PCP finance is a good option if you have little or no deposit and no vehicle to part exchange. You will be given lower monthly payments in order to rent your vehicle for a set period of time. If, after this time, you decide that you want to purchase your vehicle, there will be a number of steps you will have to follow. Here is a general guide:
- Find your minimum guaranteed value. This is the amount the car will still be worth at the end of your contract.
- Find out how much you would still have to pay off. Talk to your car finance company to get this amount.
- Decide how you are going to purchase the vehicle. The best thing to do is purchase it outright. Many people cannot afford this though, in which case you may need to take out further finance. Your finance company can advise you further.