ABOUT VEHICLE FINANCE
SPECIALIST AUTOMOTIVE FINANCE (SAF) EXPERTS
As part of our Continuous Professional Development (CPD) programme all of our forward-facing staff complete the SAF Expert training as part of the onboarding process.
The SAF Expert training provides knowledge-based motor finance learning to boost professionalism and increase consumer confidence in motor finance. Moreover, it provides learners with intermediate level knowledge of 9 different motor finance products used by customers to buy or lease vehicles.
The learning also covers the key FCA principles and rules for the sale of motor finance and other important regulations such as those relating to unfair trading and anti-money laundering.
SAF Expert is accredited by The London Institute of Banking & Finance. This means that the Institute has reviewed and approved the standards and quality of the programme and considered the learning appropriate for credits.
VEHICLE FINANCE
TYPES OF VEHICLE FINANCE
HP
HIRE PURCHASE
Hire Purchase is a structured hiring agreement where finance is secured directly against the vehicle. The finance company hires the asset to you for an agreed period, providing a clear and simple path to full ownership once all conditions are met.
HOW IT WORKS
You pay a flexible upfront deposit followed by fixed monthly installments over a term of up to 5 years. The lender retains legal title to the vehicle during this period to keep rates attractive. Once the final payment and a small “Option to Purchase” fee are cleared, legal ownership transfers to you.
BEST SUITED FOR
BUDGET PREDICTABILITY
LONG-TERM OWNERSHIP
SIMPLE FIXED TERMS
FLEXIBLE LOWER MONTHLY COSTS
PERSONAL CONTRACT PURCHASE
Personal Contract Purchase is a highly popular option that lowers your monthly commitment by deferring a portion of the vehicle’s cost to the end of the term. The lender retains the vehicle title while guaranteeing its minimum future value.
HOW IT WORKS
Monthly payments are calculated based on your deposit, expected mileage, and a fixed Guaranteed Minimum Future Value (GMFV). At the end of the contract, you have three flexible choices: make the balloon payment to own the car, hand it back with nothing more to pay, or trade it in.
BEST SUITED FOR
LOWER MONTHLY PAYMENTS
GUARANTEED FUTURE VALUE
END-OF-TERM FLEXIBILITY
RISK-FREE VEHICLE LEASING
CONTRACT HIRE
Contract Hire (or Operating Lease) is a funding method designed purely for the use of a vehicle rather than eventual ownership. This structure allows you to lease an asset for a fixed duration and predetermined mileage without taking on any vehicle depreciation or disposal risks.
HOW IT WORKS
You pay a fixed monthly rental that covers only the vehicle’s depreciation and interest costs over the hire period. Because you are simply renting the asset, the leasing company retains all ownership risks. At the end of the term, you return the vehicle with nothing more to pay, provided you stay within the agreed mileage limits and keep the asset in good condition.
BEST SUITED FOR
VAT-REGISTERED BUSINESSES
NO DEPRECIATION RISK
PREDICTABLE MONTHLY RENTALS
COMMITMENT TO GUARANTEED OWNERSHIP
CONDITIONAL SALE
A Conditional Sale agreement is a straightforward purchase framework where the finance is secured directly against the vehicle. Unlike traditional Hire Purchase (HP) options, a Conditional Sale requires you to contractually commit to outright ownership from the moment you sign.
HOW IT WORKS
You pay an initial deposit followed by fixed monthly installments that simultaneously cover the vehicle principal and interest. The lender retains legal title while you act as the registered keeper during the term. Once your final monthly installment is paid, legal ownership automatically transfers to your name without any hidden end-of-term purchase fees.
BEST SUITED FOR
GUARANTEED OWNERSHIP
NO END-OF-TERM FEES