Finding a car that fits your budget and meets your needs can be a real challenge. But what if we told you that you could drive away in a brand-new car for less than £100 a month? Yes, it’s possible! Thanks to Personal Contract Purchase (PCP) deals, you can enjoy the benefits of a new vehicle without the hefty price tag. In this article, we’ll explore the best PCP car deals for under £100 a month, perfect for anyone looking for a budget-friendly option.
What is PCP?
Before diving into our top picks, let’s quickly break down what PCP is. Personal Contract Purchase (PCP) is a type of car finance that allows you to pay an initial deposit followed by monthly payments over an agreed period, typically 24 to 48 months. At the end of the term, you have three options:
- Pay the final balloon payment to own the car outright.
- Return the car to the dealer with nothing more to pay (subject to mileage and condition).
- Trade-in the car and use any equity as a deposit on your next vehicle.
With that out of the way, let’s explore some fantastic car deals that won’t break the bank!
Top PCP Car Deals Under £100 a Month
1. Kia Picanto
- Monthly Cost: £99
- Deposit: £1,000
- Mileage Allowance: 8,000 miles/year
The Kia Picanto is a compact city car that packs a punch. Despite its small size, it offers a surprisingly spacious interior, excellent fuel economy, and a host of features such as a touchscreen infotainment system and advanced safety features. It’s perfect for city dwellers or first-time car buyers.
2. Fiat 500
- Monthly Cost: £95
- Deposit: £1,200
- Mileage Allowance: 10,000 miles/year
Stylish and iconic, the Fiat 500 is a perennial favorite. Its retro design, combined with modern tech, makes it a great choice for those who want to stand out on the road. Plus, it’s incredibly easy to park and maneuver in tight city spaces.
3. Hyundai i10
- Monthly Cost: £99
- Deposit: £1,500
- Mileage Allowance: 9,000 miles/year
The Hyundai i10 is known for its reliability and practicality. This small hatchback offers a comfortable ride, plenty of boot space for its class, and a solid build quality. It’s an excellent all-rounder that suits various driving needs.
4. Toyota Aygo
- Monthly Cost: £98
- Deposit: £1,300
- Mileage Allowance: 8,000 miles/year
The Toyota Aygo is a fun and quirky option with a bold design. It comes with a range of customization options, allowing you to personalize your ride. Additionally, it boasts low running costs and Toyota’s reputation for reliability.
5. Peugeot 108
- Monthly Cost: £99
- Deposit: £1,000
- Mileage Allowance: 8,000 miles/year
Compact and chic, the Peugeot 108 offers a stylish exterior and a comfortable interior. It’s equipped with modern features like a touch-screen display and smartphone connectivity. This car is perfect for those who want a mix of style and substance.
Why Choose PCP?
Opting for a PCP deal has several advantages:
- Lower Monthly Payments: Compared to other finance options, PCP generally offers lower monthly payments.
- Flexibility: At the end of the contract, you can choose to keep the car, return it, or trade it in.
- Newer Cars: PCP allows you to drive a newer car more often, enjoying the latest features and technologies.
Tips for Choosing the Best PCP Deal
- Consider the Deposit: A higher deposit can lower your monthly payments.
- Mileage Limitations: Be realistic about your annual mileage to avoid excess mileage charges.
- Condition Requirements: Keep the car in good condition to avoid additional charges at the end of the term.