“Can I get a discount for early settlement ?” is a commonly asked question in relation to leasing and hire purchase facilities. The answer depends on the type of finance agreement, the actual finance company and their policies.
If you have an non regulated finance agreement don’t expect big discounts, especially if you are tied in on a fixed rate deal. As a rule of thumb most finance companies will provide a 4% discount for early settlement for a non regulated fiance agreement however they are not obliged to. You are more likely to get a discount on a hire purchase agreement as opposed to a lease.
However we dont think there are not big savings to be gained. As they say “cash is king so you may as well leave the cash in he bank for a rainy day!
Tags: hire purchase, leasing