Currently most families want a new car every few years, this makes a huge amount of people get into debt. People are obsessed with buying things, they just want to have the best stuff and this has caused them going really into debt.

But what I do not understand is why do these people simply just not go for the contract hire option? It can work out a huge amount cheaper, lets briefly take a look at some of the benefits that can come from contract hire instead of paying for one.

1) You do not need to worry about any extra costs when you lease, because all breakdowns would be covered by the company.
2) If you just take a seat and work it out, if you bought a vehicle on HP that cost £25,000 over a 6 year period you would probably end up paying back around £28k, then once you have finished paying for it the car would have depreciated so much that it would not even be worth £1k, so you would have ended up paying all that money for a vehicle that is now breaking and not worth a penny. If you then look at contract hire that you will see that you get a brand new vehicle for 2 years at the price of £400 per month, which is a vast amount cheaper and then you can hand it back and get another brand new one or just choose to simply buy the current one you have been driving all this time.

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