Personal Contract Purchase

What is Personal Contract Purchase?

Personal Contract Purchase. This product is ideal for those Private Individual Users who perhaps may wish to own a vehicle at the end of the contact, or if they decide not to then they may hand it back at the end of a lease. Identical to Contract Hire you take on a vehicle for a fixed period of time, but in this case at the end of the fixed period of time, you have two options to consider. You can either hand the vehicle back to the leasing company, or if you decide you to purchase the vehicle you may do this for an amount that will be guaranteed at the start of the agreement. There is no residual value risk to you, and no hassle of disposal should you choose to hand the vehicle back. As with other agreements we offer we can bolt on other services to your contract such as GAP Insurance & maintenance if required.

Benefits of Personal Contract Purchase?

  • Helps Cash Flow - Low initial outlay (Normally just 3 Months in Advance)
  • Fixed Payments - Budget Accurately with fixed regular payments
  • Flexible - With Contract Terms from 2 to 5 years and contract mileage allowance of up to 150,000 miles
  • Low Risk- No depreciation risk you or and no hassle or you on disposal
  • Ownership - You have the option to own the vehicle at the end of the term, or hand it back to lease company
  • TAX Efficient- With the ability to recover Capital Allowances through your business
  • VAT - Ideal for Business Users who are unable to recover VAT
  • Hassle Free - Road Tax usually included for the first 12 months. *Some special deals differ
  • Maintenance – Fixed Cost Vehicle Maintenance is normally an option

How Does Personal Contract Purchase Work? (PCP)

Select the make/model of vehicle required. You need to have an idea on the amount of Annual Mileage you will undertake, decide on the length of the agreement (between 2 to 5 years), Decide if your require Maintenance or GAP insurance and then we can provide you with your monthly payment which is fixed for the duration of the contract. At the end of the contract you either hand it back to the lease company or purchase the vehicle at the previously agreed price at the start of the contract.