Hire Purchase Agreement Arnold Clark

Hire Purchase Agreement with Arnold Clark: A Comprehensive Guide

Arnold Clark is a renowned Scottish automobile dealer that offers a wide range of vehicles to suit different needs and budgets. The company offers flexible financing options to its customers, including hire purchase agreements. A hire purchase agreement is a type of financing that allows you to spread the cost of a vehicle over a fixed period. In this article, we’ll take a closer look at the hire purchase agreement offered by Arnold Clark and how it works.

What is a Hire Purchase Agreement?

A hire purchase agreement is a type of financing that allows you to purchase a vehicle without paying the full amount upfront. Instead, you pay a deposit upfront and then make regular monthly payments over a fixed term until you have paid off the full amount. The vehicle remains the property of the finance company until the final payment is made, at which point you become the legal owner.

How Does the Arnold Clark Hire Purchase Agreement Work?

Arnold Clark’s hire purchase agreement allows you to spread the cost of the vehicle over a period of 12 to 60 months. You can choose the length of the agreement that best suits your budget and needs. The minimum deposit required is 10% of the vehicle’s price, although a higher deposit can be paid to reduce the monthly payments.

Once you have paid the deposit, you will need to make regular monthly payments over the agreed term. The amount of the monthly payments will depend on the price of the vehicle, the deposit paid, and the length of the agreement. The interest rate is fixed for the duration of the agreement, which means you can budget your payments with certainty.

At the end of the agreement, you will have the option to pay a final lump sum to own the vehicle outright or return the vehicle to Arnold Clark. If you decide to return the vehicle, you may be subject to additional charges if the vehicle has exceeded the agreed mileage or is not in good condition.

Advantages of a Hire Purchase Agreement with Arnold Clark

There are several advantages to choosing a hire purchase agreement with Arnold Clark:

1. Flexible repayment terms – You can choose the length of the agreement that best suits your budget and needs.

2. Fixed interest rate – The interest rate is fixed for the duration of the agreement, which means you can budget your payments with certainty.

3. Ownership – You will become the legal owner of the vehicle once you have made the final payment.

4. Spread the cost – You can spread the cost of the vehicle over a fixed period, reducing the impact on your budget.

Conclusion

A hire purchase agreement with Arnold Clark can be an attractive financing option if you are looking to purchase a vehicle. With flexible repayment terms, a fixed interest rate, and the ability to spread the cost over a fixed period, it can help you budget your payments with certainty. If you are interested in a hire purchase agreement with Arnold Clark, speak to one of their finance specialists for more information.