Cars on hire purchase

Lowest Price Guarantee. Can I buy a car on hire purchase? What is a hire purchase? Is hire purchase available on Arnold Clark? How does carbase hire purchase work?

Buying a car through hire purchase Car hire purchase (HP) is a car finance plan. After paying a relatively low deposit, you hire your car with the option to buy it by the end of the contract. Here are the facts you need to decide whether a hire purchase agreement could be the right car-buying option for you.

Or, dealers – and other car salesmen – offer something called hire purchase (HP). As the name of this form of car finance suggests.

With our hire purchase options you can spread the cost of your car in a way that suits you. Whichever you choose, your standard monthly payment will never change.

And because the loan is secured on a vehicle, your other credit needs are left undisturbed.

When you first decide to buy a car on hire purchase, you will have to place down a deposit on the vehicle. This is usually around 10% of the total price.

You put down a deposit – which you can stump up yourself or can often be covered by part-exchanging your current car – then you pay off the rest of the outstanding balance via monthly payments over a set period of years. The size of your deposit or part-exchange will affect the amount you pay monthly. For example, a larger deposit or part-exchange will reduce this figure considerably. You can also use our finance calculator to tailor the deposit and terms to suit your circumstances.

Low Cost Hire from Rental cars. The repayments are comparatively high, but don’t change until the end of the agreement.

Provided you keep them up, you will know exactly how much you are paying, and for how long. Once you’ve made the final payment, the car will be yours to keep or sell on, unlike Personal Contract Purchase (PCP) finance.

Broadly there are three car-specific agreements. At UK Car Finance, we specialise in hire purchase for cars. It is usually based on a fixed length of time and secured to the purchase of the vehicle.

Once a car is more than five years ol it becomes difficult to establish its likely future value, so PCP becomes less common. With hire purchase, it may also be possible to become owner of the car earlier than agreed by making a lump-sum payment for the remainder of the loan.

Who offers hire - purchase deals?

Hire Purchase helps to spread the cost of a car over a set period of time. Hire - purchase agreements tend to be available from car dealers and manufacturers, and are commonly offered on used as well as new cars. To find out more, watch our HP video by clicking on the button below.

Our original hire purchase plan. Put a deposit followed by monthly payments - you own the car at the end of the agreement. Take a look at the video to see how it works or find more information here. The most crucial difference between this method of purchase and either PCP or PCH is that at the end of the agreement the car can be yours to fully own upon payment of a final, agreed balance.

These contracts are generally simple, can be arranged quickly and are available in most car dealerships. This spreads out the cost of a vehicle into more manageable monthly instalments. HP is also known for being one of the simplest and most straightforward types of car finance.

Find out how you can conveniently pay for your car purchase in the long-term through affordable instalments that keep you in control of your budget. The best car leasing hire purchase finance deals are found cheaper at Time4leasing. A staggering choice of personal car leasing no deposit finance HP Car Deals at cheaper rental prices. This approach is therefore particularly useful when planning a budget.

THE CALCULATOR IS FOR ILLUSTRATIVE PURPOSES ONLY. THE ACTUAL RATE YOU RECEIVE WILL DEPEND ON YOUR PERSONAL CIRCUMSTANCES, CHOICE OF PRODUCT AND THE AMOUNT YOU WISH TO BORROW.