Conditonal Sale
Traditional form of finance agreement: you choose the car, agree how much deposit to pay and your finance term; your monthly payments are the based on your balance plus and interest and fees charged. At the end of the contract when you have paid your final monthly payment, the car is yours.
Personal Contract Purchase
A PCP finance agreement may enable you to change your car more often. You choose the car, agree on your deposit, term and expected annual mileage. We then calculate the car’s anticipated future value at the end of the contact. We deduct the Option Final Payment from your balance, and your monthly payments are based on this reduced amount. At the end of the contract you have 3 great choices:
- Renew: part exchange the car for another one and use any available equity as your deposit;
- Retain: pay the Optional Final Payment and keep the car
- Return: hand the car back and walk away owing nothing further as long as the car is in reasonable condition for its age and is within the agreed estimated annual mileage.
