Telephone: 01422 353433

Finance at Robert Wade Cars, Halifax

Hire Purchase or Personal Contract Purchase

We offer you the choice of a Hire Purchase or Personal Contract Purchase finance agreement. Both agreements can be created for car finance deals with no deposit. Which is best for you depends on your individual circumstances. We’ll explain the main differences below to shed clarity on the matter:

Hire Purchase (HP)

Hire Purchase agreements are a type of credit where once you have paid the total loan amount, you own the vehicle. During the loan term, the financer owns the vehicle. Once you repay them in full, ownership passes to you. Typically, Hire Purchase agreements have higher monthly payments because you are repaying the total car amount. With a Personal Contract Purchase, you repay only part of that amount.

Personal Contract Purchase (PCP)

Personal Contract Purchase agreements are a type of credit where you pay off instalments to cover part of the cost of a car. Once you have paid off the amount as set out in the agreement, you hand the car back to the owner, who is the financer. Alternatively, if you want to keep the car, you can refinance the remaining cost of it. This is called the balloon payment. It is based on the guaranteed future value (GFV) of the car

Robert Wade Cars. We are trading as a credit broker and not a lender, and are authorised and regulated by the Financial Conduct Authority, firm reference 653473. We can introduce you to a limited number of lenders, while providing details of finance products available. We will not charge you a fee for an introduction, but may receive a commission from the lender. Lender’s commissions may vary. The commission received does not influence the interest rate you will pay. For questions about commission, please speak to us. Robert Wade Cars, Pye Nest Road, Halifax, West Yorkshire, HX6 2BX