We are well placed to advise you on a range of finance plans. They’re flexible and straightforward to arrange.
One size does not fit all – that’s true for vehicles and it’s true for payment plans.
Find the finance method that best suits you and your needs on this page.
Personal Contract Purchase (PCP) is a finance product that allows you the opportunity to buy a used car, van or pickup.
It is similar to a Hire Purchase agreement as you will usually pay an initial deposit, followed by monthly instalments over a term typically between 18 to 48 months.
What makes PCP different to Hire Purchase (HP) is that your monthly instalments are paying off the depreciation of the vehicle, and not its entire value, over the course of the term. Then, when you get to the end of your agreement, there is a final, balloon payment that must be made if you want to keep the vehicle. The balloon payment is often referred to also as the Guaranteed Future Value (GFV).
When you have chosen your car, van or pickup, you will then agree on your annual mileage and decide on the agreement term with one of our team.
We will then determine the Guaranteed Minimum Future Value (GMFV) of the vehicle at the end of the agreement and work out a deposit and monthly amount that works for you.
At the end of your agreement you will then have three options:
Return – Simply return the vehicle back to us
Retain – Keep the vehicle by paying the optional final payment
Renew – Trade it in for another car, van or pickup
For a quotation, help, or advice contact us and ask to speak to one of our team.
You can normally settle your agreement early by asking the finance company to provide you with a settlement figure. However, the finance company will require you to pay off the difference between what your vehicle is worth, and what you still owe and there may be a difference which is known as negative equity. On the other hand, you may find that at the end of your term your vehicle is worth more than the Guaranteed Future Value, which means you will have some positive equity to contribute towards your next car, van or pickup.
Hire Purchase is a way to finance buying a used car, van or pickup. You will normally pay an initial deposit and will pay off the entire value of the vehicle in monthly instalments. When all the payments are made, the Hire Purchase agreement ends, and you own the vehicle outright.
The short answer is yes, you can end your finance early. There are different provisions within each finance agreement that allow you to do just that. If you have got two thirds of the way through your finance agreement, the options to end the finance agreement early open up.
For a Hire Purchase agreement, there is an option of paying it off early through a settlement fee. A settlement fee covers the cost of any remaining unpaid instalments and interest payments remaining on the agreement. Once the settlement fee is paid, you take full ownership of the vehicle early.
Under a Personal Contract Purchase agreement, you can also pay a settlement fee for bringing the agreement to an end early. After that, you can choose to hand the vehicle back or you have a second option. Through a PCP agreement, you can take full ownership of the vehicle by paying off the remaining Guaranteed Minimum Future Value also known as a balloon payment.