PERSONAL CONTRACT PURCHASE

HONDA PCP FINANCE

PCP is a flexible funding solution that delivers peace of mind by guaranteeing a future value for your motorcycle. PCP is designed to keep your fixed monthly payments lower compared to other types of financing like Hire Purchase.

Who is PCP for?

PCP could be right for you if you’re looking for typically lower monthly payments than Hire Purchase (HP), prefer to change your motorcycle every 2–4 years, and want the flexibility of three options at the end of your agreement.

How PCP works

Choose the motorcycle you want and agree how much deposit you would like to put down.

Step 1

Estimate how many miles you will ride each year and agree how long you would like your agreement to run, between two and four years. It’s important to be as accurate as possible with your mileage estimate. We’ll then use this information to calculate a Guaranteed Future Value (GFV) which is our prediction of what your motorcycle will be worth at the end of the agreement. The GFV is deferred until the end of your agreement.

Step 2

Your monthly payments are worked out on the difference between the GFV and the price of the motorcycle, once your deposit has been deducted and interest added. This means you'll typically have lower monthly repayments than with Hire Purchase.

Step 3

At the end of your PCP agreement, you’ll have the flexibility of three options: return the motorcycle, pay the GFV to own it, or part exchange for a new Honda.

End of contract options

Return the motorcycle

As long as you're up to date with your monthly payments, you can hand your motorcycle back to us without paying the final payment (GFV). If you have exceeded your agreed mileage or the motorcycle is not in a good condition, then there may be additional charges to pay. Contact us on 0345 128 8908 to discuss.

Retain the motorcycle

You can keep the motorcycle. Pay the final payment (GFV) and the £10 option to purchase fee, and you will own the motorcycle outright.

Renew the motorcycle

You can part exchange your motorcycle and subject to market conditions, this should cover the amount of the final payment (GFV). Then together with your Honda dealer, you can start looking for your next Honda.

Don't worry... we'll write to you towards the end of your agreement and remind you about the options available to you.

View our Fair Wear and Tear Guide

Download our brochure

Key features

Typically lower monthly payments than Hire Purchase (HP).
Guaranteed Future Value (GFV) protects against depreciation.
Three end of contract options: return, retain, renew.
Fixed interest rate for the duration of your agreement - monthly payments do not change.
14 day right to withdraw.
Can partially or fully settle early (subject to the terms of your agreement).
You have the right to Voluntary Termination if your circumstances change.

Key considerations

To own the motorcycle outright, you will need to pay all regular payments, the GFV and any option to purchase fee.
Mileage limit applies — charges per mile plus VAT if exceeded.
There may be additional charges if you decide to return your motorcycle to us.
The Total Amount Payable is likely to be higher than a Hire Purchase (HP) agreement.
You are not guaranteed to have any equity at the end of the agreement.
If you choose Voluntary Termination, you will be required to pay any amount needed to reach half of the total amount payable under the agreement. If this amount cannot be paid in full, the outstanding balance may be recorded as a default on your credit profile.

You select a term and an annual mileage and based on this; we’ll calculate what we think your motorcycle will be worth at the end of this term. This amount is the GFV and is deferred to the end of your agreement. Your monthly payments are worked out on the difference between the GFV and the price of the motorcycle. This means you typically have lower monthly payments than with Hire Purchase. At the end of the agreement you have the flexibility of three options.

What counts as fair wear and tear?

Fair wear and tear occurs when normal use causes acceptable deterioration to the motorcycle's condition at the end of a contract or finance agreement. Fair wear and tear is not to be confused with damage, which occurs as a result of a specific event or series of events. These include impact, harsh treatment, negligent acts or failure to service the motorcycle in accordance with the manufacturer’s recommendations and any applicable warranty. For full information please see our

Can I end my PCP early?

Yes. You can make lump-sum repayments as often as you like or pay off the whole amount early. This could reduce the amount of interest due – in which case, you’ll get a rebate based on a statutory formula set out in the Consumer Credit Act 1974 (CCA). If you make a lump-sum payment, you have three options: reduce the final amount due at the end of the agreement, reduce the term of the agreement, or reduce your monthly payments. There is no penalty for settling early. Please call Customer Support on 0345 128 8908 and we will be happy to give you a settlement quotation

What if I go over my contracted mileage?

Mileage allowances are agreed with you prior to entering your agreement. Where the mileage allowance has been exceeded and you chose to return the motorcycle at the end of your PCP agreement, charges are applicable on a per mile [+ VAT] basis. This charge is due upon returning the motorcycle. Please note, it is important to be as accurate as you can when setting your annual mileage for your PCP agreement. This will reduce the likelihood of incurring excess mileage charges.

PCP is available on used motorcycles too

If you are buying a used motorcycle through a Honda dealer, Personal Contract Purchase may be an option for you. Availability depends on the age and condition of the motorcycle.

Kawasaki Newcastle,
Eslington Park,
Ellison Rd,
Dunston,
Gateshead
NE8 2QU
0191 272 3830

Admin Login Privacy & Cookies

Newcastle Motorcycles are licenced by the FCA (registration number 660607) as a non-independent credit broker. Newcastle Motorcycles has access to a limited number of lenders as a non-independent credit broker. Finance available subject to credit acceptance to UK residents aged 18 or over. Guarantees and indemnities may be required. Terms and conditions apply. Offer may be varied, withdrawn or extended at any time. All figures are correct at time of publication but may be subject to change. What does this mean? Essentially, we’re non-independent because we only work with a limited number of finance providers and cannot search nor advise on the whole market for your best option to fit your circumstances. What’s a credit broker? We make introductions on your behalf to a limited number of lenders, but we are not the lender itself. Meaning for example, when you take out finance on a new Honda motorcycle we may introduce you to Honda Finance Europe (the lender) and your finance agreement is between you and them. We are not an independent financial advisor. We may advise you on the products, subject to your personal circumstances, though you are not obliged to take our advice or recommendation. What about fees and commission? We don’t charge you a fee for an introduction to a lender, however the lender typically may pay us commission for a successful introduction. We do not charge you a fee for our services. Whichever lender we introduce you to, we will typically receive commission from them (either a fixed fee or a fixed percentage of the amount you borrow). The lenders we work with could pay commission at different rates. However, the amount of commission that we receive from a lender does not have an effect on the amount that you pay to that lender under your credit agreement.” All of our finance is offered at the same rate to each customer, we don’t vary the rate. How am I scored? Different lenders have different methods of scoring you for your suitability of your finance application. We are not privy to the score, nor how they arrive at it. We only get notification of an acceptance, referral or decline. If you want to speak to any of the finance providers, their details are below. If you want to make a complaint Please telephone or write to the following address in the first instance. We’ll endeavour to resolve any complaint quickly and painlessly. If you want to write to the finance houses directly, please see the details below Newcastle Motorcycles Ltd, Dealer Principal, 195-199 Scotswood Road, Newcastle. NE4 7DD Tel: 0191 282 2868