What is Personal Contract Hire (PCH)?
This is similar to PCP, again with low monthly payments, but there will be no option to buy the car. However, it is convenient and it’s easy to change the car. The type of car, length of contract and agreed mileage limits determine the overall leasing cost. Normally, you will have to pay up to three months’ rental in advance. Extras such as servicing may be included. Again, mileage limits may apply. Make sure you compare deals taking into account APR, the monthly payments over the loan period, and the total amount repayable, as well as any further ‘option to purchase’ and administration fees.