Why finance is better than cash for buying a new car

Cash has historically been the best way to get a good deal on a new car, but our research reveals you could save more than £10,000 by buying on finance...

BMW 5 Series cornering front three quarters

Biggest finance savings on luxury SUVs

BMW 5 Series - save £1570

Model 530d M Sport

List price £50,925

Cash Target Price £43,200 

Total finance cost £41,630 

Even though it’s soon to be facelifted, the 5 Series is still a great all-rounder and a What Car? five-star car. Most versions are cheaper to buy with cash, but the superb 530d is a noteworthy exception, costing up to £1570 less on PCP. 

BMW 7 Series - save £10,247

BMW 7 Series M760 Li xDrive

Model M760Li

List price £141,710

Cash Target Price £128,696 

Total finance cost £118,449 

The 7 Series is a strong contender in the luxury car class, with sharp handling, strong engines and a brilliant infotainment system. Whichever 7 Series you go for, you’ll save money by buying on finance, with a benefit of more than £6000 on the entry-level 730d. If you opt for the flagship M760Li, you’ll save more than £10,000. 

Jaguar XF - save £1844

Jaguar XF

Model 2.0d R-Sport
List price £36,740
Cash Target Price £33,414 

Total finance cost £31,570 

The latest XF has brilliant handling, lots of standard kit and strong safety credentials. Most versions are cheaper on finance, with savings of between £1000 and £1500 on many trim levels and £1844 off the R-Sport. 

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