The PCP industry is booming. Thousands of drivers every year walk off the showroom forecourt with a brand new motor and a freshly signed PCP agreement to go along with it.
An investigation into finance in the automotive sector has slammed used car dealers for a “£1.4 billion a year rip-off” after comparing the deals offered by 100 retailers across the UK.
FCA action to tackle perceived “conflicts of interest and irresponsible lending” in motor finance must be proportionate and not harm vehicle sales, according to NFDA director Sue Robinson.
The Bank of England has confirmed that it considering more stringent regulations which would usher in strict affordability checks in a bid to avoid a PCP-prompted financial crisis.
PCP deals dominated the plate-change month of March with 47.6% of new car buyers and 25.4% of used car buyers opting for the popular finance option.
NFDA Trusted Dealers is celebrating strong growth results from the first quarter of 2017 as buyers dwell for longer online and retailers benefit from increased quality leads.
The voluntary termination of personal contract purchase (PCP) and hire purchase agreements (HP) are at an all-time high, according to G3 Remarketing.
Carsnip is aiming to continue its growth with the addition of a new Pay Per Click (PPC) marketing product and the appointment of new faces within its digital marketing team.
The used car market is showing no signs of cooling down despite the high volume of PCP cars coming back into dealers as part exchanges, according to the Aston Barclay Group.
Cap HPI claims that only one in four dealers believe click to buy initiatives are a good for their business following research into the concept.
Suzuki, Nissan and Dacia continue to maintain the lowest monthly prices for car finance offers in Q1.
Industry commentators fear combination of sub-prime lending, currency fluctuations and Brexit could prompt a fall in residual values.
The best used car stock is now largely being sold online in a ready-to-retail condition to dealers.
The point-of-sale consumer used car finance market grew 12% by value and 9% by volume in October, compared with the same month last year, according to The Finance and Leasing Association.
Glass’s has predicted that the falling value of the pound is likely to see monthly PCP new car payments rise in 2017 as manufacturers look to recoup their losses.
The appeal of the PCP is central to a range of new finance products which have now been made available for the McLaren Sports Series through McLaren Financial Services.
PCP offers are luring car buyers to upgrade their cars more frequently, potentially creating an embarrassing cash shortfall, according to What Car?.
Classifieds business Gumtree Motors is relaunching its website and introducing new packages designed to help franchised dealers stand out in its listings.
More may need to be done to educate the rapidly rising number of PCP customers about the condition in which their lease car should be returned, says Glass's.
There can be no disputing the fact that personal contract purchase (PCP) deals have forced a shift in the UK motor industry.
Close Brothers Motor Finance is looking to grow its business this year with the help of used car PCPs in the independent dealer market.
PCP finance could be the next mis-selling scandal if salespeople haven’t been clear at the sale, warns The National Association of Commercial Finance Brokers.
Fears about the effects of a flood of used cars in a market propped-up by PCPs could mean that we are currently living in “the good old days”, a financial analyst has suggested.
A YouGov poll has highlighted a generation gap amongst car buyers with 44% of respondents aged 55 and over not visiting classified websites when buying a car.
The used car market is starting to reach the long-predicted tipping point into oversupply - with values coming under pressure as a result, reports Glass's.
