Contract hire

Oscar Jacobs Contract Hire

Oscar Jacobs offer the complete contract hire service for your business. Contract Hire is a credit agreement between any trading business (sole trader, LLP, Ltd or PLC) and a finance company. The finance company owns the vehicle, and the leasee is essentially paying for the depreciation in value of the vehicle during the contract duration. Therefore to get the best lease prices possible, businesses should look to take out a contract on cars which hold their value well over time. There are many benefits for a business investing in contract hire compared to finance purchasing. 

Initial Payment – This is your first payment which is usually due around 7-10 days after you actually receive your vehicle. It is a larger amount than the rest of your payments throughout the lease contract. It will be calculated in a multiple of your “standard” payments (usually 3, 6 or, in rare cases, 9 times the amount).

Number of Monthly Payments – As standard car leasing contracts last either 2, 3 or 4 years, this is split down into monthly payments so you can select your contract length as required.

Miles Per Annum – On every contract there is an agreed amount of miles that the user is allowed per year. However, the mileage use isn’t checked until you return the car at the very end of your contract; so as long as you average out to your selected miles per annum there won’t be any issues. If you do go over your limit, there will be a small surcharge per mile. This varies from car to car so check with your sales advisor for specific models.

Maintenance – This is an optional extra which covers all routine maintenance, servicing, tyres, batteries, exhausts and any necessary car repair costs but not accident damage.

Colour Preference – You can choose your preference of paint colour for most vehicles. However leaving this blank will allow the sales person to source multiple options for faster delivery. Note: metallic paint may cost extra.

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