Personal Contract Purchase (PCP)

PCP is great if you want to change or upgrade your car or motorcycle at the end of the finance term.

Under a PCP agreement we guarantee the minimum the vehicle will be worth at the end of your agreement based on the agreed annual mileage and maintenance of the vehicle. This value is known as the ‘Guaranteed Minimum Future Value’ and by deferring this to the end of the term, your customer could benefit from lower fixed monthly payments compared to our HP and CS products.

A deposit of around 10% is usually required and the term can be 1 - 4 years. The finance is also secured against the vehicle.

At the end of the term you have three options:

  • Part-exchange it – use any value left in your vehicle to part-exchange it for a new one.
  • Buy it – pay off the final payment (Guaranteed Minimum Future Value plus the Option to Purchase Fee (OTP) in one lump sum and become the legal owner.
  • Hand it back – simply hand back the vehicle and the keys, pay any charges incurred, and walk away.