Hanborough Enterprises Limited is committed to providing a first-class service to all our customers. If you feel that this has not been the case, and you are dissatisfied with any aspect of the service provided, we would encourage you to contact us at your earliest opportunity.

We generally find that most issues can be sorted out quickly with brief chat and an agreed plan of action. In the first instance, please telephone 01993 894981 and speak to your Account Manager, or regular contact, who will do their best to resolve matters for you.

In the unlikely event that your issue is not adequately resolved, please contact Alan Carreras, Director, Hanborough Enterprises, Tamarisk House, North Leigh Business Park, North Leigh, Oxfordshire OX29 6SW. You can also call Alan on 01993 894981 or email This email address is being protected from spambots. You need JavaScript enabled to view it.

All complaints made in writing will be acknowledged within a maximum of 2 working days and we will, wherever possible, provide a written response within 14 days. If it has not been possible to resolve the issue within this timeframe, we will provide regular updates until a resolution has been agreed.

If you are dissatisfied with the way we have handled your complaint you can contact the British Vehicle Rental and Leasing Association (BVRLA). Their contact information can be found by visiting their website at www.bvrla.co.uk

If you are a consumer credit customer, you also have the right to contact the Financial Ombudsman within 6 months of our final decision concerning the complaint you have raised with us. Their contact details are:

The Financial Ombudsman Service, Exchange Tower, London, E14 9SR
Telephone: 0800 023 4567, 0300 123 9123 or 0207 946 0500
Email: This email address is being protected from spambots. You need JavaScript enabled to view it.
Website: www.financial-ombudsman.org.uk

We have provided the information below to help you better understand our business, the products and services we provide, and their suitability for your needs.

Company Details
Hanborough Enterprises Limited
Registered Address: Jamesons House, Compton Way, Witney, Oxfordshire OX28 3AB.
Telephone: 01993 894981
Registered in England No: 07216831, VAT No: 642 888 010

Hanborough Enterprises is an appointed representative of Hanborough Enterprises Limited who is authorised and regulated by the Financial Conduct Authority, Firm Reference Number: 631448

Services
Hanborough Enterprises provides a credit broking and intermediary service to business customers and private individuals. This includes a product and price comparison service, vehicle and financial recommendations, and introductions to a panel of funders and service providers. We also offer an insurance brokerage service for individual and fleet policies.

The funders and insurance providers used have been carefully selected by Hanborough Enterprises based on their track record of delivering value to their customers. However, the final decision as to the financial value and suitability of these products and services rests with you.

When introducing you to a financial institution or service provider we will, in most circumstances, receive a commission. We may also charge a documentation fee to cover the time and administrative resource involved in arranging the contract. However, you can be assured that any fees due will be clearly communicated to you before you make a final, legally binding, decision.

In order to complete an application in the name of a individual or commercial entity, we may need to collect personal data which is used to decide the applicant’s ability to make all payments which will be due under the proposed agreement. This information will only be disclosed to parties which are either directly or indirectly involved in the provision of the service or financial product being applied for. Where this includes a search against any credit reference agencies or other relevant bodies and authorities, a record of these searches will be recorded against your personal and/or business credit records.

Customer Service and Complaints
Hanborough Enterprises aims to consistently deliver the highest standards in customer service. To talk with a senior member of the management team about any aspect of the service we have provided, please get in touch directly on 01993 894981. You can also contact us in writing using the details shown above. If for any reason you are dissatisfied with any aspect of our service to you, and you feel that your concerns have not been adequately addressed, please review our complaints procedure.

Bridle offer a complete portfolio of fleet management products and services to ensure our clients vehicle fleets operate as efficiently and effectively as possible, these include vehicle acquisition, funding products, fleet insurance, driver licence check, driver training and risk management, fuel management, accident management, telematics, and flexible vehicle hire.

Using online technology designed for complete management of vehicles, drivers, documentation and policy. Whether you operate a fleet of 5 or 5,000 vehicles Bridle will supply you with the very best in fleet management software and a flexible range of supporting products and services to match your specific requirements.

Benefits include 

  • A choice of software packages to suit your specific fleet size and combination of vehicle types (cars, LCVs and HGVs)
  • Intuitive software is easy to navigate; users are up and running with the minimum of training
  • Numerous integration options to include telematics, fuelcard, leasing and accident data for total fleet transparency
  • Market leading telematics solutions to fit your specific tracking and driver management requirements
  • Intelligent fuel management tools for optimum cost control

Driver Management 

A straightforward, effective licence inspection tool to support driver management, risk reduction and duty of care compliance.

Driving is possibly the most dangerous thing that you ask your staff to do. Road traffic law and health and safety regulations cover driving at work, and the legislation is very clear: as an employer you have a duty of care to safeguard your drivers, and the public who may be affected by their activities.

DVLA electronic licence checking service confirms, quickly and securely, the validity of your drivers' licences.  

The Road Traffic Act 1988 clearly states that as well as being an offence for an individual to drive without a valid licence, it is also an offence for a person (or organisation) to permit an individual to drive without a valid licence. As an employer, if you are allowing staff to drive on company business without checking their licences, you could be liable. 

We undrestand the challenges of achieving compliance and we provide a range of services to help you assess, educate and manage your drivers, and ultimately gain the peace of mind that only comes from total compliance. 

Fuel Management 

Fuel is an enormous business overhead, FACT.  

With ever increasing pump prices and a dependency on vehicles to keep business moving, you'd be forgiven for thinking fuel costs are out of your control.  True, we can't do much to influence what we pay for fuel, however we CAN influence how much fuel our fleets use, by making some subtle changes and increasing scrutiny closer to home.  

Driver behaviour, vehicle maintenance, vehicle selection, journey management and tyre care can all have a surprising impact on your fuel costs, and Bridle can provide you with a simple, effective solution to all of these factors, helping you control fuel consumption and keep your costs to an absolute minimum. 

Telematics

Bridle can offer a portfolio spanning the entire telematics spectrum. 

Whether you are seeking a basic vehicle telematics product to address journey or driver management issues, or fully integrated connected navigation systems for complete job allocation and back office management, you need look no further than Bridle.

Contact our experienced team on 01993 894981 or complete an enquiry form and one our team of consultants will contact you

Are you an accountant, finance director, managing director or someone else with a similar role who also has the responsibility of managing your fleet? 

Managing your fleet is a costly and time consuming task.  Some companies are lucky enough to have a qualified fleet manager but for most, this role usually falls to someone in finance or a director.

And you're probably busy enough, without the burden of managing your fleet! 

In today's economic climate, it's more important than ever to manage your business costs.  Not to mention being aware of changes to legislation and tax.  Therefore why not take advantage of our free fleet review?

Call us on 01993 894981 to make an appointment or send us an enquiry.

How will our free whole life costs fleet review benefit you?

Understanding the true cost of running a vehicle, incorporating all costs rather than just monthly rentals can improve fleet efficiency. There are many elements to running a vehicle and by taking them all into consideration you are able to make better and more cost efficient for your fleet.

Running a fleet is one of the most costly areas of a business - and one of the biggest headaches. 

Our fleet review will look at the way you run your fleet and is supported by strategic fleet consultants who can provide advice and support to help you define and implement the most suitable fleet policy for your business.

Who is the review aimed at?

Our free fleet review is aimed at companies that don't have a qualified fleet manager.  You also need to have ten or more vehicles in your fleet (cars or vans).   

It's ideal for companies that have grown and may not be managing their fleet in the most time and cost effective way. 

We'll also help you understand changes in legislation - By covering aspects that you're probably aware of, but don't have the time to really think about them.

What's covered in the review?

The review covers a wide range of topics, including:

Vehicle choice

Vehicle financing

Fleet administration

Vehicle servicing and maintenance

Driver training

Mileage reduction

Driver licence checking

Amongst others.

How do we carry out the review?

The review will take about an hour.  It will take place over the phone or we'll come and visit you, we'll ask you a series of questions designed to give us with an insight into your current methods.

We'll discuss how you currently run your fleet and then send you a report with recommendations on how to make improvements.

There's no commitment or catches - just expert advice tailored to your specific needs.  Call us on 01993 894981 to make an appointment or send us an enquiry.

 

 

A must read guide for any business or private individual who is unfamiliar with vehicle leasing

Introduction

Hi,

Welcome to The ultimate guide to leasing published by Bridle Vehicle Leasing.

We get inundated by calls and emails each day from people, who primarily, have been on the Internet and have got completely confused and frustrated by all the offers and terms used related to leasing.

It is for this very reason that we have decided to put together this guide to help you fully understand leasing and make the best decisions for you as a private individual or as a business.

Leasing has always been popular with businesses, and its popularity is growing at a phenomenal rate amongst private individuals.

In fact, experts predict that in the next 10 – 15 years the majority of us will be leasing our vehicles compared to buying them. The payment will become a fixed monthly expense, just like paying our mortgage.

Leasing provides the opportunity for people to drive around in a more prestigious vehicle than what they may have otherwise not been able to afford.  This is one of the main reasons why people turn to leasing.

We believe that leasing is the best route for anyone looking for a new vehicle.  We hope that this guide leaves you feeling the same and feeling fully informed on the world of vehicle leasing.

Alan Carreras,  Bridle Vehicle Leasing


1.  What is leasing?

Leasing is nothing more than a method of paying for the use of a vehicle over a specified period of time.

It’s similar to renting, but instead of hiring a vehicle for, say a day, leasing typically lasts for 24 months to 48 months.

During your contract, you don’t actually own the leased vehicle.  You are simply renting it, which means that your monthly payments are lower than if you had taken out a loan or other finance.

How does it work?

Ok, so we’ve established that you pay low payments each month to lease a vehicle, but how does it really work?

Well, the vehicle you wish to lease will have a retail price – that is the money it would be worth if it were sold at that point in time.  However, you’re not buying the vehicle, you’re leasing it – so another value of the vehicle is determined.

This is the ‘residual value’, which is an estimate of what the vehicle will be worth at the end of your lease after depreciation is taken into account.

Your monthly payments are then based on the difference between the retail price and the residual value.  Therefore you are not paying for the full price of the vehicle, hence the lower monthly payments.

At the end of your contract you simply return the vehicle to the leasing company. You will have the option of taking out a lease on another new vehicle, or, depending on what type of contract you have agreed to, you may have the option to make a payment to buy the vehicle outright.


2.  The benefits of leasing

Before we take a look at the main benefits, it is worth bearing in mind the famous quote of oil baron Paul Getty: “If it appreciates, buy it.  If it depreciates, lease it”.

A vehicle is not like a house which usually appreciates in value after purchase, when you drive away in your brand new vehicle it is already depreciating in value.

If you take out a car loan or hire purchase agreement to purchase a vehicle, you are simply paying a set amount a month for something that is losing, not gaining value.

Let’s take a look at the main benefits of leasing

 

Brand new vehicle

You get to drive a brand new vehicle every two to four years - enhancing your image

Low monthly payments

Payments will be on average between 35% and 55% less costly than the repayments on a vehicle loan

Drive a more prestigious vehicle

You will be able to drive a vehicle that might be out of your price range in terms of purchase price

Free up cash flow

For businesses, it frees up valuable cash flow

Tax advantages

Businesses can also offset rentals against tax (subject to certain restrictions)

Low deposit

Only a small deposit is necessary, usually amounting to 3 monthly payments.  No huge up-front costs, capital outlay or car loans

Warranty

The vehicle’s warranty will normally cover the period of the lease

Road tax

Road tax is included in the lease (either for the first year or for the duration of the contract)

Fixed price motoring

Most costs remain the same for the period of the lease

Maintenance packages

You can opt for an inclusive maintenance and servicing package (depending on the type of contract)

And some disadvantages 

Ownership           

You do not own the vehicle, although this is also a potential benefit

Length of Contract   

Most lease agreement are fixed term typically 18, 24, 36 or 48 months, you may be charged to exit a lease agreement early

Excess mileage charges                    

Your monthly payments will be based on an annual mileage, if you exceed this contract mileage it is likely that you will receive a penalty charge

3.  Different types of leasing / finance options

If you like the sound of these benefits, then the chances are that leasing is right for you.

Now for the confusing part!  There are many different finance options available when it comes to leasing:

Options to businesses

For businesses, there are four main finance options:

  • Contract Hire
  • Contract Purchase
  • Lease Purchase
  • Finance Lease

Options to private individuals

  • Personal Contract Purchase (PCP)
  • Personal Contract Hire (PCH)

See the following pages, for detailed information on each finance type.  Be sure to see the comparison chart on page 13 to help you compare the main differences.


What is Contract Hire?

Contract Hire is available to businesses and offers a hassle free approach to running vehicles.

The main benefit of Contract Hire is that you pay a fixed monthly cost for each vehicle. This enables businesses to budget and forecast accurately.

The main points

  • Contract Hire is probably the most popular option amongst businesses
  • It eliminates the financial risk associated with the disposing of your vehicles, because you simply hand them back at the end of the contract
  • It is an off Balance Sheet Funding method which frees up credit lines
  • Rentals can be offset against profit or corporation tax liability (subject to a restriction for vehicles which emit more than 130g/km CO2)
  • You can reclaim 100% of the VAT on the maintenance package, and 50% of the VAT on the finance rental cost (100% on vans)
  • You will receive road tax for the duration of the contract
  • You have the option to include a maintenance package (servicing, replacement parts and tyres)
  • You have the option to include breakdown cover and replacement vehicles

End of contract options

You simply hand the vehicle back at the end of the contract – You have no option to purchase the vehicle.


What is Contract Purchase?

Contract Purchase is available to businesses and offers many of the ‘no risk’ advantages of Contract Hire

Contract Purchase gives you the option to purchase the vehicle at the end of the contract or hand it back.

The main points

  • The vehicle will appear on the balance sheet as an asset
  • Tax writing down allowances can be claimed
  • VAT is charged only on the maintenance package (if opted for)
  • You will receive road tax for the duration of the contract
  • You have the option to include a maintenance package (servicing, replacement parts and tyres)
  • You have the option to include breakdown cover and replacement vehicles

End of contract options

Contract Purchase gives you the option to purchase the vehicle at the end of the contract for a guaranteed price. You also have the option to hand it back at the end of the contract should you wish to do so.


What is Lease Purchase?

Lease purchase is available to businesses and is useful if you want to own a vehicle at the end of the lease.

The main points

  • The vehicle will be registered in your company name and will appear on the balance sheet
  • Monthly payments are not subject to VAT
  • Tax writing down allowances can be claimed
  • There is no mileage restriction (however excess mileage will effect a vehicle’s value at the end of the contract – be aware of ‘unlimited mileage’ deals)
  • There is no option to include a maintenance package<
  • You will receive road tax for the first year

End of contract options

You pay for the full value of the vehicle via monthly rentals with a balloon payment at the end of the contract. At the end of the contract, you own the vehicle – there is no option to hand it back.


What is Finance Lease?

Finance lease is available to businesses and is particularly popular with van drivers as there is no damage re-charge.

Finance lease is a flexible option which allows payment of the entire cost over an agreed period or lower monthly payments with a final ‘balloon’ payment.

The main points

  • The vehicle will appear on the balance sheet as an asset
  • VAT is recoverable on rentals (subject to certain restrictions)
  • Rentals can be offset against profit (subject to a restriction for vehicles over £12,000)
  • There are no mileage restrictions (however excess mileage will effect a vehicles value at the end of the contract – be aware of ‘unlimited mileage’ deals)
  • You will receive road tax for the first year>

End of contract options

At the end of the contract, you will have to pay a balloon payment. Once the balloon payment has been made there are two options available:

Option 1 – Continue to use the vehicle

A secondary rental (peppercorn rental) will be invoiced annually in advance. The peppercorn rental will be payable annually until you decide to sell the vehicle.

Option 2 – Not continue to use the vehicle

You sell the vehicle to a third party. Once sold, a copy of the sales invoice must be sent to the Finance Company together with 2% of the sales proceeds. You retain 98% of the sales proceeds.


What is Personal Contract Purchase?

Personal Contract Purchase (PCP) is available to private individuals.

People tend to choose PCP if they are new to leasing - They like the security of being able to purchase the car at the end of the contract.

The main points

  • A method of personal car finance
  • You will receive road tax for the first year
  • No VAT is payable
  • You will have the option to include a maintenance package
  • Offers a fixed monthly cost enabling you to keep on top of your finances

End of contract options

PCP gives you the option to purchase the vehicle at the end of the contract, or simply hand it back with no penalty.


What is Personal Contract Hire?

Personal Contract Hire (PCH) is available to private individuals. It is a popular leasing option for ex-company car drivers.

PCH provides individuals with a simple way of driving a new car at a very reasonable cost, without having the hassle of trading the car in at the end of the contract.

The main points

  • A method of personal car finance
  • You will receive road tax for the duration of the contract
  • VAT is payable
  • You will have the option to include a maintenance package
  • Offers a fixed monthly cost enabling you to keep on top of your finances

End of contract options

You simply hand the vehicle back at the end of the contract – You have no option to purchase the vehicle.


4.  Finance comparison chart

In order to help you compare the different vehicle finance types, we have produced this comparison chart.

Comparison

Contract Hire

Contract Purchase

Lease Purchase

Finance Lease

PCP

PCH

Accurate monthly budgeting

Yes

Yes

No

No

Yes

Yes

Is VAT chargeable on payments?

Yes

No

No

Yes

No

Yes

Is VAT reclaimable on payments?

Cars 50% Vans 100%

N/A

N/A

Cars 50% Vans 100%

No

No

Are interest rates fixed?

Yes

Yes

Yes

Yes

Yes

Yes

Are payments offset against Corporation Tax?

Partially

Capital allowances

Capital allowances

Partially

No

No

Does the customer own the vehicle at the end of the contract?

No

Optional

Yes

No

Optional

No

Who carries the residual value risk?

Finance co.

Finance co.

Customer

Customer

Finance co.

Finance co.

Is there a depreciation risk?

No

No

Yes

Yes

No

No

Can maintenance be included?

Yes

Yes

No

No

Yes

Yes

Is a Road Fund Licence provided?

Yes, for the entire contract

Yes, for the entire contract

Yes, for the first year

Yes, for the first year

Yes, for the first year

Yes, for the entire contract

Is there a Balloon / Final Payment?

No

Optional

Yes

Yes

Optional

No


5.  7 steps to vehicle leasing

You've decided you want to lease a vehicle and you've decided which finance type is right for you, so what is the process for getting that new vehicle?

Step 1 – Choosing your vehicle

Get some quotes and decide which vehicle is best for you.  When you are happy with a quote, let the leasing company know that you would like to go ahead.

Step 2 – Get approved for credit

Once the leasing company know that you would like to go ahead, they will send you a credit application form (proposal form).

When you lease a vehicle, finance companies need to know that you are credit worthy – hence the need to carry out a credit check on you. 

Being approved for credit can take anything between 1 – 5 working days.  So bear this in mind when working out your timescales.

Step 3 – Sign an order form & pay a deposit and a finance acceptance fee

When you are approved for credit, you will be sent an order form.  You will need to check the details, sign and return with a deposit.

Step 4 – Your order is placed with a dealer

It is at this point that the leasing company will place an order with a dealer.  It is therefore really important to return your credit application form, signed order form and deposit as quickly as possible.  If you take too long to do these things, you risk the vehicle you want being sold to someone else.

Step 5 – Sign your documents

You will be sent a contractual agreement and a direct debit form, which you will need to sign and return.  You will also have to provide proof of ID.

Your vehicle will not be delivered until these documents are returned.

Step 6 – Your new vehicle is delivered

The leasing company should give you a rough delivery date when you order.

When your vehicle is delivered you will need to inspect it to ensure you are happy with the vehicle.  You may also need to sign a Vehicle Acceptance Note, to say that you are happy, and send it back to your leasing company.

Step 7 – You drive around in a lovely new vehicle!

Enjoy!


6.  Things to consider

There are some important things that you need to understand:

Length of contract

When you lease a vehicle, you agree to hire the vehicle for an agreed term (the length of the contract).  Lease agreements usually last for 18, 24, 36, or 48 months.

Coming out of a lease early, can result in an early termination fee.  Analyse these clauses carefully.

Residual value of the vehicle

It’s best to select a vehicle with a good residual value at the end of the contract.  This can bring down your monthly payment.

Excess mileage charges

Your monthly payment will be based on an average mileage that you are likely to do throughout your contract.  Estimate your vehicle usage accurately before entering into a contract because excess mileage charges may apply.

Wear and tear

As you don’t own a leased vehicle, if there is excess wear and tear, you will be charged for this when you return the vehicle.  So read wear and tear clauses carefully and make sure you understand them.

Most inspectors work from the guidelines provided by the BVRLA (British Vehicle Rental and Leasing Association) in their Fair Wear & Tear Guide.

Modification clauses

Usually customers are not allowed to make any modifications to a leased vehicle.  If you do make any changes, you will have to bear all the expenses to bring the vehicle back to its original condition, when returning it to the leasing company.


7.  Options

You may want to consider these options to ensure hassle free driving:

Maintenance packages

For a fixed monthly amount, you may decide to opt for a maintenance package (not available with Lease Purchase and Finance Lease).

Maintenance provides complete cover and peace of mind for any additional repairs that may be required (the exceptions to this are accidental damage or driver abuse).

Maintenance packages include:

  • Servicing & repairs
  • Tyre replacement
  • Exhaust replacement

For full details, ask your leasing company.

Breakdown cover

For a fixed monthly amount (usually just a few pounds), you may decide to opt for breakdown cover.

This is a mobile repair and recovery service for instances when your vehicle will not start or has broken down.

Gap insurance

For a fixed monthly amount, you may decide to opt for an insurance policy which pays off the lease balance if a lease vehicle is involved in an accident or is stolen.

This stops you from getting caught out if your insurance company undervalues your vehicle.


8. When should you start thinking about leasing a vehicle?

Ideally about 4 months before you want to lease a vehicle.  This will give you a few weeks to do some research into what vehicle you want, get some quotes and be approved for credit.

Most people want a specific vehicle and they want it straight away.  This is fine, if you are not fussy about the spec and colour etc.

Many people wrongly assume that their preferred vehicle will be in stock, quite often this isn’t the case, especially if you are not willing to compromise on colour etc.

Therefore, we always suggest allowing about 4 months, just in case the vehicle you want has to be factory ordered - This can take anything from 8 to 12 weeks.


9.  What happens at the end of the lease?

At the end of the lease, your leasing company will make contact with you and arrange a time to come and pick up the vehicle.  Alternatively, you may have the option to purchase the vehicle for a specified price - this depends on the type of agreement you are contracted to.

For many people, the benefit of leasing is that you can simply return the vehicle and walk away at the end of the contract.  This means no messing around with trying to sell your vehicle or receiving a low payment for a part exchange.  You simply hand it back and take out a lease on another new vehicle.

As mentioned earlier, when handing back your vehicle, it will be expected to have no more than normal wear and tear.  Excess damage and extra mileage over and above your contract-specified limits are likely to be charged for.


10.  How to find the right vehicle leasing company

Most people start by looking on the Internet.  This is a great place to start, but you are likely to be overwhelmed by the amount of leasing companies and all the offers that they are advertising.

Contact 3 companies

The more you shop around, the more confusing it will get.  We would suggest, contacting about three companies – talk to them about what you want and get a few quotes.

Who are you comfortable with?

Once you have contacted a few companies, decide on a company who you are comfortable with and someone who you trust.  If you are confused about leasing, they should be prepared to talk you through it and not push you into a deal that they want you to have, it must be right for you.

Price – look at quotes carefully

Obviously the price will be important to you, but make sure you check out each quote carefully.  What might seem like a really cheap offer might have a catch.  For example, today I saw an offer which seemed ridiculously cheap.  It turned out that the deposit was £5000!  One of the benefits of leasing is that deposits are generally low - typically 3 months rental.  If you pay a high deposit your monthly payments will be much less, making the offer appear cheaper, but overall, the quote isn’t actually any different.

Think about service

In some cases we don’t always advise going for the cheapest quote.  If you have a better feeling about another company who may be a pound or two more each month, it may be worth going with them.

The saying ‘you get what you pay for’ applies very much to leasing.  You may not realise this because you get the same product, whoever you buy from.  But what happens if you have problems throughout your lease, say your vehicle gets written off (believe me, it does happen – often through no fault of the lessee)?  Some leasing companies will not want to know – so make sure you deal with a company you feel will give you good after service.


Conclusion

If you are looking to buy a new vehicle, then we believe that leasing has many benefits.

Leasing offers a hassle free approach to driving a new vehicle whilst also saving you money.

It’s important to understand all the different types of finance to ensure that you agree to the right type of contract.  Also, make sure that you understand the quotes that leasing companies send you; it’s not as confusing as it initially seems.

And one other thing, leave enough time for getting quotes, being approved for credit and potentially, a factory order.

We sincerely hope that you have found this Guide helpful. If we can help you any further, then please contact us on 0845 034 9648 or email This email address is being protected from spambots. You need JavaScript enabled to view it.

Need further help? …Contact Bridle Vehicle Leasing

Bridle Vehicle Leasing supplies and finances new cars and vans to businesses and private individuals across the UK.  If you would like any help regarding leasing, then contact us:

Call 0845 034 9648

Email This email address is being protected from spambots. You need JavaScript enabled to view it.

Visit www.bridlevehicleleasing.co.uk

Bridle Vehicle Leasing • Deer Park House • Range Road • Witney • Oxfordshire • OX29 0YN

Feedback

Has this document helped you?  Or do you think that we have missed off some important information?  Then we’d love to hear from you.  Whatever feedback you’d like to give, please let us know your thoughts.

Email us at This email address is being protected from spambots. You need JavaScript enabled to view it.


Glossary

3+23 or 3+35

‘3’ determines that the deposit (initial rental) is 3 x the monthly payment.  ‘23’ or ‘35’ determines how many monthly payments remain payable thereafter.

Balloon payment

A final payment of a Finance agreement – this is set at the start of the contract.  Only applicable on some types of finance agreements.

Breakdown recovery

A mobile repair and recovery service for instances when a vehicle will not start or has broken down.

Cherished plates

A personalised number plate.

CO2

Abbreviation of Carbon Dioxide.  The amount a vehicle emits in g/km is used to calculate company car tax and road fund licence.

Consumer Credit Licence (CCL)

To comply with the law, finance businesses must have a credit licence to carry out certain activities in the field of credit and hiring.

Contract Hire

A finance agreement where the customer pays for the use of a vehicle and simply hands it back at the end of the lease.

Contract Purchase

A finance agreement where the customer pays for the use of a vehicle and has the option to purchase or hand the vehicle back at the end of the lease.

Depreciation

The loss in value of an asset as it is used.

Early termination fee

The amount the customer pays if they terminate the contract before the lease end date.

Excess mileage

When the mileage is over and above the miles originally specified on your finance agreement.

Excess mileage charge

A charge based on miles driven over the amount contracted in the lease agreement on return of a vehicle.

Excess wear and tear charges

Charges for damages to a leased vehicle that are greater than ‘normal’ or ‘reasonable’.

Final rental/payment

The final vehicle rental transaction paid by the individual, company or firm leasing the vehicle within a finance agreement.

Finance acceptance fee

Usually paid by the customer at the start of a finance agreement, with the first rental payment.

Finance Lease

A finance agreement where the customer pays for use of a vehicle only and is responsible for the final payment; the funding company owns the vehicle at the end of contract.

GAP insurance

An insurance policy which pays off the lease balance if a lease vehicle is involved in an accident or is stolen.

Lease Purchase

A finance agreement where you pay for the full value of a vehicle via monthly payments and pay a balloon payment at the end of the contract.  At the end of the contract you own the vehicle.

Lease term

Length of the contract period, usually expressed in number of months.  Typical leases last for 24, 36, or 48 months.

Leasing

A term referring to the “Use only” of a vehicle, by a customer entering into an agreement with a finance company.

Lessee

The vehicle hirer, customer or user of the vehicle who signed the lease agreement.

Lessor

The finance/leasing company or the legal owner of the vehicle who sets forth the lease terms.

Maintenance

Offered with finance agreements and includes routine maintenance and servicing, mechanical repairs and replacement parts, tyres and exhausts.

Mileage allowance / miles per annum

The maximum number of miles a leased vehicle can be driven per year without incurring a penalty.  Usually 10,000 12,000 15,000 or 20,000.

Monthly payment / monthly rental

This is the scheduled payment for the vehicle and any other extras selected such as maintenance etc.

P11d value

This refers to the vehicle price value when new, together with the additional cost of extras. The value is then used for taxation purposes by the Inland Revenue.

Peppercorn rental

A payment that you pay each year if you want to continue using the vehicle at the end of the contract (only applicable to Finance Lease).

Personal Contract Hire (PCH)

Offers all the benefits of Contract Hire to a private individual.

Personal Contract Purchase (PCP)

Offers all the benefits of Contract Purchase to a private individual.

Residual value

The vehicle’s wholesale value at the end of the lease.

Road fund licence

Road tax.

Underwriting

A process which a finance company goes through in order to decide whether to accept a company’s / a private individual’s proposal (being approved for credit).

Subcategories

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