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A Personal Contract Purchase (PCP) is a method of obtaining goods e.g. a vehicle through a pre -agreed fixed term finance agreement with part of the cost deferred until the end of the agreement. This may give the benefit of lower monthly repayments or a shorter period of repayment. Once all of the repayments, including the deferred payment and any fees are paid, the goods become your property. To find out more about a Personal Contract Purchase, including important things you must consider before taking out an agreement like what happens if you exceed your agreed mileage allowance, click on the link above.