
                                        Ali

                                          Due to the semiconductor shortage the prices have drastically increased 🙁

                                          #177280
                                          Glos Guy
                                          Participant

                                            Due to the semiconductor shortage the prices have drastically increased ?

                                            Retail prices have gone up, but not drastically. In spite of this, I still get regular emails offering thousands off new cars from many manufacturers for private buyers. AP’s on the other hand have more than doubled in many cases and we can’t negotiate deals!

                                            #181731
                                            Chris Rowkins

                                              Some time ago one of the government committees wrote a paper about the high bonuses being paid to Motability Operations executives and the large amounts of money being held by Motability the charity. As far as I know nothing seems to have happened, it just seems to have disappeared into the long grass. Meanwhile advance payments are going through the roof and in this quarter (April 2022) there are lots of cars that are no longer listed.

                                              It would be good to hear other people’s views.

                                              #181733
                                              Chris Rowkins

                                                Some time ago one of the government committees write a paper about the amount of money being held by Motability and the large bonuses being paid to Motability Operations executives. As fas as I know nothing much seems to have happened as a result of this, it just seems to have disappeared into the long grass. Meanwhile, as of April 2022, advanced payments are going through the roof and many vehicles are no longer being listed.

                                                I would be interested in other views.

                                                #181735
                                                kezo
                                                Participant

                                                  Some time ago one of the government committees write a paper about the amount of money being held by Motability and the large bonuses being paid to Motability Operations executives. As fas as I know nothing much seems to have happened as a result of this, it just seems to have disappeared into the long grass. Meanwhile, as of April 2022, advanced payments are going through the roof and many vehicles are no longer being listed. I would be interested in other views.

                                                  The CEO and board members need to think and plan n their salary’s for the increase in energy costs and to take into account the exta a loaf of bread will cost 🙂

                                                  #181737
                                                  James

                                                    I’m sure it’s already been said, but like all leasing companies, ap and the overall lease cost  are mainly based on depreciation and the predicted future value of the car at the end of the lease.  This is why prior to the current supply issues, premium cars were often not much more than budget cars because the depreciation  over 3 years can be about the same.

                                                    It’s well reported that MB has a ton of money in the bank, so in theory they could subside APs, but it’s not a viable long term business model even for a charity.

                                                    Thag said, at the moment I can only assume MB is benefitting from the inflated resale value of 3 year old cars and  adding to those reserves.

                                                    Unfortunately  reduced depreciation is having little impact on the APs because Supply and demand is making it harder to negotiate deals for new cars as there is little to no excess supply capacity,  so manufacturers are less likely to agree deals with MB despite their buying power, once manufacturing capacity  exceeds  demand again, APs will fall.  Unfortunately that’s at least 12 months off.

                                                     

                                                    #181739
                                                    Warkman

                                                      Whilst I agree with some of your comments, I can’t agree with the “stimulates the car industry”

                                                      if it did,then British built cars such as JLR woukd be in the scheme and cars like Kia and Hyundai wouldn’t,and sales of cars not built in the UK don’t stimulate the car industry

                                                      #196845
                                                      Brent

                                                        I’ve just found this as I’m getting really annoyed at the APs of their cars at the minute.

                                                         

                                                        I appreciate the people saying you get a good deal, but the payments are getting absurd and there’s no excuse for it when motability have already been investigated for over charging.

                                                         

                                                        Looking at the dacia, the cheapesr car in the UK. You can get the full spec jogger for less direct than with motability.

                                                        The Nissan aryia, the only EV on the scheme that’s really worth getting if you don’t live in the city. Wants a 6k payment?

                                                        Last year the APs were half the price they are now. Are we really getting to the point where disabled people are only allowed rubbish, unsafe, standard and uncomfortable cars unless they’re rich?

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