Personal Contract Purchase

Personal Contract Purchase is a highly flexible and affordable way of driving your new vehicle. If you normally buy your cars with cash, a bank loan, or through a traditional Hire Purchase scheme, you may find Personal Contract Purchase a far more cost-effective option.

You pay an initial deposit, from just 1 month's payment in advance, followed by a series of fixed monthly payments over an agreed period between 24 and 48 months. Your payments may be significantly lower than you first think because unlike a bank loan or traditional Hire Purchase scheme your monthly payments are calculated on the difference between the initial purchase value of the vehicle and its projected residual & re-sale value at the end of the contract. This means only a proportion of the vehicle's value is repaid along with any finance charges, avoiding large initial outlays or residual & disposal worries. For this reason you may find that you are able to choose from a wider range of cars than you had originally thought.

Personal Contract Purchase can ease cash flow and free up valuable capital that can be used more effectively elsewhere. Personal Contract Purchase schemes can also offer a package to include routine servicing and maintenance costs for a small increase to the monthly rentals. All scheduled maintenance work will be carried out by the main dealer network & at a local dealer of your choice. Maintenance packages include replacement tyres (excluding punctures), batteries, exhausts and all parts that are subject to fair wear and tear**.

Personal Contract Purchase gives you flexibility at the end of your agreed contract period. You have the option to own the vehicle but with the security of a guaranteed future value should the vehicle be worth less than the anticipated market value.

This means you have 4 options at the end of your Personal Contract Purchase agreement:

Personal Contract Purchase Option 1
Make the payment and keep the vehicle.

Personal Contract Purchase Option 2
Extend the agreement by spreading the final payment over a further period.

Personal Contract Purchase Option 3
Let Morgan Highfield & Land Ltd sell the vehicle for you on the open market releasing any available equity to form a deposit for your replacement vehicle.

Personal Contract Purchase Option 4
Return the vehicle without making the final payment*. This releases you from further obligation except for excess mileage and vehicle damage charges, should the estimated mileage agreement be exceeded or any damage be considered greater than fair wear and tear.

Key Benefits** of Personal Contract Purchase

• Personal Contract Purchase offers a low initial outlay from just 1 month's payment
• Personal Contract Purchase offers flexible terms from 24 to 48 months
• Personal Contract Purchase offers Road Fund Licence for an initial 12 months
• Personal Contract Purchase offers a choice of rental period
• Personal Contract Purchase offers no depreciation risks
• Personal Contract Purchase offers optional monthly maintenance packages**
• Personal Contract Purchase offers the ability to forward plan
• Personal Contract Purchase offers corporate pricing for private individuals
• Personal Contract Purchase offers a simple 'Opportunity to Buy' at contract maturity**
• Personal Contract Purchase removes time consuming disposal issues*
• Personal Contract Purchase makes more capital available to you
• Personal Contract Purchase offers complete peace of mind

* Excess mileage and vehicle damage charges other than fair wear and tear may be payable.
** Subject to terms and conditions of the Personal Contract Purchase agreement.