When it comes to choosing a new car, there are always going to be many models which suit your needs. There are many excellent superminis, MPVs, luxury saloons and sports cars. Indeed, every niche will have you scratching your head and wondering which car is the best choice.
There are also many ways to pay for your vehicle and new car finance deals can also cause you a bit of trouble. Which is better a personal loan, hire purchase or leasing? Each finance product has its pros and cons.
Personal contract hire is one finance method you might want to consider. With personal contract hire you will pay one fixed monthly payment over the course of the agreement, which is usually between two and four years. This is a form of leasing and ownership of the car remains with the finance company.
This lack of ownership can be a problem for some people who like to feel that they own the car and can modify it, for example, if they wish. On the other hand, monthly payments can be up to 60% less than would be the case for a car loan on the same car. This means you can afford a more prestigious model than would otherwise be the case. You can also roll in servicing costs to the agreement, which makes your monthly outgoings even more predictable. At the end of the agreement, you simply return the car and select another vehicle if you wish.
There is no automatic right to buy the vehicle with a personal contract hire agreement. Sometimes this is offered, but if you want to ensure that you have the option you should plump instead for personal contract purchase.
There are other options, of course, such as a secured or unsecured loan, or hire purchase. All this might sound a bit complicated but we at www.financeacar.co.uk believe you should have all the facts available to make the right decision for your circumstances. That is why we compare deals from all the top lenders to get you the best one.
At www.financeacar.co.uk you will be able to do like-for-like comparisons on all deals and use your personal circumstances to custom-fit your finance agreement. We also explain all of the different finance models in a transparent and unbiased way so you know exactly what each entails.