When the time comes to invest in a new car or upgrade your existing model, it’s not uncommon for you to need to purchase through vehicle financing, spreading the cost of your purchase over an agreed period of time for fixed monthly repayments. At Eden Motor Group, we’re delighted to be able to provide you with financing options that make purchasing as affordable as can be, with both Hire Purchase and Personal Contract Purchase schemes available.Our sales experts will be able to provide you with all the details relating to the purchase options and provide you with competitive quotations. Speak to a member of the team today for further details and to discuss the perfect purchasing scheme for you.
When you have chosen your vehicle, you will then agree your annual mileage and decide on the agreement term with one of our Business Managers.
We will then determine the Guaranteed Minimum Future Value (GMFV) of the vehicle at the end of the agreement and work out a deposit and monthly amount that works for you.
At the end of your agreement you will then have three options:
Return – Simply return the car the back to us
Retain – Keep the car by paying the optional final payment
Renew – Trade it in for another car
For a quotation, help, or advice contact us and ask to speak to one of our Business Managers.
You can normally settle your agreement early by asking the finance company to provide you with a settlement figure. However, the finance company will require you to pay off the difference between what your car is worth, and what you still owe and there may be a difference which is known as negative equity. On the other hand, you may find that at the end of your term your car is worth more than the Guaranteed Future Value, which means you will have some positive equity to contribute towards your next car.
Hire Purchase is arguably the most straightforward vehicle financing scheme. After selecting your car, you will be able to agree to a level of deposit (including any part exchange vehicles) that should be paid. Our sales team will then run through a few questions and provide you with a quotation for monthly repayments over a set period of time (up to 60 months). These payments will pay off the remaining balance of the vehicle and, at the end of the term, you will be the overall owner of the model.
The short answer is yes, you can end your finance early. There are different provisions within each finance agreement that allows you to do just that. If you have got through two-thirds of the way through your finance agreement, the options to end the finance agreement early open up.
For a Hire Purchase agreement, there is an option of paying it off early through a settlement fee. A settlement fee covers the cost of any remaining unpaid instalments and interest payments remaining on the agreement. Once the settlement fee is paid, you take full ownership of the car early.
Under a Personal Contract Purchase agreement, you can also pay a settlement fee for bringing the agreement to an end early. After that, you can choose to hand the car back or you have a second option. Through a PCP agreement, you can take full ownership of the car by paying off the remaining Guaranteed Minimum Future Value also known as a balloon payment.