Faq questions

A personal contract hire (PCH) agreement is a type of car lease that allows individuals to lease a car for personal use. With a PCH agreement, the individual pays a fixed monthly fee for a set period of time, usually 2-4 years, in exchange for the use of the car. At the end of the lease term, the individual returns the car to the leasing company.

One of the key benefits of a PCH agreement is that the monthly payments are often lower than the monthly payments for purchasing a car outright. This is because the individual is essentially renting the car instead of owning it, and the payments only cover the depreciation of the car during the lease term. Additionally, PCH agreements typically include maintenance and servicing, so the individual doesn't have to worry about those costs.

Another benefit of a PCH agreement is that the individual doesn't have to worry about selling the car at the end of the lease term. Instead, they simply return the car to the leasing company and can choose to lease a new car if they wish.

However, there are some drawbacks to PCH agreements. For example, the individual doesn't own the car, so they have to follow mileage restrictions and can't make modifications to the car. Additionally, if the individual wants to end the lease early, they may face early termination fees.

Overall, a PCH agreement can be a good option for individuals who want to drive a new car without the commitment of purchasing one outright. However, it's important to carefully consider the terms of the lease agreement and make sure it's the right choice for your individual needs and budget.

The main difference between personal and business contract hire is the type of lease agreement and the purpose of the leased vehicle.

Personal contract hire (PCH) is a lease agreement designed for individuals who want to lease a car for personal use. The individual pays a fixed monthly fee for a set period of time, usually 2-4 years, and at the end of the lease term, they return the car to the leasing company. PCH agreements are often popular with individuals who want to drive a new car every few years without the financial commitment of purchasing one outright.

On the other hand, business contract hire (BCH) is a lease agreement designed for businesses that want to lease vehicles for business use. With a BCH agreement, the business pays a fixed monthly fee for a set period of time and at the end of the lease term, they return the vehicles to the leasing company. BCH agreements are often popular with businesses that need a fleet of vehicles for employees to use for work purposes.

There are some differences in the terms of the lease agreement between PCH and BCH. For example, with BCH agreements, the leasing company may require the business to have a certain credit rating or financial standing. Additionally, businesses may be able to claim back the VAT on the monthly payments, whereas individuals cannot.

Overall, the main difference between PCH and BCH is the purpose of the leased vehicle and the terms of the lease agreement. PCH is designed for individuals who want to lease a car for personal use, whereas BCH is designed for businesses that need a fleet of vehicles for work purposes.

Car insurance is typically not included in a car lease deal. However, many lease agreements require the individual to have comprehensive car insurance in place for the duration of the lease term.

In most cases, the individual leasing the car will need to arrange and pay for their own car insurance separately from the lease agreement. This is because the leasing company only owns the vehicle, and it is the responsibility of the individual driving the vehicle to ensure that it is properly insured.

It's important for individuals considering a car lease to carefully review the terms of the lease agreement and make sure they understand any insurance requirements. Some leasing companies may require a certain level of insurance coverage, such as a minimum level of liability insurance, and failure to comply with these requirements could result in penalties or termination of the lease agreement.

It's also important to shop around and compare car insurance quotes from different providers to ensure that you're getting the best deal on insurance coverage. By taking the time to find the right insurance coverage, individuals can protect themselves and their leased vehicle while keeping their monthly payments affordable.

Road tax, also known as vehicle excise duty (VED), is typically not included in a car lease. It is the responsibility of the individual leasing the car to ensure that the vehicle is properly registered and taxed.

In the UK, all vehicles that are used or parked on public roads must be taxed. The amount of road tax payable depends on the type of vehicle, its CO2 emissions, and the fuel type. The individual leasing the car is responsible for registering the vehicle with the Driver and Vehicle Licensing Agency (DVLA) and paying the annual road tax.

It's important to note that some leasing companies may offer the option to include road tax in the monthly lease payments for an additional fee. However, this is not always the case, and it's important for individuals to carefully review the terms of the lease agreement to understand their responsibilities for road tax and other ongoing costs.

Overall, it's important for individuals considering a car lease to budget for ongoing costs such as road tax, insurance, and maintenance to ensure that they can afford to maintain the vehicle throughout the lease term.

Whether or not servicing and maintenance is included in a car lease will depend on the specific lease agreement. In some cases, the lease agreement may include maintenance and servicing as part of the monthly payments, while in other cases, the individual leasing the car will be responsible for arranging and paying for maintenance and repairs separately.

Some lease agreements may include a maintenance package that covers routine servicing and repairs, such as oil changes, brake pads replacement, and tire rotations. This can provide peace of mind and help individuals budget for ongoing vehicle maintenance costs.

However, it's important to carefully review the terms of the lease agreement to understand what is included in the lease payments and what additional costs you may be responsible for. Some lease agreements may have limits on the amount of mileage allowed per year, and exceeding this mileage limit can result in additional fees or penalties. Additionally, if the vehicle is returned at the end of the lease term with excessive wear and tear, the individual leasing the car may be responsible for additional charges.

In summary, whether or not servicing and maintenance is included in a car lease will depend on the specific lease agreement. It's important for individuals considering a car lease to carefully review the terms of the agreement and understand their responsibilities for ongoing maintenance and repairs.

Yes, there is typically a mileage limit on a car lease. The mileage limit is usually set by the leasing company and is based on the length of the lease term, the make and model of the vehicle, and the intended use of the vehicle.

The mileage limit is usually expressed in terms of miles per year and is typically between 10,000 and 15,000 miles per year. If the individual leasing the car exceeds the mileage limit, they may be charged an additional fee for every mile over the limit, which can be quite expensive.

It's important for individuals considering a car lease to carefully consider their expected annual mileage and choose a lease agreement with a mileage limit that meets their needs. If you plan to drive more than the mileage limit, you may want to consider negotiating a higher mileage limit with the leasing company or exploring other options such as purchasing the vehicle outright.

In addition, it's important to keep track of your mileage throughout the lease term to avoid exceeding the limit and incurring additional charges. If you are close to exceeding the mileage limit, you may want to consider limiting your driving or exploring alternative transportation options to avoid additional fees.

Personal Contract Hire (PCH) and Personal Contract Purchase (PCP) are two popular types of car finance options in the UK, but they work differently.

PCH is a type of car leasing arrangement where the individual pays monthly rentals for the use of the vehicle for an agreed period, typically between 2 to 4 years. At the end of the lease period, the individual returns the car to the leasing company and has no option to buy it. PCH agreements do not include an option to purchase the car at the end of the lease term, but they do include the option to add maintenance and service packages.

PCP is a car finance arrangement that combines leasing and ownership. Under a PCP agreement, the individual makes monthly payments for a set period, typically between 2 to 4 years. At the end of the agreement, the individual has the option to either return the car to the finance company or make a final payment to purchase the vehicle outright. The final payment is calculated based on the car's guaranteed future value (GFV) at the end of the agreement, which is determined at the start of the agreement based on the car's estimated depreciation.

The main difference between PCH and PCP is that PCH is a pure car leasing arrangement, while PCP offers the option to purchase the car at the end of the agreement. PCH payments are typically lower than PCP payments because the individual is only paying for the use of the car, whereas PCP payments include the depreciation of the car plus interest and fees. However, PCP agreements provide the option to purchase the car at the end of the agreement, which can be a more attractive option for individuals who want to own the car outright.

Yes, it is possible to get car insurance if you're not the registered owner of the vehicle. In fact, many people insure cars that they do not own, such as when they are borrowing a car from a friend or family member or when they are renting a car.

The most important thing is to make sure that you have the owner's permission to drive the car and that you are listed as a named driver on the insurance policy. The registered owner of the car should also be listed on the insurance policy as the owner of the vehicle.

When you apply for car insurance, the insurance company will typically ask for details about the vehicle, such as the make and model, the registration number, and the owner's details. You will also be asked to provide information about yourself, such as your driving history and personal details.

It's important to note that if you are driving a car that is not registered in your name, you may need to provide additional information or documentation to the insurance company, such as proof of your relationship with the registered owner of the car or a copy of the rental agreement if you are renting the car.

In summary, it is possible to get car insurance if you're not the registered owner of the vehicle, but you must have the owner's permission to drive the car and be listed as a named driver on the insurance policy. It's also important to provide accurate and complete information to the insurance company and to check the policy terms and conditions carefully to ensure that you are fully covered while driving the car.

Initial rental, also known as an upfront payment or initial payment, is a term used in car leasing agreements to refer to the amount of money the individual leasing the car pays at the start of the lease term.

The initial rental payment is usually a multiple of the monthly rental payment, with the most common multiples being 1, 3, 6, or 9 months. For example, if the monthly rental payment for a car is £300 and the initial rental payment is 3 months, the individual leasing the car would need to pay an upfront payment of £900 at the start of the lease term.

The purpose of the initial rental payment is to reduce the monthly rental payment, as the leasing company will use the initial payment to cover the first few months of the lease term. The amount of the initial rental payment can vary depending on the make and model of the car, the length of the lease term, and the individual's credit rating.

It's important to note that the initial rental payment is not a deposit, and it is not refundable if the individual decides to end the lease agreement early. However, at the end of the lease term, the individual can either return the car to the leasing company or enter into a new lease agreement for a different car.

In summary, the initial rental payment in a car leasing agreement is the amount of money the individual leasing the car pays upfront at the start of the lease term. The purpose of the initial rental payment is to reduce the monthly rental payment, and the amount can vary depending on the make and model of the car, the length of the lease term, and the individual's credit rating.

It is usually not possible to amend the agreed mileage part-way through a car lease contract. The agreed mileage is set at the beginning of the lease term, and the monthly payments are calculated based on this agreed mileage.

If you find that you are likely to exceed the agreed mileage, it is important to contact your leasing company as soon as possible to discuss your options. Depending on the leasing company and the terms of your agreement, you may be able to negotiate a higher mileage allowance or to extend the lease term to avoid excess mileage charges.

If you do exceed the agreed mileage, you will be charged an excess mileage fee at the end of the lease term. This fee can vary depending on the leasing company and the make and model of the car, but it is typically charged per mile over the agreed mileage.

It's important to note that exceeding the agreed mileage can also affect the resale value of the car, as cars with high mileage are generally worth less than those with lower mileage. As a result, it's important to be realistic about your expected mileage when entering into a car lease agreement and to plan accordingly.

In summary, it is generally not possible to amend the agreed mileage part-way through a car lease contract. If you are likely to exceed the agreed mileage, it's important to contact your leasing company as soon as possible to discuss your options and to avoid excess mileage charges.

If the car gets damaged during the lease, the individual leasing the car is generally responsible for the cost of repairing the damage. However, the specific terms of the lease agreement and the level of damage will determine how the repair costs are handled.

Most lease agreements require the individual leasing the car to maintain the car in good condition and to return it at the end of the lease term in the same condition as when it was leased, with reasonable wear and tear expected. If the car is damaged beyond reasonable wear and tear, the individual leasing the car may be responsible for paying for the repairs.

In some cases, the leasing company may require the individual leasing the car to have comprehensive insurance that covers the cost of repairs in case of damage. However, even with insurance, the individual may be responsible for paying an excess or deductible, depending on the terms of the insurance policy.

If the damage is minor, the leasing company may allow the individual to repair the damage themselves or to pay for the repairs at the end of the lease term. However, if the damage is significant, the leasing company may require the individual to have the car repaired at an approved repair center or to pay for the repairs themselves.

It's important to carefully review the terms of the lease agreement and to ask any questions before signing the agreement to understand the specific requirements and responsibilities in case of damage to the car during the lease term.

In summary, if the car gets damaged during the lease, the individual leasing the car is generally responsible for paying for the cost of repairing the damage, depending on the terms of the lease agreement and the level of damage. It's important to carefully review the lease agreement and ask questions to understand the specific requirements and responsibilities in case of damage.

If your leased car is written off or stolen, the leasing company will generally require you to notify them as soon as possible. The specific terms of your lease agreement and the level of insurance coverage you have will determine how the situation is handled.

If you have fully comprehensive insurance, your insurance company will usually pay out the current market value of the car at the time of the write-off or theft. This payout will go to the leasing company, and any remaining balance on the lease agreement will need to be paid by you.

In some cases, the payout from the insurance company may cover the remaining balance on the lease agreement, and you may be left with nothing further to pay. However, it's important to note that this is not always the case, and you may still be required to pay the remaining balance on the lease agreement.

If you have gap insurance, this insurance can help to cover the difference between the current market value of the car and the amount outstanding on the lease agreement. This can help to minimize the financial impact of a write-off or theft on you.

It's important to review the terms of your lease agreement and insurance policies carefully to understand how a write-off or theft will be handled and to be prepared for any financial obligations that may arise.

In summary, if your lease car is written off or stolen, the specific terms of your lease agreement and insurance policies will determine how the situation is handled. You may be required to pay the remaining balance on the lease agreement, or gap insurance may help to cover this difference. It's important to review the terms of your agreements carefully and be prepared for any financial obligations that may arise.

Yes, it is possible to exit a car lease deal early or transfer the lease to another person, but there are typically fees and restrictions associated with these options.

Exiting a lease early can result in early termination fees, which can be quite significant. These fees may be calculated based on the remaining payments due on the lease, plus additional charges. It's important to carefully review the terms of your lease agreement to understand the fees and penalties associated with early termination.

Another option is to transfer the lease to another person. This is known as lease transfer or lease assumption. The process typically involves finding someone who is willing to take over the lease payments and meeting certain requirements set by the leasing company. Some leasing companies may charge a fee for transferring the lease, and the person assuming the lease may need to pass a credit check and meet other criteria.

If you are considering early termination or lease transfer, it's important to carefully review the terms of your lease agreement and speak with your leasing company to understand the specific requirements and fees associated with these options.

In summary, it is possible to exit a car lease deal early or transfer the lease to another person, but there are typically fees and restrictions associated with these options. Early termination fees can be significant, and lease transfer may involve meeting certain requirements and paying fees. It's important to carefully review the terms of your lease agreement and speak with your leasing company before making any decisions.

If you pass away during a car lease agreement, the terms of your lease will typically depend on whether or not you have a co-signer on the lease and whether or not you had credit life insurance or a similar policy in place.

If you have a co-signer on the lease, the co-signer may become responsible for the lease payments after your death. However, if you had credit life insurance or a similar policy in place, the policy may cover the outstanding balance on the lease.

If you do not have a co-signer on the lease and did not have credit life insurance or a similar policy in place, the leasing company may look to your estate to settle the outstanding balance on the lease. This may involve the sale of the leased vehicle to pay off the outstanding balance.

It's important to note that the specific terms of your lease agreement and any insurance policies you have in place will determine how your lease is handled in the event of your death. It's a good idea to review the terms of your lease agreement and insurance policies carefully and speak with your leasing company and insurance provider to understand your options and obligations.

In summary, the terms of your car lease agreement in the event of your death will depend on whether or not you have a co-signer on the lease and whether or not you had credit life insurance or a similar policy in place. It's important to review the terms of your lease agreement and insurance policies carefully and speak with your leasing company and insurance provider to understand your options and obligations.

Yes, it's generally possible to put a personal number plate on a lease car, but you'll need to follow certain procedures and meet certain requirements.

Firstly, you'll need to obtain the appropriate documentation for your chosen personalized registration number from the Driver and Vehicle Licensing Agency (DVLA). You can purchase a personal number plate from various dealers, online auctions, or directly from the DVLA.

Once you have your personalized registration number, you'll need to inform your leasing company that you intend to use it on the lease car. The leasing company will need to approve the use of the number plate and will likely require you to provide them with proof of ownership and insurance for the number plate.

Once the leasing company has approved the use of the personalized number plate, you'll need to arrange for the number plate to be transferred to the lease car. This typically involves filling out a V317 form from the DVLA and sending it to them, along with any required fees and documentation.

It's important to note that there may be restrictions on the use of personalized number plates on leased cars, and the leasing company may have specific requirements and procedures that you'll need to follow. It's always a good idea to check with your leasing company and the DVLA to ensure that you're following the correct procedures and meeting all requirements.

In summary, it's generally possible to put a personal number plate on a lease car, but you'll need to obtain the appropriate documentation and follow specific procedures and requirements set by your leasing company and the DVLA.

Whether or not you can take a payment holiday from your car finance will depend on the specific terms of your agreement with your finance company.

For Personal Contract Purchase (PCP) agreements, payment holidays are typically not offered as an option. With a PCP agreement, you have the option to pay lower monthly payments by deferring a portion of the cost of the car to the end of the agreement. This deferred payment is typically referred to as the "balloon payment" and is due at the end of the agreement. If you're struggling to keep up with your PCP payments, it's important to speak with your finance company as soon as possible to discuss your options, which may include refinancing, downsizing your car, or returning the car.

With Hire Purchase (HP) agreements, payment holidays may be offered as an option, but this will depend on the specific terms of your agreement. A payment holiday allows you to take a break from making payments for a period of time, but interest will continue to accrue on the outstanding balance during this time, and the term of your agreement will be extended. If you're struggling to keep up with your HP payments, it's important to speak with your finance company as soon as possible to discuss your options, which may include a payment holiday, refinancing, or returning the car.

It's important to note that taking a payment holiday may have long-term implications for the total cost of your car finance, as interest will continue to accrue during the payment holiday period, and the term of your agreement will be extended. If you're considering taking a payment holiday, it's important to carefully consider the implications and speak with your finance company to understand the full costs and consequences.

Personal loan car finance is a type of car finance where you borrow money from a lender, usually a bank or other financial institution, to purchase a car. With a personal loan, you receive a lump sum of money that you can use to buy a car outright. You then repay the loan in fixed monthly instalments over a set term, typically between one and seven years.

Car finance and car loans are similar in that they both provide a way to finance the purchase of a car, but there are some key differences. Car finance typically refers to a range of different finance options that are specifically designed for buying a car, including Personal Contract Purchase (PCP) and Hire Purchase (HP) agreements. With car finance, you don't own the car outright until you've made all the required payments, and the finance company retains ownership until the final payment is made. Car finance agreements often have lower monthly payments than personal loans, but they may have restrictions on the number of miles you can drive and require a deposit or balloon payment at the end of the agreement.

In contrast, car loans are personal loans that can be used to purchase a car, but they are not specifically designed for this purpose. With a car loan, you borrow a lump sum of money to buy a car, which you then repay in fixed monthly instalments over a set term. Unlike car finance, with a car loan, you own the car outright from the start, and you have the freedom to sell the car or modify it as you wish.

In summary, personal loan car finance and car loans are two different ways to finance the purchase of a car. Personal loan car finance is a specific type of car finance where you borrow money from a lender to purchase a car, while car loans are personal loans that can be used to buy a car but are not specifically designed for this purpose. It's important to compare all available options and understand the terms and conditions before deciding which option is best for you.

A credit check is a process where a lender or other financial institution checks your credit report to assess your creditworthiness and determine whether or not to lend you money or extend credit. There are two types of credit checks: soft credit checks and hard credit checks.

A soft credit check, also known as a soft inquiry or a soft pull, is a type of credit check that does not impact your credit score. Soft credit checks are typically done when you check your own credit report or when a lender pre-approves you for a loan or credit card. Soft credit checks may also be done by potential employers or landlords as part of a background check.

In contrast, a hard credit check, also known as a hard inquiry or a hard pull, is a type of credit check that can impact your credit score. Hard credit checks are typically done when you apply for credit, such as a loan or credit card. When you apply for credit, the lender will check your credit report to assess your creditworthiness and determine whether or not to lend you money or extend credit. Each hard credit check can lower your credit score by a few points, so it's important to limit the number of hard credit checks you have on your credit report.

In summary, a soft credit check does not impact your credit score and is typically done for informational purposes, while a hard credit check can impact your credit score and is typically done when you apply for credit. It's important to be aware of the type of credit check being done and how it may impact your credit score before agreeing to it.

The amount of deposit required to apply for a car on finance can vary depending on the lender, the car you're interested in purchasing, and your creditworthiness. In general, lenders may require a deposit of anywhere from 0% to 20% or more of the total cost of the car.

The deposit serves as a down payment on the car and can help reduce the overall amount of money you need to borrow. A larger deposit may also help you secure a more favorable interest rate and lower monthly payments. However, it's important to keep in mind that a larger deposit may also tie up more of your cash in the short term.

When considering how much deposit to put down on a car on finance, it's important to assess your financial situation and determine what works best for your budget. It's also a good idea to shop around and compare offers from different lenders to find the best deal for your needs.

The time it takes to get a car financing decision can vary depending on the lender and the type of financing you are applying for. In some cases, you may receive an instant decision, while in other cases it may take several days or longer.

For example, if you apply for financing online, some lenders may be able to provide an instant decision based on the information you provide. However, if you apply in person at a dealership or through a bank or credit union, it may take longer for the lender to review your application and make a decision.

In general, it's a good idea to be prepared for the financing process to take at least a few days. You may need to provide additional documentation or information to the lender, and the lender may need to verify your income and credit history before making a decision.

It's also a good idea to shop around and compare offers from different lenders to find the best deal for your needs. By doing your research ahead of time and being prepared, you can help streamline the financing process and get behind the wheel of your new car as quickly as possible.

A Hire Purchase (HP) payment balloon, also known as a balloon payment, is a large final payment that is due at the end of a Hire Purchase agreement. The balloon payment is typically a percentage of the total cost of the car, and is agreed upon at the beginning of the agreement.

During the Hire Purchase agreement, the borrower makes regular monthly payments to the lender, which cover the cost of the car plus interest. At the end of the agreement, the borrower has the option to either pay the balloon payment and take ownership of the car, or return the car to the lender.

The advantage of a balloon payment is that it allows the borrower to make lower monthly payments throughout the Hire Purchase agreement, as the final payment is deferred until the end. However, it's important to keep in mind that the balloon payment will be a large sum of money, and you will need to have the funds available to pay it if you choose to take ownership of the car.

If you're considering a Hire Purchase agreement with a balloon payment, it's important to carefully review the terms and conditions of the agreement, and ensure that you fully understand the financial implications of the balloon payment. It's also a good idea to shop around and compare offers from different lenders to find the best deal for your needs.

A No Claims Discount (NCD), also known as a No Claims Bonus, is a discount that is offered by car insurance companies to policyholders who do not make any claims on their car insurance during a policy year. The NCD is applied to the cost of the policy for the following year, and can result in significant savings on car insurance premiums.

The amount of the NCD varies depending on the insurance company, but it typically ranges from 30% to 70% off the base premium. The discount increases for each consecutive year that a policyholder does not make a claim, up to a maximum of five years. After five years of no claims, the NCD typically reaches its maximum level.

If a policyholder makes a claim on their car insurance, the NCD will be reduced or may even be eliminated. The amount of the reduction will depend on the insurance company and the number of claims made.

It's important to note that NCDs are usually only available for comprehensive car insurance policies, and may not be available for other types of car insurance, such as third-party insurance. Additionally, NCDs are typically only available to the policyholder, and may not be transferable to another person.

If you're shopping for car insurance, it's a good idea to ask about the NCD and any other discounts or promotions that may be available to you. By comparing policies from different insurance companies, you can find the best deal for your needs and potentially save money on your car insurance premiums.

Third Party, Third Party Fire and Theft, and Fully Comprehensive are the three main types of car insurance available in the UK. Here's a brief explanation of each:

  1. Third Party: This is the most basic type of car insurance and is a legal requirement for all drivers in the UK. It covers you for any damage you cause to other people, their vehicles, and their property while driving, but it does not cover any damage to your own vehicle.

  2. Third Party Fire and Theft: This type of insurance covers everything that Third Party insurance does, but it also covers your vehicle if it is stolen or damaged by fire.

  3. Fully Comprehensive: This is the most extensive type of car insurance available and covers you for everything that Third Party Fire and Theft covers, as well as any damage to your own vehicle, even if the accident was your fault.

In summary, the main differences between these types of car insurance are the level of coverage and protection that they offer. While Third Party insurance is the cheapest option, it only covers damage to others and their property, and doesn't cover any damage to your own vehicle. Third Party Fire and Theft insurance offers more protection, but still doesn't cover all potential damages. Fully Comprehensive insurance offers the most complete coverage and protection, but it's also the most expensive option. It's important to choose the type of insurance that best suits your needs and budget.

No, you cannot transfer your No Claims Discount (NCD) to another individual. The NCD is a discount on your car insurance premium that reflects the number of years you have been driving without making a claim on your insurance policy. It is unique to you and cannot be transferred to another person.

However, some insurance providers may allow you to use your NCD on more than one vehicle, provided that you are the main driver of each vehicle and that the vehicles are insured under separate policies. This is known as a "multi-car" policy.

It's worth noting that not all insurance providers offer the same NCD protection policies, so it's always a good idea to check with your insurer before making any changes to your policy.

Personal ontract Hire (PCH) and Business Contract Hire (BCH) both generally know as Leasing are long-term hirte agreement, usually over 2, 3 or 4 years.  An Initial payment is paid as the first months payment which can be as little as one months payment or as much as you choose, with the remaining payments of the duration of the contract remaining fixed.  Once the agreement ends, you do not own the vehcile and it is returned to the funder.  You are then free to take another lease.  Essentially, when Leasing a car you are paying for the depreciation of the vehcile for the agreed term that you ahve the vehcile.

Main Highlights of Leasing

✔️ A smaller upfront cost or initial payment compared to Hire Purchase (HP) or Personal Contract Purchase (PCP)

✔️ Monthly payments are typically lower than other forms of car finance

✔️ Fixed monthly payments

✔️ Road Tax is included for the duration of the lease agreement

Main Highlights of Personal Contract Purchase (PCP)

✔️ You can choose to purchase the vehicle at the end of the contract

✔️ If the vehcile is worht more at the end of the contract the GFV estimated at the start of the contract, the profit an be used against your next vehcile

✔️ Fixed monthly payments

✔️ A smaller deposit  is required when comapred to a standard loan of Hire Purchase (HP) agreement

Main Highlights of Hire Purchase (HP)

✔️ You own the vehcile once the final monthly payment is made

✔️ There is no need to factor in a mileage allowance

Main Highlights of a Loan

✔️ You own the vehcile and are free to sell it at any time (it is always sensible to check with the lender first)

✔️ The is more flexibility with repaying the loan for making overpayments or lump sum payments or even paying it off in full before the end of the term

Yes, we work with a panel of lenders, many of which will fund your car even if you ahve bad credit.  This will usually mean that your PCP or HP agreement will have a higher APR.  In most cases we can find a lender a lender who will provide you with finance for your car.

Yes, you do need to have a clean credit history to be approved for a lease.  Leasing is subject to status and is not appropriate if you have any form of adverse credit.

All the offers on VU Compare are unique to to the leasing broker or provider who has advertised the offer.  When you complete an enquiry form, your detaisl are passed to the lease broker or lease provdier who has advertised that specific lease deal and they will contact you as early as is possible to confrim the details of the offer with you and help you secure the vehcile you are looking for.

VU Comapre are very selective about the partners we allow to advertise on our platfrom.  We ensure that all lease brokers and lease providers have the necessary licences to offer the servcies they advertise and provide the best possible customer servcie.  We are strong believers in putting the customer first and do our utmost to ensure that you, the customer, are alsways treated fairly.  If for any reason you feel you ahve not been provided the level of servcie you should expect from any partner of VU Compare, please let us know by emailing us here email VU Compare