The contract ends in January 2024
Spread Rental is a term that reflects a specific payment profile of a finance agreement. It requires the customer to make payments over every month of the agreement term.
A Spread Rental agreement lowers the cost of payments made by the customer, compared to a terminal pause profile.
Spread Rental Example
For example, the regular rentals for a vehicle supplied on a three year contract with a profile of three advance rentals followed by 35 monthly rentals (3+35) are £540 per month. This is compared to £570 per month under a terminal pause profile. The vehicle is supplied on 1st January 2021. The total amount to be paid over three years = £ 20,520.
Rental in Advance Profile – 3+35 Spread Rental
First three rentals in January 2021 followed by 35 more payments starting in February 2021 and ending in December 2019. Payments are now due in November and December 2023.