Why Finance with us?
Instead of making a single upfront payment for your motorcycle, we offer you the flexibility to purchase the bike using one of several different financing options. These financing choices enable you to spread the cost of the motorcycle over a period of time, typically three years, depending on your individual circumstances. Our available options include Hire Purchase (HP), Personal Contract Purchase (PCP), and Restricted Use Loans (Personal Loans), which are explained in detail below:
All our sales staff and senior management team are certified SAF Experts, specializing in Automotive Finance. They undergo regular training to maintain our high standards. Honda of Bournemouth is regulated by the Financial Conduct Authority (FCA), and we are committed to treating customers fairly across all aspects of our business. Whether you are purchasing a bike, seeking a service, or shopping for clothing, we will always provide you with information about the features and benefits of the relevant financing options that best suit your needs. This way, you can make an informed decision, knowing that you are dealing with a business that places the customer's interests at its core. Ultimately, we want you to return to us and share your positive experiences with friends and family.
Hire Purchase (HP)
A Hire Purchase agreement allows you to select the motorcycle you desire and agree on the initial deposit amount. The remaining cost of the motorcycle, along with interest, is then divided into equal monthly payments.
With Hire Purchase, the loan is secured against the motorcycle, and ownership is granted once all the monthly payments, along with the Option To Purchase fee, have been successfully made.
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Hire Purchase (HP)
Personal Contract Purchase (PCP)
A Personal Contract Purchase agreement allows you to select the motorcycle of your choice and determine the initial deposit amount. Based on your expected annual mileage and desired agreement duration, the finance company calculates a Guaranteed Future Value (GFV), which represents the predicted value of your motorcycle at the end of the agreement. This GFV is deferred until the end of your agreement, and your monthly payments are then calculated based on the difference between this amount and the total cost of the motorcycle (minus your deposit), along with interest. This results in lower, fixed monthly payments.
At the conclusion of your agreement, you have three options:
- Retain: You can own the motorcycle by paying the GFV and the Option To Purchase fee.
- Return: You have the option to return the motorcycle to the finance company without paying the GFV. However, if you have exceeded the agreed mileage or if the motorcycle is not in good condition, there may be additional fees to pay.
- Replace: You can choose to part exchange your motorcycle. This should cover the cost of the GFV, allowing you to begin searching for your next motorcycle with the dealership.
Please note that PCP may not be suitable for high-mileage users. Additionally, it's important to be aware that the total cost paid may be higher with PCP compared to other financing options.
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Personal Contract Payment (PCP)
Restricted Use Loan (RUL)
A Restricted Use Loan agreement allows you to select the motorcycle you desire and determine the initial deposit amount. The remaining cost of the motorcycle, along with interest, is then divided into equal monthly payments.
With a Restricted Use Loan, you become the legal owner of the motorcycle right from the beginning of the contract.
These mainstream finance options are available through several lenders, including Honda Financial Services, Close Brothers, MotoNovo, and First Response. If, for any reason, your application for mainstream 'Prime' finance is declined, we may still be able to offer you finance through one of our subprime brokers (subject to status). It's important to note that subprime finance rates are typically higher than our standard APR, so we would need to have a further discussion about increased payments and affordability before proceeding with this application process.
Honda of Bournemouth
5b Leyland Road
Poole
Dorset
BH12 5HB
01202 541220
info@hondaofbournemouth.co.uk