Both let you spread the cost of your car, but they work differently. Here's how PCP and HP compare, so you can choose the one that fits how you drive.
A flexible option for lower monthly payments and the ability to change your car at the end. You pay a deposit and fixed monthly payments, then choose to pay a final balloon amount to own it, hand it back, or trade it towards another car.
A straightforward option that means you own the car outright once all payments are made. Your deposit and fixed monthly payments cover the full value of the car, and ownership transfers automatically at the end — no final payment needed.
In short, it comes down to flexibility and ownership. PCP generally offers lower monthly payments but includes mileage limits and an optional final payment; HP has higher monthly payments but guarantees ownership at the end with no mileage restrictions. PCP suits drivers who like to change car often and want lower payments; HP suits those who want to own their car and keep it for the long term.
Our advisors will talk it through and help you pick the right option.