These agreements are purely designed to finance the vehicle only and are not available with maintenance or ancillary products, unlike Contract Purchase. The customer pays an initial rental followed by equal monthly payments over a predetermined period until the vehicle cost & interest charges have been paid. Ownership of the vehicle passes on completion of the payments.
- Ownership of the vehicle remains with the client
- Typically aimed at individuals or non-VAT registered companies
- Monthly payments are not subject to VAT
- The V5 is in the name of the hirer
- Flexible contract term