| Terminology | Description |
|---|---|
| AIA | Abbreviation of Annual Investment Allowance |
| Balloon Payment | Final payment to be made on a particular type of finance agreement |
| BVRLA | British Vehicle & Rental Leasing Association |
| Early Settlement | Ending your agreement early and paying any outstanding fees |
| Equity | The value in the vehicle after all fees have been made |
| Excess Mileage | Miles in the vehicle over that agreed as part of your contract |
| Fair Wear and Tear | The accepted condition of a vehicle as a result of normal use as defined by the BVRLA |
| Finance Lease | Also known as Van Leasing |
| Funder | The finance company |
| HP | Abbreviation for Hire Purchase |
| Optional Final Payment | Final payment due at the end of a Contract Purchase agreement |
| Peppercorn Rental | Alternative terminology for Secondary Rental Period |
| Rental | The monthly payment as agreed with the finance company |
| Residual Value | The vehicle's estimated future value based on certain criteria, such as age, condition and mileage |
| Secondary Rental Period | A requirement in order to keep the vehicle past the original agreed term on Finance Lease |
| Term | The period of the finance agreement |
| Title | Owner of the vehicle |
| Van Leasing | Also known as Finance Lease |
We're open again today at 9am to talk to our experts.
Or chat to iVan 24/7