About Vehicle Finance
Vehicle finance helps you to get the usage of
up-to-date and reliable vehicles, while minimising the effects of depreciation. If you
normally buy vehicles with cash, a bank loan, or through a traditional
Hire Purchase scheme, you may find us a far more cost-effective
option.
We can supply and finance any make or model of car and light commercial
vehicle, or any type of truck or trailer (new or used, EU import
or commercial). Other types of vehicle, craft or vessel can be
financed by separate arrangement.
For vehicle purchase we can help with Business
Contract Purchase (BCP), Personal
Contract Purchase (PCP), Lease Purchase, and Hire
Purchase.
For vehicle leasing we can help with Business Contract
Hire (BCH),
Personal Contract Hire (PCH), Sale & Lease back, and Finance
Leases.
The benefits of vehicle leasing
- Conserve cash reserves
- Budget outgoings
- No extra security required
- Possible tax advantages
- Maintain credit lines for other use
- Upgrade to the latest models
- Pay for usage not ownership
- Routine service and maintenance cover are an option
Interested in Vehicle Finance Options?
Please fill out the following information and we will contact
you as soon as possible (fields marked with * are required).
Alternatively call us free on 0800 781 3414 to speak to one of our team.
A form of operating lease, Business Contract Hire allows your business
to run a new vehicle for an inclusive monthly rental. At the
end of the agreement the vehicle is collected thereby avoiding
time-consuming disposal and any worries over depreciation of
the vehicle (Excess mileage and vehicle damage charges other
than fair wear and tear may be payable). Annual Road Fund Licence
is included in the monthly rental for the duration of the contract.
Interested in Business Contract
Hire? – Contact Us
A form of operating lease Personal Contract Hire allows you to
drive a vehicle without ever owning it. You simply hire your
new car for a period of time, between 12 and 60 months. At the
start of the agreement a low initial deposit is required, usually
3 monthly payments in advance. Then the amount you pay each month
is fixed for the length of the rental period, which means that
you also benefit from easy budgeting. At the end of the agreement
the vehicle is collected thereby avoiding time-consuming disposal
issues and any worries over depreciation of the car.
Interested in Personal Contract
Hire? – Contact Us
A type of lease purchase. You pay an initial deposit, followed
by a series of fixed monthly payments over an agreed period between
12 and 60 months. At the end of the contract period your company
has the option to own the vehicle but with the security of a
guaranteed future value should the vehicle be worth less than
the anticipated value. This means you have 3 options at the end
of your agreement:
- Make the payment and keep the vehicle.
- Extend the agreement by spreading the final payment over a further
period.
- Return the vehicle without making the final payment. This releases
you from further obligation except for excess mileage and
vehicle damage charges should the estimated mileage agreement be exceeded
or any damage be considered greater than fair wear and tear.
Interested in Business Contract
Purchase? – Contact Us
A type of lease purchase. You pay an initial deposit, followed
by a series of fixed monthly payments over an agreed period between
12 and 60 months. At the end of your agreed contract period you
have the option to own the vehicle but with the security of a
guaranteed future value should the vehicle be worth less than
the anticipated value.
- Make the payment and keep the vehicle.
- Extend the agreement by spreading the final payment over a further
period.
- Return the vehicle without making the final payment. This releases
you from further obligation except for excess mileage and
vehicle damage charges should the estimated mileage agreement be exceeded
or any damage be considered greater than fair wear and tear.
Interested in Personal Contract
Purchase? – Contact Us
This is a form of contract hire. Owning your fleet used to be
a viable option for cash-rich companies but the recent steady
fall
in secondhand car values is leaving fleet owners exposed to
unexpected losses. As a result, increasing numbers of companies
are turning
to contract hire instead. Sale & Leaseback allows companies
to switch the entire fleet immediately to contract hire without
changing a single vehicle or alternatively to have the entire
fleet replaced.
Key Benefits of Sale and Leaseback
- Release capital tied up in the fleet, which can be redirected to
your core business
- Eliminates the risk of depreciation and hassle of disposal
- Makes budgeting easier since you pay a fixed monthly amount under
your contract hire agreement
- Gives you the option of including maintenance costs, relief vehicles
and roadside assistance in the fixed monthly payment
- Offers VAT savings by removing your fleet from the balance sheet
- Improves your company's borrowing potential
- Allows an immediate change to contract hire without any operational
implications for your vehicles or drivers
- All the normal benefits of Contract Hire (see above)
Sale & Leaseback usually makes far more financial and administrative
sense than a gradual changeover to contract hire.
Interested in Sale & Leaseback? – Contact Us
The finance company takes full ownership of the asset and rents
the goods to you over a predetermined period. The finance company
can claim the writing down allowances and pass this benefit to
you by reducing the rental payments. The purchase price used
to calculate the rental is net of VAT. Typically you will source
the supplier. As with hire purchase, you can include a balloon
rental to reduce the value of the primary rentals. At the end
of the agreement you may have the option to enter into a secondary
period, at a minimal (or peppercorn) rental. As you are generally
covering the total cost and hire charges within the primary period,
you will be entitled to a share of the sale proceeds should the
leasing company allow you to sell on their behalf. You may consider
this for specialist vehicles such as JCBs, buses, farm vehicles
etc.
Interested in a Finance Lease? – Contact Us
Lease purchase differs from Hire Purchase in that instead of paying
a deposit of 10-15%, you typically pay a deposit as a multiple
of the repayments. The remaining balance and interest is repaid
in instalments. With regard to vehicle purchase, Business Contract
Purchase and Personal Contract Purchase are forms of Lease Purchase.
Interested in a Lease Purchase? – Contact
Us
Hire purchase is the most typical and readily available credit
facility. You source the asset and negotiate the purchase price
with the supplier. You pay a deposit to the finance company,
typically 10-20%, and the finance company takes title directly
from the supplier. At the end of the agreement you obtain title
through the payment of an ‘Option to Purchase’ fee.
Hire purchase agreements can be based on a fixed or variable
rate, the monthly commitment can be reduced by the inclusion
of a balloon.
Interested in a Hire Purchase? – Contact Us
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