OWNER ANSWER
Salary sacrifice, PCP, lease, loan or cash: compare the whole BYD deal
Compare the whole cost of the same BYD over the same term and mileage, then check what you will own at the end. For salary sacrifice, use payroll’s actual take-home-pay illustration; for PCP, include the final payment if you intend to keep the car.
- Obtain written quotes for the same model, trim, new/used status, term and annual mileage.
- Add the upfront and scheduled payments, fees and any purchase payment.
- For salary sacrifice, ask payroll for the net-pay effect and company-car benefit charge.
- Add excluded insurance, tyres, servicing, breakdown cover and charging.
- Compare mileage, condition and early-exit terms, including a change of employment.
- Compare both the total and the end position: car owned, car returned or debt still payable.
Salary sacrifice
You exchange contractual cash pay for a benefit. A qualifying low-emission car uses the normal benefit-in-kind rules, rather than being automatically tax-free. Ask how pension and statutory or salary-linked benefits are calculated, and what happens during absence or if you leave. Included services depend on the scheme.
PCP and personal contract hire
PCP normally has an upfront payment, monthly payments and an optional final payment to buy; returning it involves the agreement’s mileage and condition terms. PCH is hire, normally with no purchase option, and early termination can carry a substantial fee.
Personal loan and cash
With a personal loan used to buy the car, selling the car does not cancel the debt. Cash avoids borrowing interest but uses savings and leaves you carrying resale-value changes and running costs. Keep an emergency reserve in the comparison.
Which is cheapest?
There is no single winner across different quotes and ownership outcomes. Compare actual included cover, total repayable and what happens if circumstances change, rather than a headline monthly saving.
If that did not work
For unclear tax or payroll effects, ask payroll or a qualified adviser for your circumstances. Ask the finance or lease provider to explain a missing exit or end-of-term condition in writing before committing. If payments become difficult, contact the provider promptly and use MoneyHelper’s free guidance.
Related links
Source: HMRC · MoneyHelper · MoneyHelper — leasing a car with personal contract hire pch. Checked 22 October 2026.