Personal Contract Purchase

PCP as it is now known is a contract leasing vehicle agreement for private individuals. Agreements are for a fixed term and set agreed mileage for a monthly fee, with the option to buy the vehicle at the end of the agreement if you wish. At the end of the contract, there is an optional balloon payment which you can pay to buy the vehicle outright, or you can choose to return the vehicle with nothing further to pay.

Monthly charges are governed by the initial cost of the vehicle, the total mileage covered, the period of the agreement and with an estimated value of the vehicle at the end of the contract. In addition, features from basic servicing to total vehicle management packages can be included if required. PCP is the main alternative to hire purchase.