Buying. What’s the deal?
Lets find out.
Car choice effects the planet, and your pocket.
Green Cars is committed to helping drivers make better vehicle choices. We understand that the individual circumstances and needs of the driver are going to influence not only the car choice but also how how to achieve the best financial solution.
Franchised main car dealerships are the best place to get detailed information relating to the specific offers which are currently available and what your options are.
There are a number of options that are good to consider when choosing how to finance your car:
Personal Contract Purchase (PCP)
PCP is a popular type of car finance that allows you to drive a new car for a fixed period of time, usually three to five years. You will make monthly payments that include a portion of the car's depreciation, interest, plus an initial deposit. At the end of the agreement, you have three options:
Hand the car back. You will not have to pay a balloon payment, (which the lenders estimated value of the car at the end of the finance agreement) and you will not have to worry about selling the car yourself.
Buy the car. You will need to pay a balloon payment or refinance the car.
Trade the car in for a new one. This is a good option if you want to keep driving a new car every few years. You will not have to pay a balloon payment, and you will not have to worry about selling the car yourself.
Hire Purchase (HP)
HP is another popular type of car finance that allows you to own the car at the end of the agreement. You will make monthly payments that include a portion of the car's purchase price, interest, and an initial deposit. At the end of the agreement, you will own the car outright
Personal Contract Hire (PCH)
PCH is a type of car leasing that allows you to drive a new car for a fixed period of time, usually three to five years. You will make monthly payments and an initial deposit. At the end of the agreement the car is returned to the finance company.