Until a few years ago, vehicle leasing and contract hire were very much restricted to the corporate and business world.
The consumer – including the small business owner wanting to run a private car for occasional business use – had fewer options open to them. Unless there was spare cash in the bank.
The only real alternatives for small businesses were: a bank loan; or hire purchase from a franchised dealership – requiring a large deposit.
Thankfully, those days are well behind us. Leasing companies have adapted their offerings to include Personal Contract Purchase (PCP). And, more recently, Personal Contract Hire (PCH). PCH now caters for the majority of personal leasing agreements.
Now the consumer and small business owner have choice. And PCH agreements are available from a wide range of different sources: banks; car dealerships; leasing companies; and leasing brokers.
So what’s the difference?