OUR
PRODUCTS

FINDING YOUR WAY
AROUND CAR FINANCE

At Carzu, there's more than one way to finance your next car. You can pay monthly and choose an agreement with an option to own the car on Personal Contract Purchase, or Hire Purchase, or lease a new car on Personal or Business Contract Hire and hand it back at the end of the agreement.

Here's a summary of our car finance products. And if you'd like to know more about the different ways you can finance a new car, you can download our detailed guide here.

PERSONAL CONTRACT PURCHASE

Personal Contract Purchase (PCP) is an agreement where you make fixed monthly payments with an optional Final Payment deferred until the end of the agreement. This Final Payment consists of an Option to Purchase fee and the Guaranteed Minimum Future Value (GMFV). Your monthly payments are calculated based on the length of your contract, size of your initial payment, annual mileage and the GMFV.

At the end of the agreement you have a few options; make the Final Payment and become the legal owner, part exchange or sell the car and if you have any equity from this you can put it towards a new one, or hand the car back to the finance company.

To find out all you need to know about Personal Contract Purchase, read our guide here.

VIEW PCP CARS

PERSONAL AND BUSINESS CONTRACT HIRE

Personal Contract Hire (PCH) or Business Contract Hire (BCH) is where you lease the car for an agreed period of time by making fixed monthly payments based on your annual mileage. You'll usually need to pay an initial rental which can be 3 to 6 months' worth of your monthly payments. At the end of the agreement, you return the car to the leasing company or you may be able to extend the lease.

To find out all you need to know about Personal and Business Contract Hire, read our guide here.

VIEW PCH CARS VIEW BCH CARS

HIRE PURCHASE

Hire Purchase (HP) is an agreement where you make fixed monthly payments over a set period of time. You will usually have to make an initial payment then pay fixed monthly payments which are based on the amount borrowed and the length of your agreement. When all the payments have been made, you'll have the option to become the legal owner of the car by paying an Option to Purchase Fee.

To find out all you need to know about Hire Purchase, read our guide here.

VIEW HP CARS

LEASE PURCHASE

Lease Purchase (LP) is where you make fixed monthly payments based on the total cost of the car, minus the estimated resale value. This amount is known as the Final Payment which is deferred until the end of the agreement. After all your monthly payments have been made, you must then make the Final Payment and you'll become the legal owner.

To find out all you need to know about Lease Purchase, read our guide here.

And if you would like to make an enquiry or apply for a Lease Purchase agreement you can contact our team here.

CONDITIONAL SALE

Conditional Sale (CS) is similar to Hire Purchase (HP) where you make fixed monthly payments over a set period of time. You will usually have to make an initial payment then pay fixed monthly payments which are based on the amount borrowed and the length of your agreement. Unlike HP, once all the payments have been made ownership of the car automatically transfers over to you.

To find out all you need to know about Conditional Sale, read our guide here.

And if you would like to make an enquiry or apply for a Conditional Sale agreement you can contact our team here.

THE CARZU GUIDE TO CAR FINANCE

We've put together a Carzu guide to all the types of car finance we have available.
You can download the pdf brochure here.

DOWNLOAD (690KB)