Funding options

CONTRACT HIRE

Contract Hire is a great option for companies who emphasise cost control. One regular and VAT- efficient payment will cover most motoring costs and risks, including the Road Fund Licence, depreciation and the eventual disposal of the vehicle. Many clients also choose to include a maintenance package that's designed to suit them. The only other costs remaining with the customer are fully comprehensive insurance & fuel.

Contract Hire means that clients:

• Gain an additional credit line.
• Can reclaim the VAT on 50% of their payments and on 100% of their maintenance package costs.
• Run vehicles that are not recorded in the Balance Sheet but on the Notes to the Audited Accounts.
• Can claim Hire Rental Tax Allowances.

In Summary Contract Hire offers:

• Fixed cost, inflation free motoring.
• No Residual value risk.
• Low initial outlay.
• Cash Flow benefits for business users.
• Ability to renew cars for minimal outlay.
• Allows cars to be kept up to date and vehicle fleet fresh.

PERSONAL CONTRACT HIRE

Personal Contract Hire offers the same benefits as Contract Hire, but for private individuals. If you want fixed cost motoring, or have opted out of a company car scheme then Personal Contract Hire could provide you with hassle free motoring without the residual value risks associated with traditional ownership.

VAT is built into the monthly payments, but is not reclaimable by private individuals. Maintenance packages are usually available so that you don't get any nasty surprises.

Personal Contract Hire benefits are:

• Allows you to hire new or used vehicles.
• Includes a full-term Road Fund Licence.
• Can include a full maintenance package that takes all the worry out of motoring.

PERSONAL CONTRACT PURCHASE

Personal Contract Purchase suits people who want to own the vehicle at the end of the contract and who value expense control. It is an excellent option for those who have opted out of a company car scheme or for non-VAT registered companies. This is a variation on lease purchase where the 'balloon' or deferred payment is agreed and guaranteed.

Personal Contract Purchase means:

• A low deposit.
• Payments that can be reduced by a deferred 'balloon' payment.
• An option to own the vehicle at the end of the contract.
• No disposal or unexpected 'balloon' payment risks.
• The option to refinance the balloon payment at the end of the contract.

Lease Purchase

Lease Purchase is essentially Hire Purchase with a balloon payment at the end of the contract. Lease Purchase offers lower monthly payments than normal hire purchase. Instead, at the end of the agreement, you can make a final lump sum payment (or 'balloon') to own your car.

It's fixed rate finance - but with a lower fixed monthly outlay since you defer repayment of some of the borrowing. At the end of the agreement options include car purchase, refinance, part exchange or resale.

The deposit you pay is flexible - from as little as £99. The remaining balance, plus fixed interest, is repaid in equal instalments over an agreed period (12-60 months) plus a final balloon payment.

Hire Purchase

Hire purchase is a simple, straightforward way to spread the cost of buying a new car. It is fixed rate finance - with a fixed monthly payment. The deposit you pay is flexible - from as little as £99. The remaining balance, plus fixed interest, is repaid in equal instalments over an agreed period (12-60 months).