Inchcape’s vast experience in financial services over many decades means we can
arrange very competitive finance packages to help you buy the car you want in
the way that suits you best.
Personal Contract Purchase (PCP) could offer a lower cost and more flexible
alternative to Hire Purchase. A lower monthly payment is achieved by allowing
you to finance the difference between the price of the vehicle and the
projected value of the vehicle at the end of the Contract Term. PCP also offers
much greater flexibility at the end of the contract.
How it works
At the end of the contract you can simple give the car back to Inchcape, trade
it in for a replacement vehicle or buy it for the guaranteed future value set
at the start of the contract.
PCP has been developed to allow you to change your vehicle more often than
other forms of finance as effectively all you are paying for is the
depreciation of the vehicle, and you have the comfort of knowing that we will
guarantee to buy back your car back at the end of the contract at a pre agreed
price set at the start, this price is known as the ‘Guaranteed Future Value
(GFV)’.
The contract can be set from 24 to 42 months allowing you the flexibility to
decide how long you would like to keep the car before you change it. When you
reach the end of the contract you have three options:-
Option 1
If you think the vehicle is worth less than the GFV simple return the vehicle
to us. As long as it’s in good condition and has not exceeded the agreed
mileage, you have nothing more to pay. We guaranteed this future value with you
at the start of the contract, we will absorb the loss and allow you to choose a
new vehicle and start again.
Option 2
You can keep the vehicle by simple paying off the outstanding GFV
Option 3
You can part exchange the vehicle against your new car and whatever trade-in
value we give you greater than the GFV can go towards your deposit, and lower
the monthly payments, on your new agreement. Alternatively, you could sell the
vehicle privately and keep any profit over and above the GFV
Excess Mileage
At the beginning of the agreement, you decide on the total mileage you expect
to do. If, at the end of the agreement, having chosen to hand your vehicle
back, your mileage exceeds the agreed level, you simply pay a fixed amount for
every extra mile.
Wear & Tear
It is in your interest to minimize the vehicle's 'wear and tear' and not
exceed the agreed mileage. When the agreement has finished, the vehicle may
well be worth more than the MGFV, providing you with extra value. In simple
terms 'normal wear and tear' means that for its age and mileage, the vehicle is
in fair working order, condition and repair.
Peace of Mind
You have the option to protect your payments in the event of you not being
able to work through sickness, accident or unemployment, or the full balance
paid off in the event of death. You also have the option to take a ‘Gap’ policy
which, in the event of your car being written off, will protect any shortfall
between your insurance payout and
the original invoice price.
Finance example
The following example is based on a 3dr
hatch and is for illustration purposes only. Please note that rates may vary;
for an up to date quotation please contact us.
Cash price on the road*
£7,295
|
Deposit
£500
|
Advance
£6,795
|
Period of agreement (months)
36 + GFV
|
First monthly payment**
£122.54
|
35 monthly payments
£145.81
|
Final monthly payment, GFV***
£2815.00
|
Total amount payable
£8,704.16
|
TYPICAL APR
9.9%
|
*Includes VAT, delivery charge, number plates, one year’s road fund licence
and first registration fee.
**Includes £140 acceptance fee.
***Includes £95 credit facility fee. Based on 10,000 miles per annum. Excess
mileage charged at 6p per mile.
For further information simply ask for a quotation when you enquire
about your vehicle. We are a licensed credit broker and written quotations are
available on request. Note that all finance is subject to status and
indemnities may be required.
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Inchcape Retail Limited is authorised and regulated by the Financial Services Authority in respect of insurance mediation activities only.
Inchcape Retail Limited, Registered in England and Wales No. 194561.
Registered Office:
Suite 3, Building 8,
Croxley Green Business Park,
Hatters Lane, Watford,
Hertfordshire WD18 8PY