What are the pros and cons of HP finance?

With a number of car financing options available to you, it’s important to first work out which one will best suit your needs.

What are the pros of HP finance?	What are the cons of HP finance?
Flexible repayment terms ranging from just 1 year up to 5 years (12 months to 60 months)	You are simply ‘hiring’ the vehicle until you make a final end-of-contract payment
Opt for a low upfront deposit (zero deposit deals can be sought by your broker, too)	If you don’t keep up with repayments, the lender can repossess the vehicle
You don’t necessarily need a good credit score to be approved for financing	The car or van cannot be changed or modified during the contract
High-mileage drivers can avoid annual mileage restrictions	Monthly payments tend to be higher compared to other finance options
You won’t need to pay a large ‘balloon payment’ in order to own the vehicle	The smaller the deposit and the shorter the term, the higher the monthly payments will be
Option to return the car once you’ve paid for at least half the cost	An expensive option if you want a short-term agreement