| Term |
Description |
| Accident Management |
A central point to manage motorist claims after a road accident, windscreen damage, this includes vehicle recovery and loan vehicle supply, whether fault or no fault claim |
| All Wheel Drive (AWD) |
AWD is a powertrain capable of sending power to all its wheels, whether full time or on demand. |
| Annual Mileage |
The contractual maximum mileage allowed under the agreement. This is normally shown as annual or total mileage on your agreement. |
| BCH |
Business Car Leasing |
| Benefit in Kind (BIK) |
BIK is a tax applicable for drivers who receive the benefit of a company car from their employer. Its calculated using CO2 levels and the P11D value |
| BEV |
Battery Electric Vehicle |
| Business Contract Hire |
A finance method to allow you the use of a vehicle without ever owning the vehicle at the end of the contract. Designed for LLP or Ltd companies and VAT registered businesses |
| Breakdown Cover |
Normally covered by the manufacturer for the duration of the warranty. Also covered in maintained contracts |
| Car / Van Leasing |
A finance method to allow you the use of a vehicle without ever owning the vehicle at the end of the contract. |
| Cherished Number |
Private Registration Number |
| CO2 |
Carbon Dioxide emission level |
| Contract Term |
The length of your agreement - normally 24, 36, 48 or 60 months |
| Credit Decline |
This term is used by a finance company when they are not willing to lend money. Only you can find out the reason for the decline by writing to the credit reference agency which the funder has used. |
| Credit History |
This terms is a documented record of all financial transaction and how well they have been paid back over a set period of time. This shows how well you handle money or debt |
| Credit Rating |
This number is used by lenders to qualify your creditworthiness in general terms or to asses your financial obligations |
| Credit Reference Agency |
These agencies are used by finance companies to understand if you are eligible to be offered a finance product. Typically Experian, Equifax and TransUnion are used in the UK |
| Depreciation |
The amount of money lost from when a vehicle is bought, compared to its value on specific date and mileage (or when you sell it) |
| Early Termination |
This is a term used to bring an end to a contract/agreement before the end date. Charges will usually apply for early terminations |
| Estimated Delivery |
This is a date when our suppliers envisage your vehicle arriving from the factory based on information given to them by the manufacturer |
| Euro NCAP |
Euro New Car Assessment Programme provides consumers with information on the safety or a vehicle. The higher the rating (stars) the safe the vehicle. |
| EV |
EV is a term used to describe Electric Vehicles. These vehicles are powered by an electric battery and can be charged from an external source. Sometimes known as a BEV (Battery Electric Vehicle) |
| Excess Mileage |
A charge made by a finance company for any vehicle exceeding the original mileage given by the customer at the start of an agreement. Normally show as pence per mile |
| Factory Order |
A sale made for a vehicle which will be built specifically for a customers personal choices. These vehicle take typically 3-12 months to arrive |
| Finance Lease |
This method is a form of flexible leasing to fund the use, but not ownership, of a vehicle and is ideally suited to a VAT registered business. This is not a personal finance product |
| Fleet Management |
This is a process or managing both cars and commercial vehicles, ensuring the optimal performance of those vehicles, ensuring the operation is efficient, safe and cost effective. |
| Formal Extension |
A formal extension is an agreed extension between the contract holder and the finance company. A formal extension agreement must be signed for it to go ahead |
| Free Delivery |
All vehicles are delivered free of charge to any UK Mainland destination. These vehicles are driven. This excludes Northern Ireland and transported delivery. Please ask for further details |
| Fuel Consumption |
A car's fuel consumption is a measure of the miles driven per gallon or litre of fuel |
| GAP Insurance |
GAP (Guaranteed Asset Protection) insurance is designed to bridge the “gap” between the market value of your car at the time it is stolen or written off, and the amount you paid to buy it |
| Guaranteed Future Value (GFV) |
GFV is used when funding a vehicle via PCP (Personal Contract Purchase) and is based on a set period and mileage. This is a value you can use t purchase your vehicle. |
| Hire Purchase |
HP is a way to finace the purchase of a new or used vehicle. Normally a deposit is paid and you then pay of the value of the vehicle in monthly instalments, with the agreement secured against the vehicle. Interest and charges are added dependant of contract duration and mileage. |
| Hybrid Vehicle |
A vehicle that uses a combustion engine and an electric motor. Typically the vehicle cannot be plugged in to charge the battery. The battery is charged through regenerative braking and the internal engine |
| In Stock |
This terms has many meanings dependant on the company advertising the product, however in stock means a vehicle available for immediate delivery. |
| Informal Extension |
An informal extension describes the use of a vehicle past the contract end date/date the vehicle is to be collected. The term informal relates to there being an absence of an agreement in place. |
| Initial Rental |
The amount you pay before you take delivery of your vehicle. This is normally a multiplier of your monthly payment. 1, 3, 6, 9 or 12 months are normal |
| Insurance Group |
All UK vehicles belong to one of 50 car insurance groups, helping insurance companies set the premium you pay. Group 1 are the cheapest to insure and Group 50 are the most expensive. |
| Lease Purchase |
This is similar to Hire Purchase except the payments are structured like a lease agreement with customers making advanced payments rather than a deposit. A customer can own a vehicle outright after the agreement ends. |
| Maintenance |
This is a check used to ensure the smooth and safe running of your vehicle. Checks include gearbox, engine, suspension, body work amongst others. |
| Manufacturer OTRP |
The price shown on a manufacturers website, including VAT, VED and First Registration Fee |
| MHEV |
Mild Hybrid Electric Vehicle - commonly known as "start stop" vehicles |
| MOT Certificate |
Ministry of Transport Certificate is a document/test that confirms your vehicle is safe to travel on a public highway. Normally required after your vehicles 3rd anniversary and annually thereafter. |
| Motor Insurance |
an insurance product, required by law, to be in place on any motor vehicle if it is to be driven on a public highway. Fully Comprehensive insurance is required on any leased vehicle. |
| MPG |
Miles Per Gallon - the number of miles your vehicle can travel per gallon of fuel |
| No Deposit |
This term is used when you don’t have to pay a deposit at the start of an agreement. Normally, there is one initial rental required |
| P11D |
This is a value used for company car tax and its calculated using the manufacturers OTRP price (without any discount), plus factory options and including VAT |
| PCH |
Personal Car Leasing |
| PHEV |
Plug In Electric Vehicle |
| Payment Profile |
This is how your contract is calculated and the agreement if written. For example 3x35, 10,000 miles per annum, Full Maintenance |
| Personal Contract Hire |
Similar to Business Contract Hire except you include the VAT into the payments i.e. £300.00+vat (BCH) is £360.00 (PCH) inc VAT |
| Pre Registered |
The vehicle has already been registered with an owner. The vehicle is normally sill new and has not been driven |
| Private Registration |
A registration plate which is 100% unique to the driver |
| Processing Fee |
This is charged per agreement and this charge is to cover the costs of documents, processing and staff to arrange the agreement with the finance provider and the dealership |
| Remaining Rentals |
How many monthly rentals you have left before your contract expires |
| Reserve My Car |
When you "Reserve My Car" the vehicle is taken off our website for a period of 24 hours to allow us to see if it fits your requirements. |
| Residual Value |
This value is given to a vehicles worth after a certain period of time and mileage covered. Sometimes refer to as resale value |
| Service Intervals |
The duration in time for when your vehicle is required, as per the manufacturers guidelines, to receive a minor/major service. Refer to your owners manual |
| Stock Vehicles |
A vehicle which can be delivered within 28 days |
| Type 1 EV Charging |
The type 1 plug is a single-phase plug which allows for charging power levels of up to 7.4 kW (230 V, 32 A). Normally used for vehicles supplied via America or Asia. |
| Type 2 EV Charging |
The “Type 2” socket is the Europe-wide, universal socket for charging electric cars |
| ULEV |
Ultra Low Emission Vehicle |
| Used Vehicle |
A vehicle that has one or more private owners |
| VED / RFL |
Vehicle Excise Duty / Road Fund Licence - car tax |
| Vehicle Disposal |
This is a term used when a vehicle comes to the end of its contract. Vehicles are normally sold via an auction house to obtain the highest value |
| Vehicle Tracking |
A "black box" is fitted to your vehicle to enable the location of your vehicle to be shown at all times |
| Whole Life Cost |
This terms is used to calculate all the costs associated with your vehicle over a set period of time. This includes lease or purchase costs, maintenance, tyres, insurance and fuel. |
| WLTP |
Worldwide Harmonised Light Vehicle Test Procedure and is the name of the test used to determine the fuel efficiency of your vehicle |
