How Leasing Works
Choosing your new van is a very important decision.
Understanding what type of van you need and where to buy it from can be a difficult decision. The team at Best Van Deals are here to help. Our experienced and friendly staff can help you pick what is likely your office, tool store, method of advertising and most important asset; your van.
We offer a simple and clear sales process which offers the best deals on the widest range of vans in the market. If we haven’t got the make or price you need, let us know and we will work hard to find the right van deal for you.
What is Business Contract Hire?
Contract Hire is one of the most popular types of vehicle leasing. If you are looking for a fixed cost each month for your van, know the mileage you will do and you're confident you keep your van in a good condition then Contract Hire may be the best option for you.
You will not own the vehicle, at the end of the contract you will give the vehicle back. With this lease deal It is possible to include a maintenance package in the monthly rentals. The vehicle will be hired for a pre-determined period and set mileage, at fixed monthly rentals. The Price will be calculated depending on the value of the vehicle, length of the contract, and the agreed mileage.
What is Personal Contract Hire?
Personal Contract Hire (PCH), like Business Contract Hire, is designed to offer fixed cost motoring. The primary difference is the product is designed for individual private users, so you will not be able to recover any VAT.
PCH is available with or without a maintenance package, which helps to avoid hidden extras.
What is Business Finance Lease?
We have found that Finance Lease is growing in popularity. It offers greater flexibility than Contract Hire along with the potential of equity at the end of the contract.
The lease is arranged so vehicle will be hired for a fixed monthly rental term with a final rental fee (this is often called the balloon). This will cover the estimated residual value of the vehicle at the end of the contract. With finance lease you will need to dispose of the vehicle.
If the sale price is above the predetermined final rental balloon you will retain the equity, less a small charge from the leasing company. If the sale price is less than the final rental (balloon) then you will be liable to cover the shortfall. The final rental is calculated using the expected mileage in the vehicle over the contract.
What is Hire Purchase?
Here at Best Van Deals we know that it isn't always feasible to purchase a new vehicle outright. Which is why we offer the hire purchase finance option. By placing a small deposit on a vehicle, you can make monthly payments towards the vehicle. After the final payment is made, the vehicle is all yours.
What is Personal Contract Purchase?
You will likely of read in the press about Personal Contract Purchase (PCP). This product is rapidly growing in popularity. This product allows you the flexibility to choose the vehicle, the deposit, the length of the contract, and the mileage you think you will need. PCP then provides a fixed cost for the term of the contract.
Like Business Contract Purchase you will have three options at the end of the term:
Part exchange - Use any equity for the deposit on your next vehicle.
Hand the vehicle back – Excess mileage and poor condition can incur costs.
Keep the vehicle - Paying the optional final payment to keep the vehicle.