Many people feel that finding a car that suits their needs, lifestyle and budget is a stressful time. Here at W Jones & Sons, we use our vast experience to find you the perfect car and offer a variety of ways to spread the cost over a period of time. The benefit of car finance, as opposed to bank loans or credit cards, is the debt is secured against the car and not yourself, giving you peace of mind.
We offer a range of finance packages, with most customers tending to opt for Hire Purchase or Personal Contract Purchase.
Hire Purchase (HP)
HP is the simplest financing option. After paying a deposit (usually 10%, although 0% is available) you spread evenly the repayments from 12 to 60 months and once the final payment has been made you will fully own the car. This option is great for people who like the consistency of regular payments and the certainty of owning the asset at the end of the agreement.
Personal Contract Purchase (PCP)
PCP is more flexible than HP. After paying a deposit (usually 10%, although 0% is available) you spread payments from 12 to 48 months. Under a PCP contract, the finance company will guarantee the minimum the vehicle will be worth at the end of the agreement based on the agreed annual mileage and maintenance of the vehicle. This is known as the Guaranteed Minimum Future Value (GMFV) and by deferring this figure to the end of the agreement, you will benefit from lower monthly payments when compared to HP. At the end of the term you have three options:
- Buy – pay the GMFV plus any other fees and become the legal owner.
- Part-exchange – if the car is worth more than the GMFV, part-exchange it and use the left over equity as a deposit on a new car.
- Hand it back – simply hand the vehicle back and walk away.
Get in touch about finance
Our friendly and helpful team are on hand to discuss finance with you. Whether you want advice on which type of finance is best for you, or how we can tailor payments to suit monthly budgets, visit our dealership in person or give us a call on 01243 864641 to speak to one of our team.