4 Mar 2019 Also often referred to as the Guaranteed Minimum Future Value (GMFV), this is how much the dealer expects your car to be worth after your  6 Feb 2019 The Guaranteed Minimum Future value is an estimate of how much your car will be worth at the end of a PCP finance agreement. The figure is  Guaranteed Future Value (GFV) is used to describe the cost on which a balloon payment is based on for a PCP agreement.

Whatever you do with a new PCP or contract is totally outside of the scope of this one. If you had equity in the car (value > balloon), then a new finance deal might involve the car being bought out for the balloon, and that equity being put towards the new deal as part of the initial payment. Beware the word 'minimum' in Guaranteed Minimum Future Value. Read our guide to make sure you get the best price for your PCP trade-in. Personal Contract Purchase (PCP) Personal Contract Purchase (PCP) is similar to a Hire Purchase agreement as you will usually pay an initial deposit, followed by monthly instalments. What makes PCP different is that your monthly instalments are paying off the depreciation of the car, and not its entire value, over the course of the term. PCP is a the most common loan agreement taken out on new and nearly new cars. PCP allows individuals to put little or no deposit down on the purchase of a new car and still have low monthly payments. At the end of the PCP contract, the car must be returned or a final payment made to purchase the car. PCP & Guaranteed Future Value. 7 May 2019 at 12:35PM edited 30 November -1 at 12:00AM in Motoring. 41 replies 3.6K views Ah, now I get it, you are investing in the future value of the car, and hoping WBAC will give you enough to leave you up a few quid over the 3 years. The final balloon payment at the end of a PCP is often also called the guaranteed future value (GFV), which is technically a different thing but it doesn’t matter for now. Many finance companies humorously describe it as the “optional final payment”, making it sound like you don’t have to pay it unless you want to.

This is based on what the dealer thinks the car is worth now - its Guaranteed Future Value (GVF). This can range from a few hundred to a few thousand pounds, 

Thanks to a Guaranteed Minimum Future Value, you don't need to worry about the re-sale value of your car, depreciation or the dreaded NCT. How does PCP  The future value of the car is guaranteed by the lender so will not fluctuate. Deferring the GMFV to the end of the agreement in this way means that your regular  PCP is also promoted as a means of protecting you against vehicle If the trade- in price is higher than the Guaranteed Future Value, you can use the difference  buyer is advised of the Guaranteed Future. Value (GFV) of the vehicle at the end of the agreement (see below). The GFV is dependent upon your sticking to. Thanks to a Guaranteed Minimum Future Value, you don't need to worry about the re-sale value of your van at the end of your agreement, depreciation or the  Simply pay the Guaranteed Future Value, and the car is yours. 2. Renew the car. Choose another car, using any excess part exchange value that is above the  With Personal Contract Purchase (Land Rover Freedom PCP), you can take will determine the Guaranteed Minimum Future Value (GMFV) of your vehicle at 

The Guaranteed Minimum Future value is an estimate of how much your car will be worth at the end of a PCP finance agreement. The figure is calculated at the start of the contract and your monthly payments are then based on the difference between the price of the car and its GMFV.

Also often referred to as the Guaranteed Minimum Future Value (GMFV), this is how much the dealer expects your car to be worth after your finance deal ends. It's agreed at the start of your deal. You don’t have to pay this, as you get a choice of what to do at the end of the deal. But it is the sum you’ll pay if you want to keep the car. Whatever you do with a new PCP or contract is totally outside of the scope of this one. If you had equity in the car (value > balloon), then a new finance deal might involve the car being bought out for the balloon, and that equity being put towards the new deal as part of the initial payment. Guaranteed future value (GFV) or guaranteed minimum future value (GMFV), is the term used to describe the predicted Residual Value of your vehicle at the end of your PCP agreement. A vehicle’s GFV is calculated by the lender at the start of your contract and does not change, regardless of market changes that might impact the value of your car. The Guaranteed Minimum Future value is an estimate of how much your car will be worth at the end of a PCP finance agreement. The figure is calculated at the start of the contract and your monthly payments are then based on the difference between the price of the car and its GMFV.

Beware the word 'minimum' in Guaranteed Minimum Future Value. Read our guide to make sure you get the best price for your PCP trade-in.

Beware the word 'minimum' in Guaranteed Minimum Future Value. Read our guide to make sure you get the best price for your PCP trade-in. Also often referred to as the Guaranteed Minimum Future Value (GMFV), this is how much the dealer expects your car to be worth after your finance deal ends. It's agreed at the start of your deal. You don’t have to pay this, as you get a choice of what to do at the end of the deal. But it is the sum you’ll pay if you want to keep the car. Whatever you do with a new PCP or contract is totally outside of the scope of this one. If you had equity in the car (value > balloon), then a new finance deal might involve the car being bought out for the balloon, and that equity being put towards the new deal as part of the initial payment. Guaranteed future value (GFV) or guaranteed minimum future value (GMFV), is the term used to describe the predicted Residual Value of your vehicle at the end of your PCP agreement. A vehicle’s GFV is calculated by the lender at the start of your contract and does not change, regardless of market changes that might impact the value of your car. The Guaranteed Minimum Future value is an estimate of how much your car will be worth at the end of a PCP finance agreement. The figure is calculated at the start of the contract and your monthly payments are then based on the difference between the price of the car and its GMFV.

Guaranteed Minimum Future Value (GMFV) When you set up a PCP deal, the dealer will give you a 'Guaranteed Minimum Future Value' for the car. The GMFV is the minimum amount the car will be worth at

Thanks to a Guaranteed Minimum Future Value, you don't need to worry about the re-sale value of your car, depreciation or the dreaded NCT. How does PCP  The future value of the car is guaranteed by the lender so will not fluctuate. Deferring the GMFV to the end of the agreement in this way means that your regular  PCP is also promoted as a means of protecting you against vehicle If the trade- in price is higher than the Guaranteed Future Value, you can use the difference 

30 May 2017 In the first three months of this year alone, Brits bought 650000 cars using dealer finance – but a simple mistake with PCP could mean they end