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Glossary - G, H, I
G
GAP Insurance
GAP - Guaranteed asset protection. A type of insurance policy to protect you in the event of a total loss claim. GAP insurance covers the difference between what the insurance company pays out and what you have outstanding on your car finance agreement. For a more detail decription of Gap insurance please check our GAP insurance page.
H
Hire Purchase
When refering to a car finance agreement this is normally what is implied. With a hire purchase agreement you borrow a agreed sum over an agreed term. Repayments are generally made monthly and include both captial and interest. The loan is also normally secure on the funded vehicle. Once all repayments have been made the title of the vehicle passes to the customer. hire purchase agreements can also be settled early.
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Typical APR 28.7%