PCP and PCH

typeractive

Hi all,

I've read the difference between these options, and to me they sound almost identical. With the PCH it sounded like there is no initial up front payment? I also read they can be cheaper monthly figures than PCP, yet there is no option to buy the car at the end - so I guess equity is completely irrelevant.

So, when I've been looking at new cars and what I'd like to have all I seem to see is PCP - I don't see options for PCH.

Any thoughts / advice?
:beer:

thescouselander

Where are you looking? There are loads of options for a PCH (personal lease) just search Google.

The only thing I would say is an up front payment (initial rental) of between 3 and 9 months is usually required. I have even seen initial payments of upto 20 months on some cars to make the monthly payments appear low but I wouldn't recommend going for a deal like that.

neilmcl

The biggest difference is one (PCP) is a credit agreement whereas the other (PCH) is a straight forward lease and as such you don't get the legal protection on a lease as you do with a PCP.

If you have no interest in actually purchasing a car then a PCH may be the cheapest option especially if you search for lease deals rather than a specific make of car.