Reviewed by
Billy Lang, Director
FCA Registration No: 835008
Quick verdict
Which suits which buyer
Flexi Lease usually wins for
- Buyers whose circumstances are changing
- New limited companies and newly self-employed
- Anyone needing 6 to 24 months, not 36+
- Imperfect credit (soft search at quote)
Contract hire usually wins for
- Buyers certain on the same vehicle for 3+ years
- Established businesses with strong credit
- Lowest monthly cost as the priority
- Stable mileage and use over the term
Side-by-side
The detail. Where one is genuinely better, we say so.
| Flexi Lease | Contract hire (PCH/BCH) | |
|---|---|---|
| Typical term length | 6 to 48 months | 24 to 48 months |
| Minimum commitment | Short (from 6 months) | Long (typically 24+ months) |
| Eligibility check | Soft search at quote stage | Hard search at application |
| Monthly cost direction | Typically higher | Typically lower |
| Initial rental | 1.5 or 3 months | Often 3, 6 or 9 months |
| Early exit | Designed for it; clear terms | Possible but typically penalised |
| End of contract | Hand back, swap, extend | Hand back |
| Suitable for newly incorporated companies | Yes | Often declined without 2+ years of accounts |
When Flexi Lease is the better fit
Flexibility is what you are buying. If any of these apply, Flexi is likely worth the higher monthly:
- You are not certain you want the same vehicle for 3+ years.
- Your business is new, or your circumstances are about to change.
- You need a short-term vehicle (6 to 18 months) for a project, contract or seasonal need.
- A standard PCH application would be declined on credit history or trading time.
- You want the option to swap if a different vehicle suits you mid-term.
When contract hire is the better fit
We will not pretend Flexi Lease is right for everyone. Contract hire wins when:
- You know exactly what vehicle you want and the term length is genuinely fixed.
- Lowest monthly cost is the single most important factor.
- Your business or personal credit is strong and stable, and a hard search is fine.
- Mileage and use over the term are predictable.
- You do not value early-exit flexibility — and you are right not to pay for what you will not use.
A worked example
Placeholder — awaiting real case study
Real-world cost compare — same vehicle, both products
Worked example showing the same vehicle on Flexi Lease vs contract hire — typical monthly figures, total cost over a 36-month term, and the cost of the flexibility. Real-ish numbers (not invented). Client to supply or confirm.
Related comparisons
Comparison
Flexi Lease vs Rent to Buy
Same start, different ending — rent and return vs rent and own.
Read more
Coming soon
Rent to Buy vs PCP
A separate piece on Rent to Buy versus PCP is on the way. In the meantime see the Rent to Buy product page.
Frequently asked questions
Is Flexi Lease more expensive monthly than PCH?
Often yes. The flexibility comes at a cost. The monthly figure on a Flexi Lease is typically higher than the equivalent contract hire (PCH/BCH) deal because you are paying for shorter minimum terms and the option to swap or hand back. The honest answer is: if you are certain you want the same vehicle for 36 or 48 months, contract hire usually wins on monthly. If you are not certain, the flexibility may be worth more than the difference.
Can I switch from PCH to Flexi at end of contract?
Yes — and it is a common pattern. Customers coming off a long PCH whose circumstances have changed (new job, new family situation, new business) often move to Flexi specifically because they no longer want to commit to another 36-month term.
Does Flexi Lease use a soft credit search?
Yes. We use a soft credit check at the eligibility and quote stage — no footprint, no impact on your score. A hard search only happens at the full agreement stage. See how our soft credit check works.
Can I exit early?
Both products have early-exit terms. Flexi Lease is designed around shorter minimum commitments (from 6 months), so you typically have more flexibility without penalty than a typical 36-month PCH agreement. We will be explicit about exit terms before any agreement is signed.
What happens at the end?
You hand the vehicle back, swap to another Flexi Lease vehicle, or extend on a rolling basis. There is no balloon payment, no purchase obligation, no surprise fee — only fair-wear-and-tear inspection and excess-mileage reconciliation if relevant.
Is Flexi Lease available to limited companies?
Yes. Flexi Lease is available to both personal and business customers, including newly incorporated limited companies. See our page on leasing for new limited companies.
All applications are subject to status.
Comparison content on this page is editorial and represents a fair summary of the two products as we understand them. Specific deal terms always depend on the vehicle, customer, and lender. First Flexi Lease is a trading name of Oak First Investments Ltd. FCA Registration No: 835008. Authorised and regulated by the Financial Conduct Authority.
Talk through both options with someone who'll tell you when one wins
We will tell you when contract hire is the right answer — even when it's not us.
