PCH vs. PCP: Which is right for you?

When financing a new vehicle, two popular options are Personal Contract Hire (PCP) and Personal Contract Purchase (PCH). While both offer flexibility, they work in different ways.

PCH is essentially a long-term rental. You pay a fixed monthly fee to use the vehicle but never own it. At the end of the contract, you simply return the car with no option to buy. This option is ideal for those who prefer hassle-free motoring with lower upfront costs and no worries about depreciation.

PCP, on the other hand, gives you the option to purchase the car at the end of the contract. You can make monthly payments based on the vehicle's depreciation, and at the end of the term, you can either return the car, trade it in for a new model, or pay a final "balloon payment" to own it outright.

We've outlined the key differences below:

At Day's, we offer a wide selection of brand-new Ford, Fiat and Peugeot cars and commercials, both on PCH and PCP plans. Whether you're looking for a flexible lease or a path to ownership, we have the right deal for you.

Get in touch today to find the best option for your needs!