When you have chosen your vehicle, you will then set your annual mileage and decide on your preferred agreement term with one of our Business Managers.
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 car to us
Retain – keep the car by paying the optional final payment
Renew – trade the car in for another vehicle
You can normally settle your agreement early by asking the finance company to provide you with a settlement figure. However, you will be required to pay off the difference between what your car is worth, and what you still owe – a sum known as negative equity. On the other hand, you may find that at the end of your term your car is worth more than the Guaranteed Future Value, which means you will have some positive equity to contribute towards your next car.
This simple package offers a straightforward solution to covering the cost of your vehicle. Select the term of your agreement – between two and five years – and make fixed, regular payments over that period. Hire Purchase is a way to finance buying a new or used car. You will normally pay an initial deposit and will pay off the entire value of the car in monthly instalments. When all the payments are made, the Hire Purchase agreement ends, and you own the car outright.