PCP vs PCH guide from Rosedale Leasing

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Everyone has different criteria and needs when it comes to finding their ideal vehicle and form of funding. Whilst some people prefer to buy outright or take out a vehicle loan / hire purchase agreement, more and more are turning to a fixed term car contract as an alternative.

But personal leasing is a phrase that is often bandied about, and it can be confusing as to what it actually entails. Personal leasing and contract hire packages are packed up in many different ways by retailers, so it is important to understand the differences before you enter into one.

PCP vs PCH guide from Rosedale Leasing

As part of the Lookers Family, Rosedale Leasing are able to offer some extremely competitive rates across a wide spectrum of vehicle leasing options.

PCH (Personal Contract Hire)

  • PCH also gives you a fixed monthly cost for the term
  • You include a maintenance package if you wish, often representing excellent value and providing total peace of mind
  • You will be able to get a competitive monthly payment from Rosedale Leasing due to our favourable terms as part of the Lookers Group
  • If your vehicle is returned over mileage or if it is in poor condition, you may be liable for charges (which you would still end up paying in some way even in the case of ownership as your vehicle would be worth less)
  • There is no option to buy the vehicle at the end of your contract, you simply hand it back and pre-order a new one to replace it

PCP (Personal Contract Purchase)

  • There is a fixed monthly cost like PCH but you can hand it back or pay a pre-determined final value figure
  • You could stand to benefit from any equity in the vehicle if you keep it and sell it at the end of the contract (or part exchange / re-finance it)
  • Always compare the overall cost over the term of each agreement as PCP can sometimes cost more on a monthly basis
  • Obviously, with our bulk buying power, you will still be benefitting from discounts that we have secured as part of the Lookers Group

We do hope that you have found this article both interesting and informative – we have a friendly and knowledgeable team who are on hand to help answer any queries that you may have. Browse our website for online PCH quotations or call 0845 148 3012!

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