This plan is the same as conventional hire purchase with one key difference – there is a larger 'balloon' payment deferred to the end of the agreement. This reduces the fixed regular payments. However, unlike Personal Contract Purchase, the final balloon payment is not optional and the future value of your vehicle is not guaranteed.
How it Works
- Just choose the vehicle you want and decide your agreement term between 12 and 48 months.
- Then choose the amount of the balloon payment that you will defer to the end of the agreement.
- The balloon payment and any deposit are deducted from the price of your vehicle. You make regular payments based on the remaining balance plus the agreement interest.
- At the end of the agreement, following the settlement of the balloon payment, you will own your vehicle outright.
- Fixed regular payments for easy budgeting.
- Flexibility - you choose the deposit and agreement term to suit your needs.
- Your regular payments are reduced because the balloon payment is deferred to the end of the agreement.
- You own your vehicle at the end of the agreement.