What Makes Personal Contract Purchase So Popular?
It is the most common method of buying a car in modern Britain, but just what is it that makes PCP so appealing for car buyers? Read on to find out more…
There is no denying that car-buying has changed over the years. This is down largely to the differences in lifestyle changes and economy of the more modern vehicles, as well as their reliability. Commuting many miles was somewhat unheard of in the 1970’s but is commonplace in today’s work environment.
Previously, a car was bought with a vision to last. Today, however, with the rate at which motoring and technology is developing, drivers like the flexibility to continually upgrade their motors after a set period.
This is why PCP has become so successful. It has allowed motorists to drive higher-spec car instantaneously, rather than having to save large amounts of money for a new car.
It seems that people are fine with mod-cons on a temporary basis, even if those items are never legally theirs. In the housing market, renting is at its highest level in history with many younger people struggling to save money to put down a deposit. PCP again finds value here, as it gives youngsters the ability to drive a car without having to save towards another end-goal, instead focussing on amassing their house deposit.
It is the flexibility of PCP that continues to attract car buyers, as they do also have the option to purchase the car at the end of the deal, which is useful if they have fallen in love with the car. They will, however, be paying a total value of what the car was worth at the beginning of the deal, not what the car is currently valued at. For most, this is a compromise that they are willing to take for the flexibility that PCP can provide.
If you are considering buying a new motor and need any help with car finance in Manchester, get in touch with the team at Instant Car Finance where we will be happy to help.