HONDA PCP FINANCE
PCP is a flexible funding solution that delivers peace of mind by guaranteeing a future value for your motorcycle. PCP is designed to keep your fixed monthly payments lower compared to other types of financing like Hire Purchase.
Who is PCP for?
PCP could be right for you if you’re looking for typically lower monthly payments than Hire Purchase (HP), prefer to change your motorcycle every 2–4 years, and want the flexibility of three options at the end of your agreement.
How PCP works
Choose the motorcycle you want and agree how much deposit you would like to put down.
Step 1
Estimate how many miles you will ride each year and agree how long you would like your agreement to run, between two and four years. It’s important to be as accurate as possible with your mileage estimate. We’ll then use this information to calculate a Guaranteed Future Value (GFV) which is our prediction of what your motorcycle will be worth at the end of the agreement. The GFV is deferred until the end of your agreement.
Step 2
Your monthly payments are worked out on the difference between the GFV and the price of the motorcycle, once your deposit has been deducted and interest added. This means you'll typically have lower monthly repayments than with Hire Purchase.
Step 3
At the end of your PCP agreement, you’ll have the flexibility of three options: return the motorcycle, pay the GFV to own it, or part exchange for a new Honda.
End of contract options
Return the motorcycle
As long as you're up to date with your monthly payments, you can hand your motorcycle back to us without paying the final payment (GFV). If you have exceeded your agreed mileage or the motorcycle is not in a good condition, then there may be additional charges to pay. Contact us on 0345 128 8908 to discuss.
Retain the motorcycle
You can keep the motorcycle. Pay the final payment (GFV) and the £10 option to purchase fee, and you will own the motorcycle outright.
Renew the motorcycle
You can part exchange your motorcycle and subject to market conditions, this should cover the amount of the final payment (GFV). Then together with your Honda dealer, you can start looking for your next Honda.
Don't worry... we'll write to you towards the end of your agreement and remind you about the options available to you.
View our Fair Wear and Tear Guide
Key features
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Typically lower monthly payments than Hire Purchase (HP).
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Guaranteed Future Value (GFV) protects against depreciation.
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Three end of contract options: return, retain, renew.
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Fixed interest rate for the duration of your agreement - monthly payments do not change.
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14 day right to withdraw.
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Can partially or fully settle early (subject to the terms of your agreement).
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You have the right to Voluntary Termination if your circumstances change.
Key considerations
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To own the motorcycle outright, you will need to pay all regular payments, the GFV and any option to purchase fee.
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Mileage limit applies — charges per mile plus VAT if exceeded.
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There may be additional charges if you decide to return your motorcycle to us.
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The Total Amount Payable is likely to be higher than a Hire Purchase (HP) agreement.
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You are not guaranteed to have any equity at the end of the agreement.
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If you choose Voluntary Termination, you will be required to pay any amount needed to reach half of the total amount payable under the agreement. If this amount cannot be paid in full, the outstanding balance may be recorded as a default on your credit profile.
Related FAQs
PCP is available on used motorcycles too
If you are buying a used motorcycle through a Honda dealer, Personal Contract Purchase may be an option for you. Availability depends on the age and condition of the motorcycle.
THE FINANCIAL CONDUCT AUTHORITY (FCA)
The FCA is the independent watchdog that regulates financial services. Please use this information to decide if our services are right for you.
We are authorised and regulated by the FCA and we act as a Credit Broker. Our FCA Reference Number is 668881. You can check this on the FCA’s Register by visiting the FCA’s website www.fca.org.uk/register or by contacting the FCA on 0800 111 6768.
Farnham Honda is the trading name for Bikenation MCS Limited, Unit 1 9a, Farnham Trading Estate, Farnham, Surrey, GU9 9NN.
DELIVERING A GOOD OUTCOME
We have an obligation to act to deliver good outcomes to our customers. We will do this by supporting you before, during and after the transaction. We will clearly explain to you any significant exclusion terms, all pricing information and your cancellation rights.
CONSUMER CREDIT DISCLOSURE
As a Credit Broker this means that we can introduce you to a limited number of lenders and their finance products. We act on behalf of the lender. We can provide you with a list of our lenders should you wish for. All our lenders are regulated by the FCA.
We do not charge you a fee for our services.
Whichever lender we introduce you to, we will typically receive commission from them. This will either be a fixed fee or a fixed percentage of the amount you borrow.
If you ask us what the amount of commission is, we will tell you in good time before the Finance agreement is executed. The lenders we work with could pay commission at different rates, but the commission we receive does not influence the interest rate you will pay. Our aim is to secure finance for you at the lowest interest rate you are eligible for from our panel of lenders.
All finance applications are subject to status which we will explain to you clearly.
Typically, the finance packages we offer are:
HP – Hire Purchase
PCP – Personal Contract Purchase
PCH – Personal Contract Hire
A full explanation for the different types of finance products available will be provided so you can make an informed choice. You will receive a quotation which will tell you about any other fees relating to your finance agreement made by your chosen lender.
WHAT TO DO IF YOU HAVE A COMPLAINT
If you wish to register a complaint, please contact us by email at cc@farnhamhonda.co.uk, by phone on 01252 8991800 or writing to The Complaints Team, Farnham Honda, 9A Farnham Trading Estate, Farnham, Surrey, GU9 9NN.
If you cannot settle your complaint with us, you may be entitled to refer it to the Financial Ombudsman Service.
See our Complaints Procedure
