Join PCP finance and you might run into the expressed word‘equity’. This means the difference between value between just how much your car or truck may be worth whenever you want in addition to amount that is outstanding owe through the automobile finance contract.
Consequently, in case the vehicle may be worth ?10,000 and you also have ?9,000 kept to pay, there’s ?1,000 worth of equity into the car. The higher the equity, the greater amount of cash you need to put towards a deposit in your next vehicle if you hand your old one back again to the dealer and move into another PCP scheme. Continue reading