The rise of personal contract hire

When Vehicle Contracts first started trading some 14 years ago, the services revolved around business contract hire. Personal contract hire has since been added to the portfolio and is proving to be a very popular method of funding for many private individuals.

Graham says;

“The biggest growth area in our business over the last three years just has to be personal contract hire. People are now switching onto the fact that depreciation costs money – and it’s often a loss that they can’t easily predict.

“It is a sensible solution to take out a personal contract hire agreement and fix motoring costs for the term, rather than entering into a credit agreement that could also encumber personal credit-lines. In many cases, people are also opting to take out servicing and maintenance packages so there are no surprises when it comes to their regular outgoings.

“I predict that in two years’ time, personal contract hire will represent about 50% of our business.”