How Finance from Golf Car UK Works
When you’re looking to acquire golf buggies—or other utility vehicles—for your club, Golf Car UK offers flexible finance and contract options to suit your needs. Here’s a breakdown of the key finance structures, what your club can expect, and how everything works in practice.
Key Players
- Golf Car UK acts as the supplier and main point of contact, helping you choose your finance type, manage the contract, upgrades, and end-of-term options.
- De Lage Landen (DLL) is Golf Car UK’s preferred finance partner. They have decades of experience and back many of the finance agreements offered.
Finance Types Offered
Golf Car UK offers at least two principal finance/contract options:
- Contract Hire
- You lease the vehicle(s) for a fixed term, paying fixed monthly rentals.
- At the end of the term, you return the vehicle(s) to Golf Car UK.
- There is no option to purchase under a Contract Hire agreement.
- The rental amount monthly is calculated considering:
- the vehicle’s cost,
- period of use,
- funding costs, and
- the forecast residual value (what the vehicle is expected to be worth at the contract’s end)
- Hire Purchase (HP)
- This lets you own the vehicle by the end of the agreement. You pay a deposit (sometimes), then fixed monthly instalments over an agreed period (often 2-5 years).
- There is an initial Documentation Fee (≈ £50 + VAT per contract) plus an Option to Purchase Fee also of £50 + VAT added to the final payment. Title to the vehicle transfers to you after that final payment.
Important Contract Details & Options
- Minimum age / Licensing
If the vehicles are used only on private land, there’s no set minimum age. If they are hired out or used by the public, Golf Car UK recommends drivers be at least 17 years old and/or hold a UK driving licence. - Early Settlement / Upgrading
You can settle a contract early (in either Contract Hire or Hire Purchase) or upgrade your vehicles during a contract. But you’ll need to request a settlement figure from the finance company. The cost depends on how many payments are remaining, the payment schedule, and the contract’s terms. Early settlement can be expensive because you may still owe much of the interest. - End of Contract – Contract Hire
When the term ends under Contract Hire, the vehicle is returned to Golf Car UK. Vehicles are inspected for condition, damage and any defects. Normal wear & tear is acceptable; damage or excessive defects may incur charges. - Dilapidations
A key concept especially in Contract Hire: after return, any damage beyond acceptable wear & tear, breaks, cracks or tears must be repaired in accordance with the agreement. These are known as “dilapidations”. - Contract Novation
If needed, the contract can be transferred from one party to another. This means the new party takes over payments under the same terms. There is a fee of £250 + VAT for this. It also requires credit approval.
Costs & Fees to Be Aware of
- Documentation Fee: £50 + VAT for setting up a Hire Purchase contract.
- Option to Purchase Fee (HP): £50 + VAT added to the last payment when you finalize purchase.
- Novation Fee: £250 + VAT if you transfer the contract to another party.
- Dilapidation / Damage Charges: If at end of Contract Hire the buggy has damage beyond what the contract allows, you’ll incur repair costs.
Which Option Might Be Best for Your Club?
Here are some considerations to help you decide between Contract Hire and Hire Purchase:
| Factor | Contract Hire | Hire Purchase |
| Want ownership at end | ❌ You must return the vehicle | ✅ You own it once final payment is made |
| Monthly payments lower | Usually lower, as you’re not financing full cost | Slightly higher, because you’re paying off full cost + interest + ownership fees |
| Risk of depreciation / residual value | Handled by finance company (you don’t carry the residual risk) | You bear all risks of depreciation and resale value once you own it |
| Flexibility | Returning & replacing fleets can be easier, but early settlement/upgrade may be costly | More control, but less flexibility if terms need changing |
How to Proceed / What You Should Ask
If your club is considering finance through Golf Car UK, make sure you:
- Speak with an Account Manager
Ask for all quotes including fees, expected final value, and comparisons between Contract Hire vs Hire Purchase for your usage. - Think ahead about end of contract
Will you want to own the vehicles? Might you want to upgrade before term-end? This affects what type of agreement is better. - Understand return condition requirements
Especially under Contract Hire, know what level of use and damage is acceptable so you can avoid surprise repair / dilapidation costs. - Get settlement figures
If you think there’s any chance you might want to exit or change the contract early, ask what early settlement would cost. - Check insurance / protection options
You will be responsible for insurance. Golf Car UK offers a product called Golf Car Protect—ask what this covers. golfcaruk.com
