© 2006 The Messrs. Walker Group
Although new car registrations have been suffering over the last year or so, there’s been a lot of noise made over the last few months about PCP – Personal Contract Purchase. A lot of people are moving over to PCP to avoid the inevitable downside of any new car purchase – depreciation. PCP was designed specifically to be a personal contract for private individuals. Should you enter into a PCP plan, it is classed as a conditional sale agreement that offers you protection under the Consumer Credit Act 1974 and the Financial Services Regulations 2004.
What is PCP?
Seen as a way to avoid the depreciation trap, a PCP agreement allows you the option to set up a contract term, with monthly payments. At the end of the term, you then have the option to purchase the vehicle, part exchange for a new vehicle or simply hand it back to the contract provider.
Mazda MX5 -
OTR price : £18,899.99
PCP contract
Term : 36 months at
£305.03
Annual mileage : 10k
Deposit : 1889.99
Optional final payment: £9,130.42
Amount
to finance : £17,010.00
APR : 7.9%
Total payable : £22,001.49
Loan
£19,000
£661.24 x 36 months
APR: 5.8% this is the lowest rate available, rate
actually based according to your credit score/rating – the average is around 9%)
Total Repayable: £23,804.64
Finance subject to acceptance. Indemnities may be required. Quote correct at of time of print 12/07/08. Example is shown for illustration purposes only and does not constitute an offer or any advise from or on behalf of the Messrs. Walker Group. Applicants must be aged 18 or over to enter into any finance agreement.
For further details or a quote please contact us
Enquires@TMWGroup.co.uk
