Own the truck through regular payments

Hire purchase is a wise choice if you want to own a vehicle through regular payments without tying up all of your capital at once.

The vehicle appears as an asset on your balance sheet from day one. After the final payment, the vehicle becomes yours.

Balloon payment will appeal if you want low monthly payments and the flexibility to pay a lump sum (balloon) as a final payment.

At the end of the agreement, you have two choices. You can make a final balloon payment and keep the commercial vehicle, or you can re-finance the balloon. The choice is entirely up to you.

 

Hire purchase benefits:

  • Operators can claim depreciation allowances
  • Interest element of repayments can be offset against taxable profits  
  • Treated as an asset on your balance sheet
  • Payments can be tailored to suit your cash flow