Search Another Car

FAQ's

Can't find the car you're looking for? Let us help

Frequently Asked Questions, Like How Does Car Leasing Work?

Why should I choose Contracthireacar.com for my new car lease?

We are a well-established contract hire broker with key account status with most of the major car leasing providers. Our site enables car leasing buyers to:

  • Compare all available cars and vans in the UK, within the one site.
  • Add extras to their car or van and update the monthly price.
  • Our expert team will handle all aspects of the car leasing process. From understanding your vehicle requirements, providing clear and detailed quotations, to assisting with obtaining finance approval. Once finance is approved, our experienced administration team will assist in making the paperwork process as easy as possible.

What are the benefits of car leasing?

  • Lower, Fixed Monthly Payments - You agree to the quotations over 2, 3 or 4 years that you use the car.
  • More Car, More Often - We will negotiate excellent fleet terms, in partnership with the leasing provider, to find you the best value for money. Due to residual values, higher specification vehicles sometimes represent better value for money.
  • Newer Vehicles, less maintenance - All cars supplied (unless stated) are new, and come with the manufacturer’s warranty, as specified by the manufacturer. In addition, you can choose to add the cost of a full servicing and maintenance contract which would cover all routine service costs, tyres, batteries, clutches, etc.
  • Lower Upfront Cash Outlay - Our general advertised price is 6 rentals in advance, but dependent on your credit rating, you can choose to lease with 1, 3, 6, 9 or 12 months paid as a deposit in advance.
  • No/Lower VAT Charge
  • No Used-Car Hassles - Leasing removes the headache of part exchange when you change your vehicle. When your lease ends, you simply return the old vehicle to the leasing company and walk away, subject to the vehicle meeting BVRLA standards at the end of the contract.

What is personal leasing/contract hire?

Personal leasing and personal contract hire (PCH) is the same product just using different terminology:

  • A person agrees to a price by committing to make an agreed monthly payment for a 2, 3 or 4 year period.
  • They will pay the initial rental, after delivery, (usually 3, 6, 9, or 12, months if they have a good credit rating) and take possession of the car (for the agreed period) after which they hand the car back to the car leasing company.
  • Legal ownership is retained by the finance company.
  • Often the car is delivered to your door.

What is business contract hire?

Business contract hire is a long term rental agreement, whereby at the end of term, you simply hand it back to the leasing company. It is an operating lease, as the asset is owned by the leasing company, and the asset will sit off balance sheet. As with all leasing agreements, there are potential tax advantages for leasing your fleet.

What are the benefits of business contract hire?

  • No/low VAT - There is no VAT payable for car leasing provided that the vehicle is used entirely for the business. If it is a company car used for work and leisure, then only 50% VAT is payable and the VAT is only payable for the portion of the car that you will use during the lease period (e.g. 3 years as opposed to the 7 year life of the car) and the tax is spread out and paid along with your monthly lease payment instead of being paid all at once and upfront.
  • Free up cash flow - Contract Hire frees up cash instead of investing it in a non-core depreciating asset.
  • Off balance sheet - It avoids having the asset on the balance sheet and avoids financial risk as the business is not committed to the entire cost of the vehicle.
  • Lower payments - The business spends significantly less each month, as it is only paying for the element of depreciation that the vehicle will lose.
  • No hassle with replacement - There is no need to arrange or negotiate to sell the vehicle when a new one is required. Simply contact your account manager, and we will find you another market leading deal.
  • Avoid depreciation risk - There is no market value risk arising from the vehicle because it does not need to be sold in the open market at any point.
  • Delivered to your door - The business can select the exact requirements online or via the telephone and have the car delivered, to an address (as specified) within the UK.
  • Cheaper than buying - It is cheaper than ownership over the long term if the business needs to run and replace new vehicles more frequently than every three to four years or less.
  • Lower maintenance costs - As the vehicles supplied are new, then the overall maintenance costs will be reasonable. It is then possible to add a full maintenance contract to the agreement at a fair price.
  • No road fund licence - The road fund licence will always be included duration of the contract, subject to no changes in the cost of road tax during your agreement.
  • New vehicles - Vehicles can be kept relatively new and this promotes a positive, successful image of the business.
  • Leasing is a tax efficient product for acquiring new vehicles.

Is service and maintenance included?

If you choose to lease your new vehicle, a maintenance package can be added. A maintenance package can be paid each month and it covers vehicle repair and maintenance costs that are not covered by a manufacturer warranty. These include servicing, battery, tyres, brakes and exhaust repairs.

If you elect to take a maintenance package, it is an additional fixed monthly cost above the cost of the car. If you choose not to, it is your responsibility to maintain the vehicle unless it is covered in the manufacturer's warranty. As warranties vary, it is always best to check the exact terms.

Is roadside assistance cover included?

Yes, vehicles include between 12 and 36 months of breakdown recovery at no extra cost which is part of the manufacturer’s warranty. Different manufacturers allow for different periods of roadside assistance. The exact length depends on the manufacturer. If you chose a full maintenance contract then breakdown assistance will be covered for the duration of the contract.

Is car tax included?

For car leasing, car tax is usually included for the duration of the contract. Any exceptions will be clearly listed when we formalise our quotation.

Is delivery included?

For car leasing, free UK mainland delivery is included. For deliveries to Northern Ireland, and the Isles of Scotland please ask for details, and we will clarify matters on an individual basis.

Will the car have a warranty?

Yes, all cars are sourced directly from the manufacturers or from trusted dealers and have standard manufacturer’s warranties ranging from 3 years to a lifetime dependant on the manufacturer.

How much will the initial rental be?

This will depend on your specific application. For car leasing, it is likely to be the equivalent of 1, 3, 6, 9 or 12 months of payments depending on your preference.

How does changing the deposit affect the monthly repayments?

If you increase your initial rental, you will reduce the size of your monthly payments.

Do you charge an administration fee?

Yes, our standard fee is £199.99+VAT

How long is the lease period?

Contract Hire a Car, specialise in contract hire for businesses or in your personal name, usually 2-3 years. It may be possible to arrange for short term car hire whilst your vehicle is in production.

Can I change the mileage on the contract?

If you choose car leasing, you have to specify an annual mileage when you sign the contract. Subject to the funder’s requirements, it may be possible to change annual mileage. In general, a personal lease does not allow for a change of mileage, whilst a non regulated business lease has the flexibility to change mileage.

What if I exceed the mileage agreed in the contract?

You will be charged for excess mileage at a previously advised cost per mile. As an example if the excess mileage is stated as 6 pence per mile, and you go over the contract mileage by 1000miles the additional charge will be £60.00.

How long does it take to learn if my finance has been approved?

Once you have chosen the vehicle and the quotation with which you wish to proceed, completed the application form, we will liaise with the finance company. We will use our expertise, and endeavour to obtain finance approval which will take between a few minutes and up to 24 hours depending on your credit status and the finance company involved.

If I am approved, how long will it be before my car is delivered?

We can give you an approximate delivery date initially, but we cannot lock in a definite date until we have a signed order from you. The date will depend whether the car you choose is in stock with one of our dealers or if it needs to be ordered from the factory. We also have to work within certain elements of legislation and for regulated customers; there will be a cooling off period for the finance.

What are the steps that I should follow when buying a car with finance?

  • Choose a car and lease deal that matches your requirements from our website.
  • Within seconds we provide you with an estimate on our product page.
  • You can add extras to the vehicle and configure your car and update the estimate.
  • You decide if you want a full and accurate quote, by contacting the office via the telephone or apply immediately online.
  • If you decide to submit an application for finance we will need to obtain your agreement for a credit check which is a pre-requisite of all of our top UK partners. All finance companies will conduct a credit search, which will leave an imprint on your credit file.
  • If you pass the credit check you will need to sign a legally binding lease agreement.

What is a credit check and why does it need to happen?

Contract Hire A Car are able to help car buyers with good credit history but it is important to read the following.

Before you are approved to take finance from a lender for anything (whether that is to get a credit card, buy a house or buy a car) the finance company will request that it can undertake a ‘credit check’ of your credit history to verify your identity and your ability to make repayments.

It is important that you analyse your current finance situation, and assess your ability to keep up the repayments for the duration of the agreement. Please consider your ability to keep up repayments, if your circumstances were to change. Please assess the suitability of the vehicle you are looking to lease, and assess its viability as your vehicle for the duration of the lease.

If you’re over 18 and have a history of taking credit, it is most likely that you have a credit report held by a credit reference agency. Your credit history specifies how you have managed your credit including bank overdrafts, mobile phone contracts, mortgages and credit cards. This report provides a summary of your credit accounts, repayment record and how well you are coping with your finances.

No-one can access your report without your permission. If you are applying for credit and have approved access to your report, it will be used alongside the information on your application in order to make a decision on whether or not to offer you credit (usually by calculating a credit score for your application).

When applying for credit, you should mention all material facts about your credit history because once a credit check is conducted your true history will be revealed. Also, if you have been rejected by a lender recently, it is important to declare this so that steps can be taken to ensure that your application is put with a lender most likely to accept you. Trying to obtain finance with a lender that is likely to reject you because they only take people with a perfect record will actually further damage your credit history.

I'm not sure what car I want yet - can I get quotes for several different cars?

Contract Hire A Car offers prices for more than 6,500 new cars. We have monthly prices for every new car and van on the market. You can locate these cars and their prices by specifically choosing them within the website or by searching using our monthly budget. You can even add extras and configure your new car. If you like the price and want to speak to someone or apply online just click on the quote you are interested in, and we will call you back.

Do I have to insure the car?

You must arrange fully comprehensive insurance for your vehicle or you will be in breach of your agreement with the finance company.

Where can I test drive the cars I like?

If you find a car and a price that you like on the Contract Hire A Car website, you can test drive the car at your local dealer for that make and model.

Can I use my personalized number plate?

Yes, of course, but it is useful if you let us know sooner rather than later. You will have to nominate the leasing company as the nominee. Most leasing companies will charge an additional administration fee to add and remove a personal plate.

What happens at the end of my lease contract?

You will hand the vehicle back to the leasing company. If the vehicle is being handed back in line with the agreed mileage and BVRLA fair wear and tear guidelines then there will be nothing further to pay. For a copy of the guidelines, please don’t hesitate to contact us.

I have found a cheaper monthly price elsewhere.

It’s possible, but check that you are comparing like with like:

  • Is it exactly the same specification of car with the same extras?
  • Look at each of the leasing offers and compare side by side including:
  • Are they the same finance products?
  • Are they the same period?
  • Are they the same mileage?
  • Do they have the same upfront payment/deposit?
  • Do they have the same total payment across the period?
  • Are there any extra fees?
  • Is the car available for delivery at the same time on both quotes?
  • If it genuinely does appear to be a better offer, do contact our sales team to give us an opportunity to beat that quote.

The quote I have received is more expensive than that advertised on your website.

The advertised rate is offered by a particular finance company, which will require particular criteria to be met such as the usage you might have for the vehicle, your credit status or your time in business. Unfortunately we cannot compel our finance partners to accept all applicants at the advertised price. However, the advertised price should be the price that the majority of successful applicants obtain.

Can I speak to someone on the phone?

Yes, one of our helpful and experienced sales team will be happy to give you advice specific to your requirements. Just call 0844 8750051 on business days between the hours of 9.00am and 5.30 pm.

How safe is my personal information?

Contract Hire A Car is fully compliant with all data protection laws and regulations. Your data is safe with us and is kept based on our Terms and Conditions and “Privacy Policy”.

Do your prices include VAT?

Prices include VAT for personal leasing. For all business types, VAT is not included for the contract hire prices advertised or quoted.

I have been declined for finance elsewhere, can you get me / my company approved?

Contract Hire A Car.Com, is a website designed for customers and businesses who would fall into the category of Prime Finance. Our sales consultants pride themselves in understanding the credit needs of many different business types. A new start business, has different needs to a well-established fleet operator.