Hire purchase

Hire purchase is the traditional method of purchasing a new vehicle, which simply involves borrowing the necessary funds over a fixed period (typically 12-60 months) at a fixed interest rate. A deposit can be paid as a way of reducing the monthly payments as can a balloon payment. A balloon payment is a pre agreed lump sum payable at the end of the agreement, no capital repayments are made against this amount during the repayment period but interest is charged. The balloon payment can be re financed when it is payable.

There are no mileage restrictions with a Hire Purchase agreement and an agreement can be settled at any time. Because this is a method of straightforward purchase you carry all the risk of depreciation.

We can supply any new car or commercial vehicle on the market in the UK and because we buy using the buying power of large leasing companies we can usually achieve greater discounts than those available in franchised dealerships.

We can also supply maintenance contracts for vehicles that are purchased this way.

If the vehicle is used solely for business use the Vat on the full purchase price can be reclaimed.