Looking to buy a Peugeot? Discover available purchasing options with our finance guide.
Peugeot is Australia's best-selling French car brand. Looking through the history of Peugeot, you’ll see many automotive innovations and a track record of motorsport success. Right now the company is offering a seven-year warranty and seven years of free roadside assistance on all 2017 models.
The company makes a wide range of vehicles, from the compact 208 hatch to the new 5008 SUV. Prices start at $25,578 drive-away for the Active trim 208 to $59,490 for a 5008 GT automatic.
Peugeot operates 35 dealerships nationwide.
Peugeot financing options
Here’s a breakdown of the purchasing options through Peugeot’s dealer financing. These include consumer loans, commercial hire purchases, chattel mortgages, leasing or novated leasing.
- Personal loan. Peugeot says their consumer personal loans are simple and quick to organise. They are available on new and used Peugeots. Though intended for personal use, commercial and business drivers might be able to claim some tax deductions in ratio to the business usage.
- Commercial hire purchase. Peugeot’s commercial hire purchase (CHP) allows flexible repayments. Other benefits include possible tax deductions for business users covering interest rates and depreciation. CHP is available on new and used Peugeots.
- Chattel mortgage. If you have an Australian Business Number (ABN), Peugeot offers a chattel mortgage. The lender forwards funds to the customer, who takes ownership of the car. The vehicle is then used as security for the mortgage and is a registered interest of the bank until the contract is settled. Chattel mortgages may bring cash-flow benefits for businesses and ABN holders can reclaim part or all of the GST on the vehicle purchase price.
- Lease. Leasing is another tax-effective option for buyers. Benefits include no large capital outlays and flexible lease terms. With adjustable final lump sum payments, business owners can better manage their cash flow.
- Novated leasing. Employees might consider purchasing via a novated lease, a three-way agreement between your employer, a financing company and yourself. Novated leases can reduce the amount of tax you pay, as the vehicle payments are deducted from your pre-tax earnings. Think of it as a salary sacrifice: you get a brand new vehicle of your choice but receive a reduced salary as a result. Some novated lease deals even include insurance, registration, fuel, maintenance and breakdown assistance costs.
Additional purchasing options
- Unsecured personal loans. Unsecured loans allow you to use the money for anything you want, including the whole or part of a vehicle’s purchase price. No property or collateral is offered against the loan.
- Secured car loan. If you’re willing to use your car as security against your loan, you could benefit from lower interests rates of 5%-12% per year. Lenders offer secured loans on both new and used cars.
Compare Secured Car Loans you can use to buy a Peugeot
Peugeot loan example
How much will a Peugeot loan cost?
Obviously, the final price you pay for a loan, as well as the monthly fee, will depend on which model you buy. A 2018 Peugeot 208 Active with an 1.2-litre, 81kW turbocharged engine retails for $25,578, including $1,995 dealer delivery, $873 registration costs and $720 stamp duties. Over five years, a secured car loan could cost $502.80 per month including a $150 application fee.
On a top-of-the-range 5008 GT SUV the total cost is $59,940 inclusive of a $1,990 dealer delivery charge, $1,085 rego and $1,925 stamp duty. A secured car loan over five years for the premium SUV would start at $1,165.53 per month with a fixed interest rate of 6.45%.
Peugeot prices quoted are for postcode 2000 and accurate as of 30/04/2018.
Use our car loan repayment calculator to see a breakdown of the costs involved including the total amount you’re paying on top of the car’s retail price in interest and fees.
Car running costs
Don’t forget to factor in running costs such as fuel, insurance and maintenance. Compare car insurance deals to get the best possible policy for your Peugeot.
Which car financing option is best?
If you’re unsure of which financing path to go down, consider the following four key factors:
- Interest rates. What interest rate is applied to the finance deal? This is the primary area where lenders make their money, so look around for the lowest possible rate.
- Flexibility. Can you adjust the monthly repayment amount to suit your earnings or cash flow? Can you pay weekly or fortnightly or is a monthly payment the only option?
- Fees. Don’t get stung by extra or hidden costs. Ask if there are any application fees or additional monthly charges, and find out about early repayment fees. Do your research ahead of time to avoid any surprises.
- Balloon payments. If you’re comfortable with shelling out a large lump sum at the end of the loan, you could reduce the total monthly repayment amount with this option. However, this sum might be sizeable, think $5,000 plus.
Commonly asked questions about Peugeot financing
Which loan provider should I choose?
This is a personal decision and we can’t tell you which way to go. You should pick the best possible option that suits your lifestyle, circumstances and financial situation.
Should I buy a new or used Peugeot?
New or used Peugeots both offer benefits and downsides. Buying new gives you the security of a lengthy manufacturer warranty and fewer worries about reliability. But new cars can depreciate in value quickly.
Purchasing a second-hand Peugeot, even just a year old, may avoid this and pass a substantial saving on to you. Buying the right car is essential: if you find a low-mileage model, for example, then you’ll usually have an almost-new car for significantly less money.
Which Peugeot model is best?
Again, this depends on your circumstances and driving needs. If you live in a city or metropolitan area you’ll appreciate the 208 or 308’s small footprint, ease of parking and peppy lower-capacity engines.
Families will enjoy the roomy and practical SUV models, as will those living in rural areas with lots of unpaved roads.
People who drive for a living, covering vast distances, will benefit from the added comfort and fuel efficiency of the 508 sedan or stationwagon.
Pictures: Shutterstock
Prices & rates accurate as at time of publishing: 30/04/2018.
