How does Hire Purchase work?
Buying a car with Admiral Hire Purchase is easier than you think
Get your dream car and choose terms that work for you.
Spread the cost of your car with 12-60 monthly fixed payments.
Remember – Hire Purchase doesn’t charge you for any excess mileage.
No hassle - We’ll talk to the dealership for you
Once the finance has been agreed, provide us with the details of the car dealership – we’ll sort out the rest and make the payment directly to the dealer.
Get behind the wheel of your new car
That’s it! Drive away in your dream car. Once you’ve made your final payment which includes the option to purchase fee you'll own the car outright.
Hire Purchase is split into three steps
What is Hire Purchase?
Hire Purchase (HP) is a way to pay for a vehicle without paying the full amount at the outset. You're essentially hiring the car over the period of the contract, with the option to buy it at the end.
You would be the 'registered keeper' of the car and would be responsible for insuring and maintaining it, but Admiral would remain the legal owner until the HP agreement has been repaid in full.
Your questions answered
What is the maximum length term for Hire Purchase?
The maximum term length we currently offer for a hire purchase agreement is 60 months.
Is there excess mileage charges with a Hire Purchase agreement?
Unlike PCP, with hire purchase there are no excess mileage charges.
Who is the registered keeper of the car with Hire Purchase?
During the term of the agreement, you would be the 'registered keeper' of the car and be responsible for insuring and maintaining it, but Admiral would remain the legal owner until the agreement has been repaid in full.
Where can I buy my car?
We work with the majority of UK dealerships that are authorised and registered by the Financial Conduct Authority
Everything you need to apply for HP
When you apply for HP with Admiral, you'll need to fill in:
- Your name and date of birth
- 3 years of address history
- Your loan amount
- Your contact details
- The date you want your monthly payments to leave your bank account
To apply you’ll need:
- The details of the car you're buying
- Your income, outgoings and employment history
- Your bank details
- The car dealer’s address and bank details
As a basis for qualification, you must be a permanent resident of England, Wales or Scotland, having lived in the UK for at least 3 years, be between the ages of 18 and 75, and with no recent history of bad credit such as County Court Judgements (CCJs), IVA or bankruptcy. The rate offered will depend on the amount you wish to borrow and your individual circumstances. You can apply for any amount between £1,000 and £35,000 for a period between 12 and 60 months.
APR stands for annual percentage rate. This is the total charge for the loan including fees and interest expressed as a percentage. The APR you are offered may differ from the representative example displayed, this is because each loan application is assessed on an individual basis. The maximum APR we offer is 29.9%.
Admiral Loans are administered and arranged by Admiral Financial Services Limited. Admiral Financial Services Limited is registered in England and Wales at Tŷ Admiral, David Street, Cardiff, CF10 2EH (Reg. No. 10255225). Admiral Financial Services Limited is authorised and regulated by the Financial Conduct Authority (Firm reference number: 771862). These details can be confirmed by visiting the Financial Services Register, www.fca.org.uk/register.
Please see our terms and conditions here.
AFSL are a member of the Finance and Leasing Association(FLA) who are an industry leader in promoting best practice within the motor finance, consumer and asset businesses in the UK. As a member we are subscribed to their Lending Code. Click here to download a copy of their Lending Code.
When you submit an application for a loan, we will conduct an application credit search which may affect your credit score, so you may wish to keep applications to a minimum to protect your credit rating.
If you have any queries about the manner in which your data is processed, please write to: Data Protection Officer, Admiral Financial Services Limited, Tŷ Admiral, David Street, Cardiff CF10 2EH.