What is APP?

What are Advance Payment Plans?

With an Advance Payment Plan (APP) you pay one single amount to access your chosen vehicle and defer the remaining cost until the end of the agreement.

Is this plan right for me?

APP may be right for you if you want the option to choose what happens to your vehicle at the end of the agreement. APP should also be considered if you want to drive a higher-priced model, as the plan gives you more spending power.

How APP works

  • Choose your vehicle.
  • Pay an upfront fee based on the model’s Guaranteed Minimum Future Value (GMFV) and choose the term length.
  • Pay no lease fees during the agreement.
  • At the end of the agreement, either:
    • Pay the final amount and own the car
    • Renew the plan and pick a new model
    • Hand back the vehicle.

What is Guaranteed Minimum Future Value?

GMFV is the estimated value of the vehicle you choose once the APP agreement ends. This is calculated based on the model, the length of the plan and expected mileage. A higher GMFV will reduce your advance payment, but will mean a larger fee at the end of the contract. A low GMFV means a lower final payment but a higher initial cost.

The GMFV cannot change, so you are protected from any sharp drop in vehicle prices.

How will my payments be calculated?

Your upfront payment is calculated by subtracting the GMFV from the total vehicle price before total interest is added.

Your final payment is calculated by adding the GMFV to the option to purchase fee.

Why choose APP?

  • Flexibility to decide what happens at the end of the contract
  • Ability to tailor the terms to your budget
  • GMFV protects you from a fall in car prices.

Make your enquiry

If you think APP is right for you, or if you would like to find out more, please enquire with the team at your nearest Sturgess dealership in Leicester.

Make an Enquiry


Baloon Hire Purchase
Business Contract Hire