ALPHERA hire purchase car finance
ALPHERA hire purchase (HP) allows you to make fixed monthly payments towards owning your own vehicle, without a contractual mileage limit.
ALPHERA hire purchase is a type of vehicle finance that lets you spread the cost of a new or used vehicle over an agreed period. After paying a deposit, you make fixed monthly payments that include interest and fees.
Once you have made all required payments and paid the option-to-purchase fee, ownership of the car passes to you.
Unlike personal contract purchase (PCP), hire purchase does not include a Guaranteed Future Value (GFV) or optional final balloon payment. There is also no contractual annual mileage limit, although the condition and mileage of the car may still affect its future value.
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Is hire purchase right for you?
ALPHERA hire purchase may suit you if you know you want to own the car and would prefer fixed monthly payments without an optional large final payment. It can also be useful if you expect to drive frequently and do not want an agreed annual mileage allowance.
It may be less suitable if keeping monthly payments as low as possible is your main priority, or if you want the flexibility to return the car at the scheduled end of the agreement instead of owning it. In those circumstances, PCP may be worth considering.
How does ALPHERA hire purchase work?
With ALPHERA hire purchase, you choose your car, deposit and agreement term before making fixed monthly payments towards ownership. Here’s how it works:
- Choose your car
Select the new or used car you want to finance through an ALPHERA retailer. - Choose your deposit and agreement term
Decide how much deposit you would like to pay and how long the agreement will last. Agreements generally run from 24 to 60 months. - Make fixed monthly payments
Your monthly payments are calculated using the amount borrowed, the agreement term, deposit, interest and any applicable fees. - Become the owner
Once you have made all required payments and paid the option-to-purchase fee, ownership of the vehicle passes to you.
What happens at the end of a hire purchase agreement?
At the end of your ALPHERA hire purchase agreement, you will own the provided all payments have been made.
Once you own it, you can keep the vehicle or choose to part-exchange or sell it.
Please note, ALPHERA remains the legal owner of the vehicle during the agreement. If you do not keep up with your repayments, ALPHERA may be entitled to recover it.
MyALPHERA Finance
The easiest way to manage your motor finance
With the MyALPHERA Finance portal, you’ll find all the help you need to manage your finance agreement, whenever you need it. It's free and simple to register – ready to get started?
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- View and manage multiple finance agreements
- Request a settlement figure and make an online payment*
- Edit your personal details
- Manage your documents
- Request partial early repayment*
- Update your bank details and amend your payment date
- Manage your options at the end of your agreement**
- View your payment summary
- Manage your marketing preferences
- Mileage calculator available***
*Excludes Personal Contract Hire Customers.
**Applies to Select and Hire Purchase customers only.
***Available for Select and Personal Contract Hire customers only.
Frequently asked questions
HP stands for hire purchase. It is a type of car finance where you pay a deposit followed by fixed monthly payments. Once all required payments and the option-to-purchase fee have been paid, you own the car.
No. ALPHERA Financial Services owns the car during the agreement. Ownership passes to you once you have made all required payments and paid the option-to-purchase fee.
There is no annual mileage allowance written into an ALPHERA Hire purchase agreement. However, higher mileage may affect the car’s condition and resale or part-exchange value.
Hire purchase does not include the optional balloon payment associated with PCP. An option-to-purchase fee is payable at the end before ownership passes to you.
You can request a settlement figure if you are considering ending your agreement early. The amount required will depend on your agreement and payments made to date. You can request a settlement figure through MyALPHERA Finance or contact ALPHERA for support.
With hire purchase, your fixed monthly payments go towards owning the car, and ownership passes to you after all required payments and the option-to-purchase fee have been paid. PCP usually offers lower monthly payments because part of the vehicle’s cost is deferred as an optional final payment, with a choice to keep, part-exchange or return the car at the end.
Yes. ALPHERA hire purchase is available for new and used cars, subject to the vehicle, lending criteria and your individual circumstances.
ALPHERA Select personal contract purchase (PCP)
Looking for lower monthly payments and more flexibility at the end of your agreement? ALPHERA Select PCP gives you the choice to keep, part-exchange or return the car.
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