PCP & Servicing

[Otleybull]

Good evening 

I have a Corolla on order and have decided to buy it via PCP. 

The salesman said part of the PCP agreement is that I service the vehicle through their dealership. 

Has anyone come across this before? Is this standard procedure? 

[flash22]

It has to be service through a Toyota dealer, PCP is basically a lease you do not own the car if you want to keep the car after the 3/4/5 years there will be a large balloon payment - be very careful and read the fine print - if its not a Toyota PCP contract your bound to the franchised dealers terms and conditions

you do have a 14-day cooling-off period on the contract if you change your mind from the date of signing

[FROSTYBALLS]

If it is a Toyota PCP, I doubt whether the car needs to be serviced by that particular dealer, as long as it is serviced within the Toyota dealer network. 

Same as hire purchase, you don't own the car until you make the final payment (in the case of a PCP, the Guaranteed Future Value).

[Timmon]

Yes, that is my understanding. I bought from the dealer in Aylesbury, but the service manager said I can choose Northampton or Milton Keynes (or any Toyota Dealer) should I choose.

But the cost is not much different to what I would be charged at a local garage, so it is not a worry.

Because it is a Hybrid, I am not confident to use a local garage anyway ( even though I know they are good mechanics, and have looked after my other car honestly and efficiently), and the car is in warranty so needs to be serviced correctly with the right software updates, the hybrid Battery warranty is automatically increased to 15 years with an annual service by Toyota, etc, etc.

So I think PCP or not, Hybrid is complex, and I would only want a dealer to service. When it comes around, MOT is probably OK attended to locally.

[Korgrocker]

I purchased my Corolla via a PCP deal with my local Toyota dealer and they included 2 years free servicing. Worth haggling?

[Otleybull]

I went through Carwow and saved around 3k so I think I did quite well. Tried to get metallic paint thrown in but it was a no no. 

[flash22]

It has to be serviced by a Main dealer, as well as the hybrid health check needs to be performed what is stipulated in the contract you can not use a 3rd party

[Catlover]

On 3/12/2020 at 7:07 PM, Otleybull said:

Good evening 

I have a Corolla on order and have decided to buy it via PCP. 

The salesman said part of the PCP agreement is that I service the vehicle through their dealership. 

Has anyone come across this before? Is this standard procedure? 

What is it you are querying?  Is it that you have to have the vehicle serviced at “their” dealership, or that you have to have it serviced at a Toyota dealership?

Generally speaking you can have a vehicle serviced wherever you choose and as long as it is a vat registered garage and oils/parts used are of the same standard as a Toyota dealer then warranty would hold - but it up to you to prove parts are of the same quality which could prove messy in reality.             
BUT, like has been said, as you will be on a PCP contract you need to read and follow the contract.

[Otleybull]

8 hours ago, Catlover said:

What is it you are querying?  Is it that you have to have the vehicle serviced at “their” dealership, or that you have to have it serviced at a Toyota dealership?

Generally speaking you can have a vehicle serviced wherever you choose and as long as it is a vat registered garage and oils/parts used are of the same standard as a Toyota dealer then warranty would hold - but it up to you to prove parts are of the same quality which could prove messy in reality.             
BUT, like has been said, as you will be on a PCP contract you need to read and follow the contract.

Do I have to service the car at the dealership where I'm buying the car from (S$%&^(*)Ihorpe).

I live 5 miles away from a Toyata dealership in Huddersfield and it would be much more convenient to take the car there. 

[Chattacks]

Take a look at this...

https://www.thecarexpert.co.uk/new-car-warranty-servicing/

[FROSTYBALLS]

19 minutes ago, Chattacks said:

Take a look at this...

https://www.thecarexpert.co.uk/new-car-warranty-servicing/

May not be that straightforward.

Generally under Block Exemption, one may have a new car still under a new car warranty, serviced at any VAT registered garage and maintain the validity of the new car warranty. However it will be the owner's responsibilty, in the event of a claim under the new car warranty, to prove the car has been serviced according to the manufacturer's requirements.

If servicing has not followed the manufacturer's requirements, any warranty claim which depends on the correct servicing being carried out, may be refused.

The OP's original question was whether PCP they will be using to part-fund the car, required the vehicle to be serviced by the Toyota dealer who sold the car. Basically whether that is the case, will depend on the PCP's terms and conditions, bearing in mind the finance company owns the car and not the person who takes out the PCP.

As regards whether you have to use the dealer where you purchased the car from, for servicing may depend whether the PCP is a Toyota Finance PCP or from a third party. If it is a Toyota Finance PCP, then any Toyota dealer may service the car.

One needs to check the terms and conditions of the specific PCP.

[Catlover]

36 minutes ago, Otleybull said:

Do I have to service the car at the dealership where I'm buying the car from (S$%&^(*)Ihorpe).

I live 5 miles away from a Toyata dealership in Huddersfield and it would be much more convenient to take the car there. 

The link Chattacks showed is very good.  In my opinion it would always be wise to have a new vehicle serviced at a dealership of the car make ie Toyota car - Toyota dealership, especially whilst under warranty.                   

As to which Toyota dealership in your case - I have not seen a PCP agreement, and I encourage you to get to see the official agreement applicable to you. Look to see if it tells you that dealer x must service the vehicle.  You dont own the vehicle until you paid for it, so the agreement may determine which dealer, or it may not.  Dealer x may well be the dealer the vehicle is purchased through - which may not be the dealer 5 miles from you.  As you bought the car via CARWOW you probably chose the best price.  That sounds like it may not be the dealer 5 miles from you. So, you need to view your PCP agreement.

Personally, I would want my vehicle serviced by the dealer I bought it from.  I have no doubt that having a Toyota car serviced at any Toyota dealership should mean their will be a standard Toyota workmanship.  What you may lose by buying from one dealership and having it serviced at another dealership (the one 5 mile away) is any personal attachment.  Just the little personal things a dealer may do for you knowing you spent £26k+ with them and not another dealer .

ps I was typing when Frosty did his post .......... to quote a now famous phrase  "I have started so I will finish"   lol

[FROSTYBALLS]

Another thing to bear in mind with PCP is that, towards the end of the agreement, the condition and mileage will need to be checked by the finance company's appointed representative - usually the dealer - and reported back to the finance company.

This is to ascertain whether there is any damage to the car and whether the vehicle is within agreed annual mileage. 

Depending on type of damage and severity, any damage may be the responsibility of the vehicle's lessee to repair prior to handing the vehicle back or changing it for another.

If the vehicle has exceeded the agreed annual mileage, the lessee may be charged for the excess mileage.