Buying a car is said to be the second biggest purchase in your life, so it’s important to do it right. While the process of car shopping can be an exciting experience, you also need to be sensible and realistic about what your current affordability situation is.
That’s where PCP & HP car finance comes into the picture.
If you’re on the lookout for a new vehicle but you’re not quite sure how to pay for it, then PCP or HP car finance is one option that might be right for you.
We’re a car finance company that offers a range of PCP and HP car finance deals throughout the UK. We’ve streamlined our finance service and work with some of the leading lenders in the UK to bring our customers some great deals on their vehicle finance.
Finding great deals on car finance couldn’t be easier at Happy Motor Finance. We’ve also streamlined our application process, meaning you can now sign up in under 60-seconds using our online application form. Once signed up, our automatic system will compare deals from our panel of lenders and let us know the best deal for your circumstances.
From there, should you application be successful, one of our car finance specialists will get in touch with you to discuss your application further.
Get in touch today and speak to one of our consultants to find out more.
You can choose from either Hire Purchase (HP Car Finance) or Personal Contract Purchase (PCP).
In some circumstances, it can be. Provided payments are kept up with, getting finance can improve your credit score. What’s more, you can start driving a new car much quicker than if you waited to save up the money.
In short, HP finance is a way to spread the cost of a vehicle over a set period. At the end of a HP finance agreement, you will own the car. PCP finance is an alternative way to spread the cost of purchasing a car; however, you will not own the car outright at the end of the agreement unless you choose to pay the outstanding balance that remains on the car.
There is no better way to finance a car, it really comes down to your personal affordability and choice. Do you want to own the car at the end of the agreement? If yes, then HP finance could be a good option. Do you want lower monthly payments? Then PCP might be a better option on a month-to-month basis.
You do have options if you don’t want to pay the full balloon payment. We are specialist in refinancing vehicles and can help you to avoid costly balloon payments. Speak to one of our team today to find out if we can help you.
Our dedicated support team is here to answer your questions and help you troubleshoot any issues you may encounter.
If you are approved for finance, you will be assigned your very own finance expert who will contact you by phone to discuss your options.
This is a great opportunity for us to get to know you better.
Some of the terms used in vehicle finance can be confusing but we’re here to help.
Your dedicated finance expert is always on hand to guide you through the entire process and answer questions.
We don’t just provide finance; we can also help you to source the perfect vehicle at no cost to you whatsoever.
You can, of course, find a vehicle of your own, but we’re here to help. Speak to your assigned support agent to find out more.
Everybody’s finance situation is unique, and we pride ourselves on providing a personalised customer journey that adapts to everybody’s personal needs. You will always deal with real people who work hard to ensure that your finance experience is as smooth and as stress-free as possible.
We have streamlined our vehicle finance process, making is really easy to apply for finance. Our 60-second online application is the first step to finding finance. After that, it’s possible for you to be driving away a new vehicle in under 48-hours.
Should you choose to purchase a vehicle using Hire Purchase (HP) finance, then knowing some of the terms that surround this type of finance will be helpful in order to fully understand the agreement that you take out between you and the lender.
Car Ownership
Until you have paid the final ‘option to purchase’ fee (usually £100) at the end of the finance agreement, the car is actually owned by the lender.
Length of Agreement
The length of a HP finance agreement is usually between 1 and 5 years. The length of the agreement is totally up to you.
Credit Score Check
Everybody who purchases HP finance will have a credit score check run on their credit profile. The results of this credit check are used to approve or deny a finance application, as well as set the annual rate of APR.
Exiting the HP Agreement
Provided that you have reached half way through your finance agreement, you can choose to return the car to the lender and exit the HP finance agreement. T&Cs, apply.
The Deposit
You don’t always need a deposit with HP finance, and you can sometimes even part exchange your current vehicle instead of paying a deposit.
Lender vs Broker
We, Happy Motor Finance, act as a broker, which means that we introduce you to a suitable company (lender) that will lend you the money to purchase a vehicle under a HP or PCP finance Agreement.
Personal Contract Purchase (PCP)
With PCP finance, you don’t own the car unless you pay a final balloon payment at the end of the finance agreement.
Balloon Payment
The balloon payment at the end of a PCP agreement is often quite large. You have a choice if you want to pay the balloon payment in full, give the car to the lender, or – if the car’s worth more than the agreed balloon payment – trade it in and use the extra as a deposit for a new deal.
Annual Mileage
You must stay within your annual mileage. You will face some hefty fees if you exceed the agreed annual mileage at the end of the finance agreement.
Missed Payments
If you miss payments then you could lose the car. This is the same with HP finance also. Speak to your lender as soon as possible if this is the case.
Voluntary Termination
Provided you have paid up to 50% of the finance agreement, you are allowed, according to the Consumer Credit Act 1974, to terminate the contract.
Fees
Should you decide to terminate your PCP agreement early, fees, such as admin fees or excess mileage, will need to be settled before exiting.
Should you choose to purchase a vehicle using a Personal Contract Purchase (PCP) from us, then knowing some of the terms that surround this type of finance will be helpful in order to fully understand the agreement that you take out with the lender.
Comparing quotes for cars has never been so easy. Complete our 1-minute application and find a great deal from our panel of trusted lenders.
Get a Quote Representative APR: 18.7% APR
“We act as a credit broker, not a lender”
Representative example: borrowing £6,500 over 5 years with a representative APR of 19.9%, an annual interest rate of 19.9% (Fixed) and a deposit of £0.00, the amount payable would be £166.07 per month, with a total cost of credit of £3,464.37 and a total amount payable of £9,964.37.
*Our lenders operate using an initial "soft search" which does not impact your credit score however, if you wish to proceed with the finance offered, the lender may carry out a "hard search" prior to sending you the finance documentation to sign.
Amazing experience from start to finish, the people there don’t push you into anything. The checks are really good, they not only check out the car but who you are buying it from. Thanks to Matthew and Leon for all their support in helping me choose the right car for me.
They were extremely helpful and did everything they could to get me finance even with a bad credit rating. Couldn’t recommend these guys enough. Leon talked me through it every step of the way, the company are lucky to have you😊
Very helpful team Leon walked me through the whole process and didn’t push. He also gave brilliant advise and set up warranty package that gave me peace of mind.
I've just picked up my new car, absolutely love it, Alan was amazing I told him everything I was looking for in a car and within minutes he found my dream car, Alan kept in contact with me through the whole experience, checking I was still happy with everything, I would highly recommend Happy motors finance and have already done so with friends. THANK YOU SO MUCH! 😊
Cannot praise this company highly enough. Dealt with Alan, who pulled out all the stops and exceeded my expectations. Everything went so smoothly. Alan also made sure I was given all the details needed and communication was excellent. Keep up the good work guys.
Andy RyanAbsolutely outstanding service from Damian at Happy Motor Finance, start to finish 48 hours everything was explained and was an easy process. Highly recommended and cheers Damian much appreciated!
Victoria SumnerAmazing service from Leon and a new car sorted in less than a week.
Peter KilliardI could make this very very long winded but I won’t. I’ll just say that Kirsty and the team gave me the best customer service and buying experience ever. Thank you very much and I’ll be back when it’s time to upgrade.
Barry O'BrienKirsty was very patient, I don’t think I was an easy customer, I can’t remember how many cars I looked at, there was no pressure and Kirsty was extremely helpful and nothing was too much trouble, we eventually got a great deal on my ideal car, Thank you Kirsty
Jack ScoreyLeon was great! Fast responses to questions and always happy to help. Very quick process from start to finish. I would recommend this company to anyone.
Kyle DannIf I could give 6 stars I would, team member Yaz has been the most help from any finance company I’ve tried in getting a new car and helped me out massively. Top man and a top company would massively recommended.
leah wilsonEverything was quick and easy! would 100% recommend to anyone looking to quick finance!
LGA-Extra ZFast and easy service. couldn’t ask for a better service
lizzy smithKirsty was extremely helpful, really helped me understand everything and got me the best deal possible! Also very easy to chat to and get along with! Highly recommend!
