Lease hire or HP?

[Jonny69]

I'm not sure how it's possible for it to be cheaper than the price quoted to me. I worked out the payments versus the new cost of the vehicle and the end price, and the percentage interest over the 5 year period is so low it's laughable.

 

Unfortunately, perhaps, the vehicle is already ordered though, so I think that any such alternative arrangements will have to wait until the next time

 

One reason I may be cheaper is that I am pricing a vehicle with full discount etc from a mate that deals in 4x4 (rang him earlier for an up to date price) Not sure exactly what you have paid for the car, their may not be much in it.

 

The thing that people forget is that the car industry is still in huge trouble (despite what dealers will tell you) so deals like BIGJ have are about because there are so many cars sat about in fields they are itching to shift steel.

 

I do have to admit that your agreement sounds better than most contract hire agreements I have ever seen. For future reference you can put balloons on hp deals and vary the percentage to suit the customer and residual value of the assets. Balloons generally range from 5-45% and can really help a new business by keeping the repayments lower. Also with variable rate deals you can increase/decrease your monthly repayments depending on how business is going. Have a good month, pay of 2k, not such a good month keep the money in the bank a pay off the minimum amount.

 

I hope it all goes well for you:001_smile:. Let me know next time, will try to help with some more detail before hand. Stay safe.

 

Cheers.

 

Jonathan

[Pat Ferrett]

I've just read this thread and now I've got a head ache! thanks you lot