As we are based in a Citroën dealership and DS Salon, you can have peace-of-mind that the service, support and customer care received are subject to strict manufacturer and funder standards. There are no administration/set-up fees to pay over-and-above the initial rental. As you are dealing direct with the supplier, our rentals are highly competitive and we are available to answer/action any questions or queries you may have promptly.
As a repeat customer, subject to the replacement model/specification, you may qualify for a renewal voucher of between £250 & £1,000. This can be incorporated into your new quotation as additional vehicle discount, reducing the monthly payments further.
What is contract hire?
Contract hire provides low risk, fixed-cost motoring. You pay a rental for the use of the vehicle, as opposed to buying it, and, at the end of the agreement, simply hand it back to the funder* (Free2Move Lease - F2ML), leaving you with no risk of depreciation and no involvement in the vehicle's disposal.
* Subject to return mileage and vehicle condition (excess
mileage charges & reconditioning costs may apply)
What is an Initial Rental Payment?
This is the upfront amount required in advance of vehicle handover and contract activation. Known as an initial rental payment, rather than a deposit, it is in addition to, and not deductible from, the total monthly payments, or refundable at contract end.
The industry standard initial payment is the equivalent of 3-months’ rentals. Alternatively, multiples of up to 12-months’, or a cash amount, can be paid, all of which are subject to VAT.
What is a Payment Profile?
This is the initial rental amount and number of subsequent payments
for the chosen contract period. For example, a 3+35 (3-year) profile would
require 3-months upfront initial rental, followed by 35 individual monthly
payments taken on direct debit thereafter (commencing 1-month after vehicle
Are there any Set-up or Administrations charges?
No. While most brokers tend to ask for an 'set-up fee' or 'administration charge', in
addition to the initial rental payment, we do not.
What lengths of contract are available?
We offer contracts from 18-48 months.
What Is An Excess Mileage Charge?
At contract end, if you have exceeded the total contracted mileage, you may be liable to pay an excess mileage fee. The rate at which each mile over that agreed is charged is available at point of quotation and shown on the contract. This is referred to as the ppm (pence per mile) and is subject to VAT.
Can I increase the Annual Mileage mid-contract?
Yes. If you believe you will significantly exceed the contracted mileage and are concerned about the potential excess mileage charge, the facility does exist to request that the funder re-quote and forward a revised contract. An administration charge may apply.
What is Optional Maintenance?
It is your responsibility to service the vehicle as per the manufacturer's schedule.Optional maintenance can be built into your monthly rental payment to cover this, providing a comprehensive, fixed budget, motoring package.
A maintenance contract will cover the cost of your vehicle's routine servicing and replacement of normal wearing friction parts. Unlimited tyre replacement, due to fair wear and tear (including punctures), can also be included, as can a relief vehicle, should your vehicle be off the road.
Choosing a maintenance contract could leave you with just
fuel and insurance as the only additional running costs.
What is Optional GAP Cover?
Optional 'Contract Hire Plus' provides GAP Protection.
In the unfortunate event that your vehicle is subject to an insurance total loss, your insurer will, hopefully, agree a valuation at time of loss with the funder. However, not concerned with the vehicle’s funding, they will almost certainly offer a settlement figure lower than the amount required to also clear the outstanding finance.
For £7.50/month + VAT, Contract Hire Plus will waive all, or part, of the difference between the vehicle market value and agreement settlement figure (up to a maximum £7,500).
Does the rental include Breakdown/Recovery service?
Yes. Citroën assistance (AA cover) is included for the duration of the contract.
Does the rental include Road Fund Licence?
Yes. Road tax is included for the duration of the contract.
What happens at the contract end?
On approach to contract end, you will receive correspondences from the funder and ourselves with guidance. Once the final direct debit payment has been taken, your vehicle’s details will be passed to the collection agents, Manheim, and you will be able to contact them to make return arrangements.
On the day of collection, your vehicle will be inspected for mileage, damage, the presence of a completed service history book, spare key, and locking wheel nut key, parcel shelf, satnav etc. (where applicable). You may be liable for any reconditioning costs and excess mileage charges. It is recommended that any shortcomings be rectified prior to return.
What if I need to end the contract early?
Should your circumstances change and you wish to return the vehicle before contract end, an early termination settlement figure can be obtained from the funder.
Can I buy the vehicle at the contract end?
No. It is not possible to own a vehicle you have contract hired.
Do you deliver?
Yes. We deliver free of charge within the UK Mainland. Cars and commercial vehicles (up to dispatch size) will normally be delivered by transporter, while relay vans will be driven due to their size.
What finance proposal information is required?
For private individuals, sole traders, partners and guarantors, the underwriters will require basic personal information, a minimum of 3-years’ residential and employment history, along with bank details. Limited companies and PLCs will need to provide standard company and banking details, along with director information if a guarantee is deemed necessary.
What proofs of ID are required?
Private individuals, sole traders, partners and signing company directors will need to provide a copy of the card part of their driving licence.
What paperwork do I need to sign?
You will be required to sign a contract and direct debit mandate. For companies, a condition of funding may be the requirement for a director(s) guarantee/indemnity, counter-signed by a non-related witness.
Can a new start company contract hire?
Subject to underwriting, yes. If a company has been incorporated for less than 3-years, director guarantee/indemnity will certainly be required.
What are the tax benefits of contract hire?
Contract hire is a tax efficient, off balance sheet method of funding a business vehicle, as the rentals can be offset against your taxable profits. For all vans, and cars emitting co2 of 160g/km or less, full tax relief is available on the rentals. Where a car's co2 exceeds 160g/km, tax relief is restricted to 85% of the rentals, although full relief may be claimed on the maintenance element of the rental.*
Additionally, if your business is vat registered, 100% of the vat payable on the finance element of the rentals may be recovered where the vehicle is either a van, or a car used solely for business purposes. Where the vehicle is a car used for business and private mileage, then only 50% of the VAT payable on the finance element of the rentals may be recovered. 100% of the VAT on the maintenance element is still recoverable on cars and vans.*
* subject to current legislation.