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Future-proof your vehicle finance

Future-proof your vehicle finance

We live in financially uncertain and unpredictable times which can make investment in new vehicles a complex and risky process. Will you choose the reassurance of a traditional Hire Purchase deal, or the uncertainty of a PCP agreement with its mysterious balloon payment dilemma?

It is certainly the case that a PCP deals offer potentially lower monthly repayments but what happens when the promise of the final balloon payment bursts? In our current volatile market place, it is easy to see that the agreed final payment (Guaranteed Minimum Future Values – GMFV) may be more than the vehicle is actually worth at the end of the lease period. At this point your only options are: to give the car back, losing your opportunity to gain an asset, pay a further deposit on a new vehicle, or to pay more than the car is worth to purchase it. You may also be hit with an unexpected charge for going over your agreed annual mileage limit

Unlike PCP deals, the Bira Bank Hire Purchase Agreement offers the opportunity to pay no deposit, to then divide the cost of the vehicle over the loan period at a low-interest rate and finally, to own the vehicle outright as an asset with no balloon payment to worry about. Nothing could be simpler or more transparent. There will be no annual mileage limit, because you will be the owner of the vehicle. What you pay for, is what you get.

To future-proof your vehicle finance, call the Bira Bank team on 0121 446 6688 to discuss our highly competitive interest rates and easy to arrange loans.

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