PERSONAL CONTRACT PURCHASE (PCP) EXPLAINED
Your chosen contract term and mileage will be used to calculate the Guaranteed Minimum Future Value (GMFV) of your vehicle at the end of your contract term and provide you with an Optional Final Payment amount. The GMFV determines that at the end of your agreement your vehicle will have a value at least equal to the GMFV.
Your deposit amount is deducted from the price of your Morgan, you make regular payments based on the amount of credit plus the interest. The interest is calculated on the vehicle price less the deposit.
At the end At the end of the agreement, you just have to choose from one of the following options:
- Renew your Morgan – if you settle your existing finance agreement you are free to part exchange the vehicle for a new Morgan. Please note, any new finance agreements are subject to status.
- Retain your Morgan – to keep your current Morgan at the end of the agreement, you only need pay the optional final payment.
- Return your Morgan – you can return the vehicle and do not pay the Optional Final Payment. If the vehicle has exceeded the maximum agreed mileage a charge for excess mileage will apply. As long as the vehicle is in good condition and has not exceeded the maximum agreed mileage you will have nothing further to pay.
KEY FEATURES
- Personal Contract Purchase (PCP) may be right for you if you would like to keep monthly payments as low as possible
- With PCP, you can decide how much deposit to pay up front (subject to a minimum)
- PCP gives you clear options at the end of the agreement, this gives flexibility
- The Guaranteed Minimum Future Value (GMFV) is set for your vehicle as part of PCP, this protects you against any unexpected reduction in the used car market
- PCP could allow you to drive a new Morgan after your agreement by entering a new PCP agreement on the latest model
Please note:
- You will not own the vehicle until all of the payments and interest have been paid. After that, you will own the vehicle outright
- You must have fully comprehensive insurance for the duration of the agreement
- Credit is subject to status and is only available to UK residents aged 18 and over
