Just had a letter from HR. They want just shy of £60 for a £1000 bike. If I don't take it, they want to bill me £45 for disposal. Not a grumble, just wondering how this compares with what others have had.
Bike Forum
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C2W transfer of ownership
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Posted 2 years ago #
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Just got something very similar through.
Posted 2 years ago # -
I paid the same as the other installments, 41 for a 750 quid bike, still paid pree tax from my salary mind so more like 28 quid i think.
Posted 2 years ago # -
Similar here. Galled a bit.
Posted 2 years ago # -
cynic-al - Member
Similar here. Galled a bit.I am assuming that is missing a smiley or something? Still seems like a bargain to be honest! Isn't the final payment supposed to be a "fair market value" or something?
I just wish Derbyshire County Council would get there act together so I could have the choice...
Posted 2 years ago # -
Why the surprise? These payments (though not the actual amounts) would have been written into your original agreement.
Posted 2 years ago # -
£10 across the board in my place. Didn't matter if you got a £250 bike or £1000, they only asked a tenner which went in the companies charity fund.
One of the most impressive things they've ever done.
Posted 2 years ago # -
Basically r2w is a rental scheme almost as in your renting it from your work for 12 months. after the 12 months 5% of the bike is generally charged for the company to sign over ownership to you, although now hm customs and revenues have started to enforce that at the end of the scheme you take your bike into a shop to have an assesment on the condition and value of the bike.
Posted 2 years ago # -
It galled cos I don't see why my employer should profit out of the scheme (bar maybe interest and admin) and by that time I'd paid more than it's fair market value at the end of the lease.
Druidh I was not surprised, nor has anyone expressed that.
Posted 2 years ago # -
cynic-al - Member
It galled cos I don't see why my employer should profit out of the scheme (bar maybe interest and admin) and by that time I'd paid more than it's fair market value at the end of the lease.Druidh I was not surprised, nor has anyone expressed that.
So - you knew it was going to happen and it "galled" you? Was taking part in the C2W compulsory for you? Did you feel you didn't get a good deal?
Posted 2 years ago # -
They have to sell it at the end of the loan period, or it's a hire purchase scheme and you've evaded tax.
You haven't bought the bike off your employer over the last 12 months, you've leased it from them. Now, if you want to keep it, you need to buy it off them.
I don't agree with the disposal fee though. It's their property to dispose of, not yours, so why should you pay for it?
Posted 2 years ago # -
it's still effectivly a company asset that was purchased ex-vat and then leased to you, £60 to transfer it off the books and into your name isn't too bad...
Mine was £50 at the end, for a £500 bike so £60 for a £1k bike seems pretty good...
Posted 2 years ago # -
Should have just paid full RRP then you wouldnt have this problem!
Posted 2 years ago # -
So - you knew it was going to happen and it "galled" you? Was taking part in the C2W compulsory for you? Did you feel you didn't get a good deal?
yes. No. Yes.Posted 2 years ago # -
Oops I meant no.
Posted 2 years ago # -
Oh and I think you are missing my point and trying to make your own
Posted 2 years ago # -
Here's one for you. Lets say you work for a company, it's a very big company. No really, it's probably one of the biggest companies in Britain. Lets also say, it's the very same company, that actually came up with the idea of the cycle to work scheme and provides all the detail for it.
Do you think, this company actually runs the cycle to work scheme?
Here are your options.
1. No.
2. No.Posted 2 years ago # -
Well, that's the thing, in the pre scheme info, they said the final payment would be 4.5% or £20 which ever was less! I know, I signed the contract and that says something like 4.5% (guessing they added VAT or something). Still, the disposal fee is a bit of a liberty. Guess it's just there to stop you returning the bike (which is daft as we buy pool bikes for site visits).
Posted 2 years ago # -
i paid an extra installment plus tax etc came to around seventy quid but still saved me a fair chunk so happy with that
Posted 2 years ago # -
Well, that's the thing, in the pre scheme info, they said the final payment would be 4.5% or £20 which ever was less!
If I recall correctly, agreeing the price in advance turns it into a hire purchase scheme...
Posted 2 years ago #
Topic Closed
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