A funding agreement equally suitable for private individuals and Companies. Title to the vehicle passes from the finance company to the customer when all the payments have been made. Deposits are generally between 10 and 20% of the purchase price with a fixed interest rate and agreements can usually be spread between 12 and 60 months. The customer is responsible for all depreciation, maintenance and disposal costs. Can be a useful extra credit line.

Hire Purchase
The Benefits

• Eventual Ownership
• Low initial outlay
• Fixed interest rate
• No vat on monthly payments
• Company purchases on balance sheet
• Companies can claim writing down allowance
• Customer has equity in the vehicle at the end of the agreement.