What is Personal Contract Purchase?

If you are looking for car finance in Newcastle and Gateshead, you can come to Hodgson for competitive deals on Toyota, Mazda and Suzuki models. One of the main types of finance we offer is Personal Contract Purchase, and this is a popular way of funding a new car.

Personal Contract Purchase works like a loan; you pay a deposit in advance and then repay the rest of the total over a series of monthly installments.

The payments are affordable because a large chunk of the value is deferred until the end of the agreement, when you can opt to pay a final ‘balloon’ payment.

If you choose this option you then own the car outright, but you can also part exchange the vehicle for a new model, or simply hand it back to us.

Personal Contract Purchase is an excellent option for people who need flexibility and low monthly payments.

However, if you are fairly certain that you will want to take ownership of the car at the end of the agreement, Hire Purchase may work out more cost-effective overall.

Personal Contract Purchase

To find out more about your car finance options, please get in touch with the team at one of our dealerships in Newcastle and Gateshead.

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