Lease Purchase | Norton Way Nissan

Lease Purchase

Taking Hire Purchase And Increasing The Flexibility To Suit Your Needs

Lease Purchase takes the concept and benefits of Hire Purchase and adds the flexibility of an optional deferred large sum (balloon) payment. This deferred lump sum can reduce your monthly payment, or reduce your contact length.

​What Are The Benefits?

  • Fixed monthly rentals for ease of budgeting
  • Monthly payments are not subject to VAT
  • No mileage restrictions
  • Option to include a deferred sum / final 'balloon' payment to keep monthly payments low 
  • Taxation benefit from writing down allowance 
  • LCV's acquired on Lease Purchase should be eligible for the Annual Investment Allowance 
  • LCV's acquired on Lease Purchase are required to pay VAT upfront as a lump sum

How Does It Work?

  1. You pay an initial deposit followed by a fixed number of monthly payments over an agreed contract period.
  2. Monthly payments can be reduced by making a 'balloon' payment at the end of the agreement.
  3. The amount of the 'balloon' payment has to be settled at the beginning of the contract.