Finance

All your finance options explained:

Personal Contract Purchase (PCP)

If you want to make fixed regular payments and guarantee the future value of your vehicle, then PCP could be the right option for you.

How it works:

  1. Simply choose the vehicle you wish to purchase, agree your annual mileage and decide your agreement term of between 20 and 48 months.
  2. Based on your chosen term and mileage, FCA Automotive Services will determine the Guaranteed Minimum Future Value (GMFV) of your vehicle at the end of your agreement.
  3. The GMFV is deferred to the end of the agreement and is the optional final payment.
  4. The GMFV 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, you will have three options to choose from:

  • Renew: Choose a new vehicle from your local retailer and use any excess value over the GMFV towards your deposit. You can trade in your old vehicle or sell it privately.
  • Retain: If you wish to keep your vehicle, you only need to pay the GMFV.
  • Return: Simply return your vehicle to FCA Automotive Services in a good condition and within the agreed annual mileage. 


The features you can benefit from by choosing PCP:

  • Your monthly payments are reduced because the optional final payment is deferred to the end of the agreement.
  • With shorter terms you can be driving a new vehicle more often, meaning the servicing and maintenance costs may be reduced. This also allows you to keep up to date with technological advancements in vehicle - safety, performance and economy.
  • Choose your deposit, annual mileage and agreement term to suit your needs; and at the end of your agreement you choose which of the three options is right for you.

Hire Purchase (HP)

Benefit from a regular payment structure with outright ownership of your vehicle at the end of the term.

How it works:

  1. Simply choose the vehicle you wish to purchase, the amount of deposit you want to pay, and decide your agreement term of between 12 and 60 months.
  2. Any deposit will be deducted from the price of your vehicle. You make regular payments based on the remaining balance plus the agreement interest.
  3. Once all the payments have been made, you will own your vehicle outright. 


The features you can benefit from by choosing HP:

  • Helps you budget with fixed monthly payments.
  • Choose your deposit and agreement term to suit your needs.
  • You own your vehicle at the end of the agreement with no deferred lump sum to pay.

Advance Payment Plan (APP)

No monthly payments, just a single up-front payment, followed by a choice of three final options at the end of your agreement term.

How it works:

  1. Simply choose your term and mileage. FCA Automotive Services will determine the Guaranteed Minimum Future Value (GMFV) of your vehicle at the end of your agreement, this will be deferred to the end of the agreement and is the optional final payment.
  2. The GMFV is deducted from the price of your vehicle; you simply pay the remaining balance (plus any interest) as a single up-front payment. 

At the end of the agreement, just choose from one of the following options:

  • Renew: Choose a new vehicle from your local retailer and use any excess value over the GMFV towards your deposit. You can trade in your old vehicle or sell it privately.
  • Retain: If you wish to keep your vehicle, you only need to pay the GMFV.
  • Return: Simply return your vehicle to FCA Automotive Services in a good condition and within the agreed annual mileage.

 

The features you can benefit from by choosing APP:

  • Ideal if you were planning to pay for your vehicle outright. By deferring part of the initial outlay until the end of the agreement term there is less to pay today. 
  • Less to pay today equals more spending power. Why not upgrade to a higher spec or even switch from a used vehicle to a new vehicle.
  • Provides an opportunity to retain savings in personal investments.
  • No monthly payments.
  • The GMFV protects you against any potential fall in used vehicle values.
  • With a 24 month term you can be driving a new vehicle more often, meaning the servicing and maintenance costs may be reduced. This also allows you to keep up to date with technological advancements in vehicle safety, performance and economy.
  • Flexibility – you choose the annual mileage to suit your needs; and at the end of your agreement you choose which of the three options is right for you. 

Balloon Hire Purchase

Similar to Hire Purchase with one key difference – there is a larger “balloon” payment deferred to the end of the agreement, reducing the fixed regular payments.

What is it?:

Similar to the conventional Hire Purchase option, 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

  1. Simply choose the vehicle you wish to purchase and decide your agreement term of between 12 and 48 months.
  2. Then choose the amount of the balloon payment that you will defer to the end of the agreement (subject to a maximum set by FCA Automotive Services).
  3. 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.
  4. At the end of the agreement, following the settlement of the balloon payment, you will own your vehicle outright. 


The features you can benefit from by choosing Balloon Hire Purchase:

  • Helps you budget with fixed monthly payments 
  • Choose your deposit and agreement term to suit your needs
  • Your monthly 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 once you have paid the final balloon payment

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