2 January 2023 | Scheme news
In February 2022 Motability introduced a £250 New Vehicle Payment for car and Wheelchair Accessible Vehicle (WAV) customers. They’re increasing this payment to £750 from the end of February 2023. Motability hopes that giving you this amount back will help you make the most of your new car or WAV.
If you already received a New Vehicle Payment of £250, you’ll get an extra £500, and Motability will start to pay this from the beginning of March 2023. This will make your total payment £750.
You do not need to contact Motability about this – they will share more details in the next month or two about exactly when these changes will happen.
You can only get the New Vehicle Payment once – you will not receive another payment for your next lease.
The £100 New Product Payment for scooter and powered wheelchairs is not changing.
Who’s eligible for the New Vehicle Payment?
Answer some quick questions and find out if you’re eligible to receive our New Vehicle Payment
I’m not on the Scheme yet or I’m waiting for my first car or WAV.
If you get or order your first vehicle on the Scheme before the end of 2023, you’ll be eligible for a New Vehicle Payment. You’ll receive this shortly after you get your new vehicle.
I already have a car or WAV on the Scheme
You’ll become eligible for the payment when you get your next vehicle.
You can only get this payment once, so if you took delivery of your new vehicle since we introduced this payment, you will not receive another payment for your next lease.
If you have a scooter or powered wheelchair, you’ll receive a £100 New Product Payment instead.
How will I receive the New Vehicle Payment?
The quickest way to receive it is by bank transfer.
Just add your bank details in your Motability Scheme online account and Motability will send you the payment within a few days of you getting your new vehicle.
Log in or create an account then go to ‘Personal details’, enter your bank details and choose ’Payments by bank transfer’.
Motability will only use your bank details to pay you or send you refunds. Your details will be encrypted and secure once you save them in your account.
If you’ve already updated your preference to bank transfer, please double-check your details are still correct before you get your new car or WAV.
You can easily update these in your online account if they’ve changed.
If Motability don’t have your bank details they will send you a cheque instead, but this could take a couple of weeks to arrive.
Why are you increasing the New Vehicle Payment?
The ongoing global shortage of new cars has made them more expensive and increased the price of used cars more than anyone expected. As a business that doesn’t make shareholder profit, we can reinvest the money to help our customers with affordability.
This includes investing in pricing to keep leases and Advance Payments as low as possible and increasing the New Vehicle Payment to £750 so customers can make the most of their new vehicle.
I’ve already received the £250 New Vehicle Payment. Will I get the extra £500?
Yes. This £500 payment is available to everyone who’s been paid a £250 New Vehicle Payment.
What if I get my new car or WAV before the £750 increase in February?
If you get your new car or WAV before the New Vehicle Payment increases to £750, you’ll receive £250 shortly after you get your new vehicle.
You’ll then get another £500 to take your total New Vehicle Payment to £750 and we’ll start paying this from the beginning of March.
Will I get this every time I get a new vehicle?
No – you can only get this payment once.
Will I still get the New Vehicle Payment if my lease is extended?
Yes. If you choose to extend your lease, you’ll get the New Vehicle Payment shortly after you get your next car or WAV.
I’m looking to join the Scheme, but I’m not ready to order. What will happen if my vehicle doesn’t arrive until 2024?
There’s no rush to order. We recommend you take your time and look at all the available options that might suit your needs.
As long as you order your first vehicle before the end of 2023, you’ll still be eligible for this payment, even if you don’t get your vehicle until 2024 or later.
Will this payment affect my Good Condition Payment?
No, this payment is separate.
It will not affect if you’re eligible or the amount you receive for the Good Condition Payment, or End of Contract Payment for scooter and powered wheelchairs.
Information and image is taken from https://news.motability.co.uk/scheme-news/new-vehicle-payment-introduced/ on 07/02/2023