PCP Early Settlement Calculator

How to use the PCP early settlement calculator?

All you need is a few details from your PCP agreement – we’ll take care of the rest. Our simple calculator will work out if you’re eligible for voluntary termination, which means you can end your agreement without any extra charges.

If you’re not eligible for voluntary termination, we’ll show you how much you will need to pay before you reach this point, plus how long it will take. This is known as an early settlement figure.

The details we need are:

• Your total PCP loan amount, including the balloon payment (also known as the guaranteed minimum future value) and any admin fees.
• How long your contract lasts in years.
• How much you pay each month for your deal, usually called the monthly instalment or payment.
• How many instalments you’ve paid since your deal began.

That’s it – we’ll use this information to work out if you can end your PCP early, without the hassle.

What is voluntary termination?

Voluntary termination is your legal right to cancel a PCP deal after you’ve paid 50% of the total loan. That’s not necessarily halfway through your payment schedule, as it includes the balloon payment, admin fees, plus interest on the original loan. This is normally agreed upfront with your dealer and should be outlined in your agreement.

Once you’ve paid 50% or more of the entire loan, you can legally end the contract early. Be aware that you may be charged an admin fee for cancelling, so make sure to check with the finance company first. If you’ve damaged the car beyond standard wear and tear or exceeded your mileage limit, you will also need to pay more.

What is early settlement?

If you haven’t reached the 50% stage, you won’t be able to cancel your PCP agreement through voluntary termination. Instead, our calculator will give you an early settlement figure, which is the amount you will need to pay to reach the 50% mark. You usually must pay the early settlement figure in full, plus any cancellation fees outlined in your contract with the finance company. Damage charges and excess mileage fees also still apply.

I can’t afford my PCP deal, what should I do?

If you’re ineligible for voluntary termination and can’t pay the early settlement figure, you should still contact the finance company. They may be able to reduce the amount you pay each month by extending your contract term. Or they might have other options available – it’s best to get in touch with them to see if you can work something out.

I can end my PCP early, but I still need a car

If you’re able to cancel your PCP agreement early but you still need a car, why not consider leasing? You can drive a brand-new car, make fixed monthly payments and when the contract ends, you simply return the vehicle. There’s no balloon payment and depreciation costs are already factored into the price.

Learn more in our guide on the differences between PCP and leasing. Or if you’re ready to choose your next car, see our lowest prices available in our special offers.