A third of PCP buyers concerned about keeping up with payments

A third of Personal Contract Purchase (PCP) buyers are worried about keeping up with their finance payments, and this is affecting the type of cars they will buy next, new research by Britain’s leading new car buying platform and consumer champion, What Car?, has found.

In a survey of 8654 in-market car buyers, 33.7% of these looking to buy their next car on a PCP deal said they were concerned about keeping up with future monthly payments. Of these, 7.9% said they worried “a lot” about their ability to keep up with payments. 

The share of finance buyers concerned about keeping up with payments has gone up from a quarter in the first week of August.
 
What Car? also found 35.5% of Hire Purchase (HP) buyers are concerned about keeping up with finance payments, while a significant 42.6% of buyers taking out a bank loan to finance their car said they were concerned about making payments. 

Rachael Prasher, Managing Director of What Car?, said: “With a growing number of finance buyers concerned about keeping up with payments, it shows how uncertain the future economic outlook remains. It’s understandable buyers are worried about signing a four-year contract when there is so much uncertainty in the air. 

“There are positives to take, though, because PCP and Hire Purchase buyers are less worried than those taking out bank loans, which suggests car buyers find retailer offers more competitive than the terms and conditions of a personal loan.”

For further insight from whatcar.com’s unique website data, please contact insights@haymarket.com