Make KIA Contract Hire and MITSUBISHI Contract Motoring the first place to arrange your contract hire. In a highly competitive market there are various providers of contract hire schemes, but a franchised dealer has full in house back up, free collection and delivery for servicing. As well as factory trained staff available at point of handover, and on wards throughout the remainder of the hire period. To ensure that Premier Kia and Premier Mitsubishi are the right people to supply your new car, we can also check quotes from the open market place if they offer any price advantages, and then advise which in our opinion is the best route for you. In any of the recommendations, Premier can still be the car provider and point of handover to maintain the main dealer experience.
BRIEF OUTLINE- contract hire
With Contract Hire you hire the vehicle for an agreed period of time (usually between 24 & 48 months) and pay a fixed rental based on the mileage you will do over the contract period. All payments are plus VAT of which 50% is recoverable. Up to 100% of the monthly rental can be offset against profits. Key benefits are a low deposit, lower monthly payments and fixed costs as maintenance can be included in the monthly payment.
SINCE 1995, leasing companies can reclaim the VAT on the purchase of the car, this means that you pay less per month because the interest charges are applied to the net of VAT price. For example a £20,000 car would be £17,021 without the VAT giving a substantial saving on interest charges. The depreciation of the car is based on the net of VAT cost price, immediately saving a significant amount of depreciation.
BRIEF OUTLINE- lease purchase
With lease purchase you purchase the car over a period of time, deferring an amount of the purchase cost by way of a balloon payment, usually equal to or lower than the expected sale proceed at the end of the contract. This allows for lower monthly payments than straight hire purchase. There is no VAT involved with a lease purchase agreement on a car. Key benefits of a lease purchase are lower deposit, no mileage restrictions, although you end up paying for the depreciation resulting from the mileage traveled. With lease purchase you have a means to own the vehicle.
BRIEF OUTLINE- finance lease
Finance lease involves leasing the vehicle for an agreed period of time ( usually between 24 & 48 months) and paying a fixed monthly payment until the end of the contract. Usually a lump sum final payment is set equivalent or lower than the expected sales proceeds of the vehicle ( balloon payment). All payments are subject to VAT of which 50% can be reclaimed. Maintenance cannot be included with finance lease. Key benefits of finance lease are low deposits, no mileage restrictions ( although you will end up paying for depreciation for the miles traveled). Finance lease offers the VAT advantages of contract hire. At the end of the contract the car must be sold to a third party, and the proceeds used to pay the final payment (balloon), if there is a shortfall then the customer would be liable to make this up, or if there is a surplus this is passed back to the customer.
DELIVERY THROUGHOUT THE UK BY OUR OWN FACTORY TRAINED STAFF, GIVING A PROPER HANDOVER AND EXPLANATION OF THE CAR.