A finance option to suit everyone

Contract Hire / Personal Contract Hire

A deposit of 3 months rental is required – followed by 35 rental payments (other terms are available) including road fund licence fee. Additional services can be added including servicing and maintenance, tyres and exhaust replacements, replacement vehicles and breakdown assistance. Costs vary depending on anticipated annual mileage. The vehicle is collected by the contract hire company at the end of the contract period.

Contract Purchase / Personal Contract Purchase

Contract Purchase and Personal Contract Purchase use a guaranteed future value for the vehicle to reduce monthly costs. The monthly payment is based on an agreed annual mileage and allows an option to either purchase the vehicle or return it at the end of the finance term. A deposit of 3 months rental is usually required – following payments are made over an agreed period. Service and maintenance can also be included.

Hire Purchase

Hire purchase spreads the vehicle purchase over an extended term. A larger deposit is required (minimum of 10%), with the balance paid over a set period, usually between 3 and 5 years.
At the end of the term, the vehicle is the property of the client.

Finance Lease

This option is particularly suitable for VAT registered businesses. Finance is calculated on the vehicle value excluding VAT. Monthly payments are then subject to VAT which can be claimed back (subject to Inland Revenue rules regarding disallowance). A one-off larger payment may be made at the very end of the Lease period to reduce the monthly rentals, this is often referred to as a 'balloon payment'. At the end of the finance term, the business is responsible for selling the vehicle to a third party and retains 95% of sales proceeds, which can be used to pay the balloon payment (if any).