Deciding whether a Personal Contract Purchase (PCP) is worth it depends on your individual circumstances. If you don’t travel a lot of long distances, like to change car regularly, and are looking for low monthly repayments, then Personal Contract Purchase could be the right car finance option for you. However, if car ownership is important to you and you don’t want to worry about mileage restrictions then you might find a PCP deal may not be worth it for you.

PCP (Personal Contract Purchase) finance may require a good to excellent credit score, similar to other car finance options. Lenders offering PCP finance may have specific credit score requirements, but generally, a higher score could help secure more favourable terms and interest rates. If your score is lower, you may still be eligible with a higher deposit and a specialist lender. Credit is subject to status.

Whether a PCP agreement is better over three or four years depends on your individual circumstances and preferences. Opting for a shorter contract period, such as 3 years, typically means higher monthly payments but less overall interest paid. On the other hand, spreading the cost over 4 years may result in lower monthly payments but will accrue more interest in the long run.

Consider factors such as your budget, the depreciation rate of the vehicle, and how long you plan to keep the car when deciding between a 3-year or 4-year PCP agreement.

At Car Finance 247, we work with some lenders that could offer PCP car finance for used cars up to 10 years old, however maximum mileage restrictions are dependant on lender.