What is Contract Hire?
If you don’t want to pay cash for your low cost new car or used car, then contract hire could be the option for you. Contract hire is a business user facility, sometimes known as operating lease. Essentially contract hire is a long term rental facility with or without maintenance and an annual mileage stipulation. On contract hire cars, VAT is chargeable on the total rental - 50% of the VAT on the finance part is reclaimable and 100% of the VAT on the service content. Contract hire is best suited to business users who intend to hire the vehicle for a defined period and simply return it at the contract end.
The contract hire quotes on this site are valid for companies trading longer than 2 years. This is a usual requirement for the majority of contract hire companies. However there are other finance packages that we can quote for new start companies. Ring us on 0870 909 0607 for alternative quotes.
Note:- For vans on contract hire VAT is reclaimable at 100% of the finance and maintenance (if applicable) content of the monthly payment.
Unless otherwise stated all contract hire offers are as follows:
- 3 payments in advance followed by 35 monthly payments.
- Maintenance can be included for an extra charge.
- Based upon 10,000 miles per annum.
- Our contract hire quotes are manually constructed from the lowest cost contract hire providers on the market.
The above contract hire quotes can be amended to suit your requirements or we can quote for alternative vehicles – visit our 'What suits your pocket' page or contact us on 0870 909 0607 for more information.
Contract hire is a good value way to get hold of a car or van without the troubles and ongoing costs of owning it. You will usually receive low initial costs and then you will be able to pay a low fixed-monthly rental.
Using contract hire will mean that you can easily keep track of your finances. Contract hire does not usually include extras such as fuel and insurance in the monthly rental, so you must budget for this.
Here are some other ways to save money on your car insurance:
- Make sure you shop around before settling on a contract hire company. This will help you to get a competitive renewal quote.
- If you are able to keep your car in the garage overnight or on the driveway this will help to reduce your insurance costs.
- Look thoroughly into the company that is offering you contract hire for your car and then call them to see what the details of the policy are. You may even get a better deal by negotiating over the phone.
