We are the chosen providers of vehicle finance for the Mitsubishi dealer network, with a range of hire purchase and contract hire products

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1 Your new VEHICLE Your new car Find the right finance product for you with a range of options from Finance and Contract Motoring. Drive away in your new or used vehicle with a finance arrangement that is right for you. You might not even need a deposit, and our interest rates are fixed for the duration of the agreement so you can budget more easily. Our range of finance choices means you can find the right one to suit you. We are the chosen providers of vehicle finance for the dealer network, with a range of hire purchase and contract hire products Let s take a closer look at your options

2 Your new car WHAT IS vehicle FINANCE? Our finance helps to spread the cost of a new or used vehicle. Instead of paying the full amount upfront, you pay monthly plus interest. dealers offer a range of finance products to suit individual preferences and circumstances, such as Hire Purchase, Personal Contract Purchase, Lease Purchase, Business Contract Hire and. Finance is subject to status and is only available to UK residents aged 18 and over. Credit products are provided by Shogun Finance Limited, trading as Finance, 116 Cockfosters Rd, Barnet, EN4 0DY. Contract Hire and products are provided by Spitalgate Dealer Services Limited, which also trades as Contract Motoring, Watermoor, Cirencester, GL7 1LF. How does it work?

3 HOW WORK? YourDOES newitcar The Products Your Options Payment Duration Each of these products works a little differently, but in general terms we will buy the vehicle on your behalf and then you will repay the amount borrowed, plus interest. Own the vehicle at the end of the agreement (except Contract Hire) Or drive a new vehicle for a set term, handing it back at the end.* This is an option under Personal Contract Purchase (PCP*) and is the only option available under Contract Hire. You would typically pay a deposit, and make monthly payments from 1-5 years to tailor the finance to meet your budget. The finance agreement is secured against the vehicle for the duration of the agreement, which means the vehicle will be owned by us until the final payment has been made, except in the case of Contract Hire products where there is no option to own the vehicle. *Under our PCP product, you have the option at the end of the agreement to return the vehicle and not pay the final lump sum payment. If the vehicle is in good condition and has not exceeded the allowed mileage, you will have nothing further to pay. If the vehicle has exceeded the allowed mileage, a charge for excess mileage will apply.

4 OUR PRODUCTS KEY CUSTOMER INFORMATION Hire Purchase Personal Contract Purchase (PCP) Lease Purchase Contract Hire/ Flexible deposit options - 0% deposit may be available subject to status Flexible deposit options - 0% deposit may be available subject to status Flexible deposit options - 0% deposit may be available subject to status Advance Rental from 1 21 months. Maximum Age of the vehicle at the Start of the Agreement 10 years old. 3 years old. 3 years old. New Only. Length of the Agreement 1 5 years years. 2 4 years. 2 5 years. You own the vehicle, you can still part exchange.* Renew and part exchange.* Retain and pay the final lump sum to own the vehicle. Return the vehicle (under the goods return option).** Renew - Part exchange.* Retain - Pay the outstanding lump sum to own the vehicle. Return the vehicle. Deposit Required Ownership Options at the End of the Agreement Fixed Payments No Mileage Restrictions Optional Maintenance Large Lump Sum Payment at the End of the Agreement Fully Comprehensive Insurance Required * Part exchange is subject to settlement of your existing finance agreement, new finance agreements are subject to status. ** You have the option at the end of the agreement to return the vehicle and not pay the final lump sum payment. If the vehicle is in good condition and has not exceeded the allowed mileage, you will have nothing further to pay. If the vehicle has exceeded the allowed mileage, a charge for excess mileage will apply.

5 THE VEHICLE YOU WANT AND PAYMENTS TO SUIT YOUR BUDGET WITH FINANCE MITSUBISHI... HIRE PURCHASE Hire Purchase could help you buy your dream vehicle whilst spreading the cost. Agree an initial deposit, agreement term and monthly payment amount with your dealer, who will then submit the finance application to us. Subject to your application being approved, you can just drive it away after you ve made all the payments, including interest, the vehicle s all yours. How it works

6 3 Choose your new or used vehicle. How it Works 3 Borrow any amount from 1,500 for new or used vehicles. 3 Set payments to suit your budget. 3 Vehicles up to 6 years old - repay over 1 5 years. 3 Vehicles 6 to 10 years old - repay over 1 4 years. 3 Flexible deposit options 0% deposit may be available subject to status. What you will pay

7 WHAT WILL YOU PAY Flexible Deposit Options 0% deposit may be available subject to status BALANCE (plus fixed interest) PAY OVER THE CHOSEN PERIOD 1 5 YEARS IN EQUAL MONTHLY PAYMENTS AFTER ALL THE PAYMENTS HAVE BEEN MADE, you own the VEHICLE What you need to know

8 WHAT YOU Need to Know CUSTOMER RISKS Customer Benefits 3 Fixed regular repayments easier budgeting. 3 Ownership you own the vehicle outright at the end of the agreement. 3 Choice - choose any new or used vehicle up to 10 years old. 3 Flexible terms variable deposits and periods available. 3 You have Termination and Satisfactory Quality Rights. 3 Ownership you do not own the vehicle until the final payment is made. 3 Repossession your vehicle is at risk of repossession if you do not maintain the contractual payments. 3 Insurance - you must have fully comprehensive cover.

9 Personal Contract Purchase (alternatives) With our Personal Contract Purchase (Alternatives), you can keep your monthly payments lower, by deferring a significant proportion of the amount of credit to the final payment at the end of the agreement. Agree an initial deposit, how many miles you are likely to travel each year and agreement term, your dealer will calculate the Guaranteed Future Value (GFV) for your vehicle, confirm your monthly payment and submit an application to us. Subject to your application being approved, you can just drive your vehicle away. Your options at the end of the agreement: 1) Renew - part exchange your vehicle for a new one via your dealer, subject to settlement of your existing finance agreement; new finance agreements are subject to status. 2) Retain - pay the final lump sum payment to own the vehicle. 3) Return - return the vehicle to Finance under the Goods Return Option, instead of paying the final lump sum payment. If the vehicle is in good condition and has not exceeded the allowed mileage, you will have nothing further to pay. If the vehicle has exceeded the agreed mileage, a charge for excess mileage will apply. How it works

10 PURCHASE 3 Choose your new or used vehicle. 3 Borrow any amount from 1,500 for new or used vehicles. 3 Set payments to suit your budget. 3 Repay over years. 3 Flexible deposit options 0% may be available subject to status. 3 Personal Contract Purchase is available to Limited Companies on a non regulated basis. 3 For used vehicles up to 3 years old the maximum permitted vehicle mileage at the start of the agreement is 3,000 miles per month of age or 60,000 miles 3 Set your annual mileage - up to 24,000 miles a year. 3 Guaranteed Future Value if the vehicle is returned to us under the Goods Return option. NB: not available on light commercial vehicles. How it Works What you will pay

11 PURCHASE WHAT WILL YOU PAY Flexible Deposit options 0% deposit may be available subject to status BALANCE (plus fixed interest) PAY OVER THE CHOSEN PERIOD YEARS IN EQUAL MONTHLY PAYMENTS At the end of your chosen period YOU HAVE 3 Options: 1 Renew - part exchange it for a new model* 2 Retain - pay the final lump sum to own the vehicle 3 Return - Return the vehicle to Finance (under the goods return option)** * Subject to settlement of your existing finance agreement, new finance agreements are subject to status. ** If the vehicle is in good condition and has not exceeded the allowed mileage, you will have nothing further to pay. If the vehicle has exceeded the allowed mileage, a charge for excess mileage will apply. What you need to know

12 PURCHASE WHAT YOU Need to Know Customer Benefits CUSTOMER RISKS 3 Fixed low repayments easier budgeting. 3 GFV protection protection from falls in used vehicle values under the Goods Return option (if you hand the vehicle back). 3 Flexible terms variable deposits, periods and mileage available. 3 You have Termination and Satisfactory Quality Rights. 3 Ownership you do not own the vehicle until the final payment is made. 3 Deferred payment a significant proportion of the credit is deferred until the end of the agreement, you should prepare for this if you want to own the vehicle. 3 Repossession your vehicle is at risk of repossession if you do not maintain the contractual payments. 3 Insurance you must have fully comprehensive cover.

13 LEASE PURCHASE Lease Purchase is similar to a Personal Contract Purchase (PCP) - you can keep your monthly payments lower, by deferring a significant proportion of the amount of credit to the final payment at the end of the agreement, but do not have the option to return the vehicle to Finance at the end of the agreement. Agree an initial deposit and agreement term, your dealer will then calculate your final payment and confirm your monthly payment and submit an application to us. Subject to your application being approved, you can just drive your vehicle away. Your options at the end of the agreement: 1) Part exchange your vehicle for a new one via your dealer, subject to settlement of your existing finance agreement, new finance agreements are subject to status. 2) Pay the final lump sum payment to own the vehicle. Lease Purchase is often used by customers and limited companies who don t want to be bound by mileage restrictions. Lease purchase is only available to limited companies on a non regulated basis. Please see the glossary for an explanation of regulated and non regulated agreements. How it works

14 3 Choose your new or used vehicle. How it Works 3 Borrow any amount from 1,500 for new or used vehicles. 3 Set payments to suit your budget. 3 Repay over 2 4 years. 3 Flexible Deposit Options - 0% deposit may be available subject to status. 3 Vehicles up to 3 years old. What you will pay

15 Lease Purchase WHAT YOU will PAY FLEXIBLE DEPOSIT OPTIONS 0% deposit may be available subject to status BALANCE (plus fixed interest) PAY OVER THE CHOSEN PERIOD 2 to 4 YEARS IN EQUAL MONTHLY PAYMENTS At the end of your chosen period YOU HAVE 2 Options: 1 Part exchange* for a new model 2 Own the vehicle by paying the final lump sum payment* *Subject to settlement of your existing finance agreement, new finance agreements are subject to status. What you need to know

16 WHAT YOU Need to Know CUSTOMER RISKS Customer Benefits 3 Fixed regular payments easier budgeting. 3 Flexibility No mileage clauses. 3 Deferred payment lower payments mean you might be able to afford a newer vehicle. 3 Ownership you own the vehicle outright at the end of the agreement. 3 Flexible terms variable deposits and periods available. 3 You have Termination and Satisfactory Quality Rights. 3 Ownership - you do not own the vehicle until the final payment including interest has been made. 3 Deferred payment - a significant proportion of the credit is deferred until the end of the contract you should prepare for this. 3 Repossession - your vehicle is at risk of repossession if you do not maintain contractual repayments. 3 Insurance you must have fully comprehensive cover.

17 CONTRACT HIRE FOR Contract Hire is a fixed-cost, rental agreement. You choose a new vehicle, agree the maximum annual mileage and length of agreement, and then pay an initial rental followed by fixed monthly rentals to suit your budget. You can even choose to cover vehicle maintenance costs as part of your agreement subject to paying a maintenance charge which is added to your monthly rental. How it works

18 How it Works 3 Choose your new vehicle. 3 Flexible initial rentals (advance rentals from 1 21 months). 3 Set payment to suit your budget. 3 Hassle free at the end of the contract, simply hand the vehicle back and start again. Subject to vehicle condition and mileage. 3 Agreed annual mileage. If you drive less than the agreed annual mileage this will not alter the monthly rentals. If you exceed the agreed annual mileage, excess mileage charges will apply. 3 Contract term 2 5 years. 3 You can change your contract duration and mileage (except during the first or last 6 months of the contract). Your monthly rental will be amended accordingly. 3 Maximum contract mileages 120,000 (petrol cars) 150,000 (diesel/hybrid cars) 180,000 (diesel LCV s) 3 Minimum contact annual mileage: 5,000 per annum (you can drive less than 5,000 miles per annum, however this will not alter the monthly rentals). 3 At the end of the contract, you must return the vehicle. You will have nothing further to pay provided the vehicle is in good condition and has not exceeded the agreed mileage. If the vehicle does not meet the mileage and condition terms, excess charges may apply. 3 VAT registered businesses can re-claim a proportion of the VAT element on rental and maintenance payments. What will you pay?

19 WHAT YOU will PAY advanced rental (From 1 21 months) Fixed Regular RentalS Over 2-5 Years AT THE END OF THE CONTRACT RETURN THE VEHICLE* *The vehicle should be returned to us in a condition that meets the BVRLA Fair wear and tear guidelines, otherwise charges may be incurred. Fair wear and tear guidelines can be found on the BVRLA website at What you need to know

20 WHAT YOU Need to Know Customer Benefits CUSTOMER RISKS 3 Fixed low rentals - to suit your budget and cash flow requirements. 3 Zero depreciation risk - no disposal worries simply return the vehicle at the end of the contract. Excess charges will apply if the vehicle is returned outside of the condition and mileage terms. 3 Tax efficient rentals allowable against tax. 3 VAT reclaimable VAT registered businesses can re-claim 50% to 100% of the VAT element on rental and 100% on the maintenance payments. 3 Road Tax included renewed annually. 3 Flexible terms choice of advance rental, contract period and mileage available. 3 Maintenance optional maintenance package, subject to a charge. 3 Ownership you cannot buy the vehicle at the end of the contract. 3 Maintenance - you must maintain the vehicle in accordance with the contract conditions, even if you have not chosen the optional maintenance package. 3 Repossession - failure to maintain contractual payments may result in legal action. 3 Insurance you must have fully comprehensive insurance. 3 Termination you can terminate the contract early by paying 50% of the remaining rental cost.

21 MITSUBISHI PERSONAL LEASE MITSUBISHI PERSONAL LEASE is a fixed-cost, rental agreement. You choose a new vehicle, agree the maximum annual mileage and length of agreement, and then pay an initial rental followed by fixed monthly rentals to suit your budget. You can even choose to cover vehicle maintenance costs as part of your agreement subject to paying a maintenance charge which is added to your monthly rental. How it works

22 How it Works 3 Choose your new vehicle. 3 Flexible initial rentals. (advance rentals from 1 21 months). 3 Set payment to suit your budget. 3 Hassle free at the end of the contract, simply hand the vehicle back and start again. Subject to vehicle condition and mileage. 3 Agreed annual mileage. If you drive less than the agreed annual mileage this will not alter the monthly rentals. If you exceed the agreed annual mileage, excess mileage charges will apply. 3 Contract term 2 5 years. 3 You can change your contract duration and mileage (except during the first or last 6 months of the contract). Your monthly rental will be amended accordingly. MITSUBISHI PERSONAL LEASE 3 Maximum contract mileages 120,000 (petrol cars) 150,000 (diesel/hybrid cars) 180,000 (diesel LCV s) 3 You are not entitled to any of the sale proceeds following vehicle disposal at the end of the contract. 3 Minimum contact annual mileage: 5,000 per annum (you can drive less than 5,000 miles per annum, however this will not alter the monthly rentals). 3 At the end of the contract, you must return the vehicle. You will have nothing further to pay provided the vehicle is in good condition and has not exceeded the agreed mileage. If the vehicle does not meet the mileage and condition terms, excess charges may apply. What you will pay

23 WHAT YOU WILL PAY advanced rental (From 1 21 months) Fixed Regular RentalS Over 2-5 Years MITSUBISHI PERSONAL LEASE AT THE END OF THE CONTRACT RETURN THE VEHICLE* *The vehicle should be returned to us in a condition that meets the BVRLA Fair wear and tear guidelines, otherwise charges may be incurred. Fair wear and tear guidelines can be found on the BVRLA website at What you need to know

24 WHAT YOU Need to Know MITSUBISHI PERSONAL LEASE Customer Benefits CUSTOMER RISKS 3 Fixed low rentals - to suit your budget. 3 Zero depreciation risk - no disposal worries simply return the vehicle at the end of the contract. Excess charges will apply if the vehicle is returned outside of the condition and mileage terms. 3 Road Tax included renewed annually. 3 Flexible terms choice of advance rental, contract period and mileage available. 3 Maintenance optional maintenance package, subject to a charge. 3 Ownership you cannot buy the vehicle at the end of the contract. 3 Maintenance - you must maintain the vehicle in accordance with the contract conditions, even if you have not chosen the optional maintenance package. 3 Repossession - failure to maintain contractual payments may result in legal action. 3 Insurance you must have fully comprehensive insurance. 3 Termination you can terminate the contract early by paying 50% of the remaining rental cost.

25 Spitalgate Dealer Services Ltd THE SMART WAY TO PROTECT YOUR VEHICLE GUARANTEED ASSET PROTECTION In the event that your vehicle has been written off as a total loss due to an accident, fire, theft or adverse weather condition incident, as long as you contact the claims team, this policy could pay out the difference between your motor insurer s settlement figure and the original purchase price of your vehicle (or finance settlement amount if applicable whichever is the higher claim amount). According to the Association of British Insurers, over 500,000 vehicles are written off every year. That s almost one every minute of every day! Write offs are most typically caused by road traffic accidents and professional theft. Professional theft is a high tech operation and the perpetrators have the means and methods to overcome almost all types and levels of security. GAP Insurance is an important consideration when changing your vehicle and one that should not be based on price alone.

26 Spitalgate Dealer Services Ltd GUARANTEED ASSET PROTECTION How it Works Your vehicle is not subject to a finance agreement 15,000 13,500 could pay out 1,500 could pay out 6,000 could pay out 9,000 Original Purchase Price of the vehicle: 15,000 Guaranteed Asset benefit 9,000 6,000 Market Value of your vehicle Your Motor Insurer could pay out 13,500 0 GAP Insurance is an optional insurance to supplement your normal motor insurance. It covers financial risks that your motor insurer will not cover when a write off occurs. The risks can be substantial for example, if a vehicle costing 15,000 was written off within 12 months, most motor insurance companies would pay out the current market value, which might be only 13,500. If you wanted to then replace your vehicle with one of similar value, you would have to find the difference. 1st Year Your Motor Insurer could pay out 9,000 2nd Year Your Motor Insurer could pay out 6,000 Motor Insurer s settlement 3rd Year Your vehicle is subject to a finance agreement and the finance early settlement amount at the time of write-off is 16,000 16,000 15,000 13,500 could pay out 2,500 could pay out 6,000 could pay out 9,000 Guaranteed Asset benefit 9,000 6,000 3 Broad eligibility if the vehicle is 10 years old or under and has covered less than 100,000 miles at the start date of the policy. 3 Provided comprehensive motor insurance is in place for the vehicle throughout the period of insurance. 3 Available to a private individual or sole trader aged 18 or over and who is resident in the UK. 3 Available to partnerships, limited companies or other legal entities, situated, and registered in the UK. Market Value of your vehicle Your Motor Insurer could pay out 13,500 0 Original Purchase Price of the vehicle: 15,000 1st Year Your Motor Insurer could pay out 9,000 2nd Year Your Motor Insurer could pay out 6,000 3rd Year Finance settlement Motor Insurer s settlement

27 Spitalgate Dealer Services Ltd GUARANTEED ASSET PROTECTION WHAT YOU Need to Know Customer Benefits 3 Cover benefits both cash and finance buyers. 3 New and used vehicles. 3 Policy pays the difference between your motor insurers agreed write off settlement and the original purchase price. 3 Cover periods available up to 48 months. 3 Unlimited maximum benefit on vehicles up to 50,000 purchase price day Cooling-Off period if the policy does not meet your needs with a full refund. 3 You can cancel the policy at any time (after 30 days) and receive a pro rata refund. 3 Cover includes manufacturer and dealer fitted accessories 3 Motor Insurance excess covered up to Full premium rebate if the vehicle is written off and there is no insurance shortfall. CUSTOMER RISKS 3 You must have a fully comprehensive motor insurance policy in place throughout the GAP policy term to benefit. 3 Policy is non-transferable. 3 Your vehicle must be listed in Glass s Guide. 3 The policy must be purchased within 100 days of the vehicle purchase. 3 There are significant policy exclusions, a list is available from your dealer. 3 When making a claim, you should always contact the administrator before accepting the insurance settlement offer.

28 Flexible Deposit Options 0% deposit may be available subject to status BALANCE (PLUS FIXED INTEREST) PAY OVER THE CHOSEN PERIOD 1 5 YEARS IN EQUAL MONTHLY PAYMENTS Fixed Regular RentalS Over 2-5 Years Personal Contract Purchase (PCP) AFTER ALL THE PAYMENTS HAVE BEEN MADE, you own the VEHICLE Contract Hire for Business Customers advanced rental (from 1 21 months) Flexible Deposit options 0% may be available subject to status BALANCE (PLUS FIXED INTEREST) PAY OVER THE CHOSEN PERIOD YEARS IN EQUAL MONTHLY PAYMENTS Lease Purchase At the end of your chosen period YOU HAVE 3 Options: 1 Renew - Part Exchange it for a new model* 2 Retain - PAY THE final lump sum TO OWN THE VEHICLE 3 Return - Return the VEHICLE to Finance (under the goods return option)** * Subject to settlement of your existing finance agreement, new finance agreements are subject to status. ** If the vehicle is in good condition and has not exceeded the allowed mileage, you will have nothing further to pay. If the vehicle has exceeded the allowed mileage, a charge for excess mileage will apply. FLEXIBLE DEPOSIT OPTIONS 0% deposit may be available subject to status *The vehicle should be returned to us in a condition that meets the BVRLA Fair wear and tear guidelines, otherwise charges may be incurred. Fair wear and tear guidelines can be found on the BVRLA website at At the end of your chosen period YOU HAVE 2 Options: 1 Part Exchange* for a newer model 2 OWN THE VEHICLE by paying the final lump sum payment* *Subject to settlement of your existing finance agreement, new finance agreements are subject to status. advanced rental (from 1 21 months) AT THE END OF THE CONTRACT RETURN THE VEHICLE* BALANCE (PLUS FIXED INTEREST) PAY OVER THE CHOSEN PERIOD 2 to 4 YEARS IN EQUAL MONTHLY PAYMENTS Fixed Regular RentalS Over 2-5 Years AT THE END OF THE CONTRACT RETURN THE VEHICLE* *The vehicle should be returned to us in a condition that meets the BVRLA Fair wear and tear guidelines, otherwise charges may be incurred. Fair wear and tear guidelines can be found on the BVRLA website at

29 Common features of our Hire Purchase, Personal Contract Purchase (PCP) and Lease Purchase products: AT THE START OF THE AGREEMENT You can borrow from 1,500. Flexible deposit options - 0% deposit may be available subject to status. DURING THE AGREEMENT You can change your payment date during the first 30 days of your agreement free of charge, a loss of interest charge is payable after the first 30 days. You will have fixed monthly payments with a fixed interest rate for the term of your agreement. You can make additional lump sum payments to reduce your balance or settle your agreement at any time. We will provide you with a settlement quotation on request. You can part exchange your vehicle at any time, subject to settling the outstanding finance. New finance agreements are subject to status. You must ensure that you have fully comprehensive insurance cover in place for the vehicle. If the vehicle is written off or stolen and the amount that the insurance company pays us is not enough to settle your agreement, you will be liable for the shortfall. If the goods are not of satisfactory quality, you will have rights against Finance. You have the option to terminate your agreement and return the vehicle to us, subject to paying half the total amount payable under the agreement. Your vehicle is at risk of repossession if you do not maintain your payments. AT THE END OF THE AGREEMENT Finance will retain ownership of the vehicle until all the payments including the final payment have been made.

30 Difference between our Hire Purchase, Personal Contract Purchase (PCP) and Lease Purchase products: Key Customer Information How long can I take the finance over? What is the maximum age of vehicle that I can finance? Are there any mileage restrictions? Hire Purchase Personal Contract Purchase (PCP) Lease Purchase From 1 5 years. From years. From 2 4 Years. 14 years at the end of the agreement. 7 years at the end of the agreement. 6 years at the end of the agreement. No. Yes. No. You agree your mileage at the outset. If you exceed this and wish to return the vehicle at the end of the agreement, additional charges will apply. What happens at the end of the agreement? You will own the vehicle. You can pay the final lump sum payment and own the vehicle. You pay the final lump sum payment and own the vehicle. OR You can exercise the goods return option and return the vehicle to Finance. NB. If the vehicle has exceeded the allowed mileage a charge for excess mileage will apply. Do I have any protection against depreciation as a result of an unexpected fall in the vehicle s value? No. Do I have to pay a lump sum at the end of the agreement? No. Yes. No. You can return the vehicle at the end of the contract instead of paying the final lump sum payment regardless of the vehicle s value. If you have not kept the vehicle in good condition or exceeded the agreed mileage, excess charges will apply. Yes. Yes. A substantial proportion of the amount payable is deferred A substantial proportion of the amount payable is deferred to the end of the agreement. Prepare for this. to the end of the agreement. Prepare for this.

31 Common Features of our and Business Contract Hire Products Flexible advance rental to suit your budget, rentals from 1-21 months (the higher the advance rentals the lower the monthly rental you will pay). The advance rentals are not refundable. You can choose an agreement length to suit you from 2 5 years. There are mileage restrictions in place. The mileage and the length of the contract is agreed up front, however you can change both the length of the contract and the mileage outside the first and last six months of the agreement. You can purchase an optional maintenance package. You must ensure that you have fully comprehensive insurance cover in place for the vehicle. If the vehicle is written off or stolen and the amount that the insurance company pays us is not enough to settle your agreement, you will be liable for the shortfall. You must maintain the vehicle in line with manufacturer guidelines and may be charged for repairs if the vehicle is returned with more than normal wear and tear. You can terminate the agreement early, by returning the vehicle and paying 50% of the remaining rentals. You will be subject to an excess mileage charge at the end of contract if the mileage exceeds the agreed allowance in the contract. You must return the vehicle at the end of the contract, you do not have the option to purchase the vehicle at the end of the agreement. If the goods are not of satisfactory quality, you will have rights against Contract Motoring. Differences between our and Business Contract Hire Products There are tax benefits available with our Business Contract Hire product that are not available on our product, with our Business Contract Hire product a proportion of the VAT can be claimed on the rentals.

32 GLOSSARY & USEFUL INFORMATION Agreement Term The length of time over which you agree to repay the finance also referred to as the Length of Agreement. Annual Percentage Rate (APR) The APR shows the annual cost of a finance agreement over and above the amount you have borrowed. The APR will include interest rate charges and any other fees included in the agreement, such as administrative fees. By law, the APR must be shown on relevant documentation presented to customers in showrooms. You can use the APR to compare the cost of different finance products. Balloon Payment/Final Lump Sum A balloon payment is the lump sum deferred to the end of a finance agreement on Personal Contract Purchase and Lease Purchase agreements. Making this payment completes the finance agreement and allows you to take ownership of the vehicle. Contract Hire Rental agreements where you cannot become the legal owner of the vehicle as you are merely renting it from Contract Motoring. MCM as the owner is listed as the Registered Keeper on the DVLA V5 form. A flexible option allowing you to drive a newer model and optional vehicle maintenance packages can be included. Credit Agreement A credit agreement is a legally-binding contract between you (the customer) and the finance company. It must include details of the loan amount, the term, rates of interest, other charges and your rights and responsibilities for the duration of the agreement. You will receive a copy of the agreement you have entered into. Deposit A deposit is often required to secure and finance your vehicle. The larger the deposit the less you will need to borrow and this could mean lower monthly payments. A deposit could be cash or part exchange or a combination of both. If you are part exchanging your vehicle and you still have outstanding finance then your deposit will be the part exchange value of your vehicle less the outstanding settlement figure. Your dealer should be able to take care of these arrangements for you. Depreciation A vehicle is an asset, but inevitably with age and wear and tear it will reduce in value. This is depreciation. Early Settlement This is when you pay off a finance agreement before the agreed term is completed. By doing so you may save on the interest that would have been charged for the remainder of the agreement. GUARANTEED ASSET PROTECTION Insurance protection if your vehicle is written off and a settlement offer is made by your motor insurer (or 3rd party through an accident management company), we will pay you the difference between the amount paid out by your motor insurer (or 3rd party through an accident management company) and the original purchase price you paid for your vehicle subject to the terms and conditions contained within the policy. Guaranteed Future Value A Guaranteed Future Value is equivalent to the deferred balloon payment and is set based on the estimated value of the vehicle at the end of the agreement. This value assumes that when returned the vehicle is within the set agreed mileage and in good condition.* The GFV is deferred to the end of the agreement and, along with any purchase fee applicable, is the Final Payment. The risk of depreciation above the level of the GFV is taken by Finance, so the customer can hand the vehicle back with nothing further to pay at the end of the agreement. *If the vehicle is in good condition and has not exceeded the allowed mileage, you will have nothing further to pay. If the vehicle has exceeded the allowed mileage, a charge for excess mileage will apply. Hire Purchase (HP) Finance buys the vehicle on your behalf less any deposit that you have paid to the dealer. The amount paid by Finance plus interest is then paid by you over agreed period of one to five years. INITIAL RENTAL An initial rental is similar to a deposit. The larger the initial rental the lower the monthly rentals. The initial rental is a cash payment. Lease Purchase Lease Purchase is essentially the same as a standard Hire Purchase agreement, but with a large lump sum which is deferred until the end of the agreement. Unlike PCP, there s no Guaranteed Future Value (GFV) and you do not have the option to return the vehicle to Finance at the end of the agreement, other than any voluntary termination rights that you may have under the agreement. You agree the final payment at the start of the agreement, so you can budget more easily. At the end of the agreement you have two options, make the final payment and obtain ownership of the vehicle or Part exchange for a new vehicle (if the part exchange does not cover the final payment you would need to pay the shortfall to settle the finance agreement). New finance agreements are subject to status. Maintenance contracts An optional, chargeable product offered by finance companies and dealers to spread the cost of motoring. Maintenance contracts usually include vehicle servicing and repairs, as well as replacement of wear and tear items such as tyres. MITSUBISHI PERSONAL LEASE Rental agreements for consumers where you cannot become the legal owner of the vehicle as you are merely renting it from Contract Motoring. MCM as the owner is listed as the Registered Keeper on the DVLA V5 form. A flexible option allowing you to drive a newer model and optional vehicle maintenance packages can be included. Non Regulated Agreement A credit agreement not regulated by the Consumer Credit Act. Therefore not bound by the same legal requirements as a regulated agreement nor offering the same type or level of protection. Option to Purchase Fee A voluntary payment at the end of some finance agreements (such as hire purchase) which, if paid, transfers ownership of the vehicle from the finance company to the customer. Part Exchange Part-exchange involves trading in your existing vehicle and using its value as part payment for your new vehicle, perhaps to help fund a deposit under a finance agreement. Personal Contract Purchase (PCP) PCP is essentially, the same as a standard Hire Purchase agreement, but with a significant proportion of the amount of credit deferred until the end of the agreement. Unlike Lease Purchase, the value of the vehicle at the end of the contract is guaranteed to at least equal that of the deferred final payment if the customer exercises the Goods Return Option. Under PCP, the customer has the following options at the end of the agreement 1) Return the vehicle and not pay the Final Payment. If the vehicle is in good condition and has not exceeded the allowed mileage you will have nothing further to pay. If the vehicle has exceeded the allowed mileage a charge for excess mileage will apply. 2) Pay the Final Payment to own the vehicle or 3) Part exchange the vehicle subject to settlement of your existing finance agreement; new finance agreements are subject to status. Regulated Agreements Most types of credit and hire agreements are covered by the Consumer Credit Act, which gives you some important rights, such as your right to cancel the agreement within a given time and protection against both the lender and the seller for faulty goods. An agreement covered by the Act is called a regulated agreement. An agreement will be regulated if: The borrower is an individual borrowing for mainly personal use rather than business use It is not an exempt agreement exempt agreements include things like gas and electricity agreements and loans from employers, these agreements are not regulated by the CCA. If your agreement is regulated under the Consumer Credit Act, Finance will provide you with the information before, during, and after the agreement is taken out and Finance give you a written copy of the agreement setting out: What type of credit agreement it is, for example Hire Purchase The true cost of the credit, called the Annual Percentage Rate (APR). The APR includes both the rate of interest and any other fees that may be applicable The amount of each payment, when it is due to be paid, and how it is made up (loan, interest, administration charge) Your cancellation rights and whether you can pay off the loan early. Any repossession rights Finance may have in the event of non payment. Satisfactory Quality By law, goods sold must be of satisfactory quality and fit for the purpose for which they were intended. Where there is a credit agreement in place, the finance company has a responsibility for the quality of the goods and to resolve any disputes where the goods are not of the required standard. Voluntary Termination You have a right to end the agreement by giving us written notice. If you do so, you must immediately return the goods to us, which includes making the payments detailed in the Termination Your Rights section on your credit agreement.