Funding Methods - Personal Contract Purchase

Advantages:

Ø Low initial outlay.
Ø Customer has the option to either purchase or return the vehicle at the end of the contract.

Disadvantages:

Ø Personal Contract Plan is not as tax effective compared with Personal Contract Hire and is usually more expensive.

Summary:
Personal Contract Purchase is becoming more and more popular with employees, constantly looking at their tax liabilities in relation to company motor cars.