Lease Purchase (LP)

Car finance option Lease Purchase (LP) is a type of car finance agreement where you can defer some of the total cost to the end of the agreement, called a balloon payment. Unlike with a Personal Contract Purchase agreement, you have to pay the balloon payment at the end of a Lease Purchase finance package.

"Reducing the cost of monthly payments made things easier."

“I was looking for a car finance package where I wouldn’t have to spend too much on the monthly payments. Being able to defer most of the cost to the end of the deal made the Lease Purchase option the best for me. This way I can enjoy my new car without spending too much each month.”

- Nathan from Stoke-Upon-Trent

Lease Purchase: Key Features

  • Available for all credit ratings
  • Monthly payments are fixed
  • Can defer up to 31% of the payment to end of the finance agreement
  • Balloon payment must be paid at the end
  • Balloon payment based on residual value
  • No VAT on payments
  • Own the car at the end of agreement.

Not sure if Lease Purchase is suitable for you?

We discuss LP in more detail over at our car finance glossary page and include common question and answers on this car finance option, please visit:
Lease Purchase explained.

Speak to one of our Customer Advisors who will be happy to discuss your car finance options with you. Call 0800 1777 290 or apply today.

Alternatively, if you'd like to learn more about the other car finance options available, please visit our Car Finance Options tool.

Got a question for us?

If you require further assistance, our team of Customer Advisors are here to help. We're open six days a week - you can view our opening hours here - and we're more than happy to answer your questions.