Will you retain, return, or replace?
Guaranteed Future Value (GFV) is a vehicle finance option that is becoming increasingly popular in New Zealand. It can offer a more tailored and affordable finance solution that, following a deposit, allows you lower payment installments followed by options at the end of your finance term.
Guaranteed Future Value agreements could help you get behind the wheel of your new vehicle, with regular fixed payments and assurance of the vehicle’s value at the end of the term.
The minimum future value of your new vehicle is determined by the make and model of the vehicle and your expected annual kilometre usage. This will be guaranteed at the time of purchase, as long as you comply with the written terms in your agreement. So, you’ll know exactly what the vehicle will be worth when your final payment rolls around.
How does Guaranteed Future Value work?
Once you have a vehicle in mind, catch-up with a Miles Group finance specialist and discuss the terms and conditions of the GFV contract. These terms typically include an agreed kilometre limit, the length of the term, and a deposit figure. During this time, our team will offer you the Guaranteed Future Value, an agreed set price of what the vehicle will be worth at the end of the term. When you and the dealership come to an agreement, the vehicle is all yours for the duration of the term.
At the end of your term.
Before the term is up, we’ll be in touch to encourage you to start thinking about your next moves.
Retain the vehicle
Let’s say you love the vehicle and you can cut ties. Easy, simply purchase the vehicle for the agreed future value and enjoy full ownership.
Return the vehicle
Provided you have respected the full terms of the agreement, you can simply choose to return your vehicle. Typically this comes with a small disposal fee (around $400) and any excess kilometres traveled or any wear and tear charges.
Replace the vehicle
Looking to upgrade or downsize? We can help with that. If the trade-in value of your current vehicle is higher than the final payment due, use that as a deposit for a replacement vehicle.
Guaranteed Future Value or GFV is an easy tool to consider when purchasing your next vehicle and our dealerships are here to talk you through it. Get in touch.