What happens at the end of a Hire Purchase agreement?

Once all of your payments have been made, you’ll have the option to purchase the vehicle and become the legal owner. Up to this point, the lender is the legal owner of the car or van. If you choose to own the vehicle, you’ll most likely have to pay a small fee. This is known as an ‘Option to Purchase’ fee and is an administrative cost required to become the official owner and release the car from the finance company.