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Car hire purchase

Buy a car from a car dealership or private person with a fixed monthly repayment. Hire purchase is a convenient and reliable financing option.

You will receive an offer for the hire purchase option when making the application

Apply for financing from ”Auton ostajan apuri” (the Car Buyer’s Assistant) and you will receive a financing offer online.

The car is sufficient as collateral

You can buy the car without collaterals. The car is the collateral for the hire purchase.

Easy, reliable financing

You will receive clear information on all financing costs in advance. There is a fixed interest rate in hire purchase.

You can apply for hire purchase when you have found a suitable car:

I will buy the car from a car dealership

Apply for hire purchase

I will buy the car from a private person

Read more and apply

How to apply for hire purchase when buying a car from a car dealership:

  1. Find a suitable car

    You can apply for hire purchase when you have found a suitable vehicle. Read the guidelines for buying a car from a private person using hire purchase.

  2. Apply for hire purchase in advance online

    You will receive the financing decision when making the application. The application does not commit you to take out the financing.

  3. Conclude a deal

    Take the financing decision with you to the car dealership. The final financing agreement will be signed at the dealership.

  4. When you have concluded the deal, you will receive a right of possession to the vehicle

    You will obtain ownership of the vehicle when you have paid the last hire purchase instalment.

Hire purchase gives you easy and safe financing for a car

Sometimes, you may need money for many other purchases besides a car. In such a case, you may want to consider buying a car using hire purchase.

Buying a car using hire purchase is both convenient and safe. The hire purchase agreement is concluded at the time of concluding the deal. Hire purchase financing has a fixed interest rate and the instalment remains the same throughout the contract period. You can buy a car on hire purchase with a 1–6 year payment period. Note that the hire purchase interest rate may vary at different car dealerships.

When you are buying a car from a car dealership, apply for a financing decision online and take the decision with you to the car dealership. The final financing agreement for hire purchase will be signed at the dealership. OP hire purchase financing is available at Finnish car dealerships that have a cooperation agreement with OP.

What if you plan to buy a car on hire purchase from a private person? You can use OP hire purchase for that, too.

Read more about hire purchase between private persons

What should you know before buying using hire purchase?

  • You do not need separate collateral for car hire purchase.
  • The ownership of the car remains with OP Corporate Bank until you have paid the last hire purchase instalment on the car.
  • As a rule, a down payment of approximately 10–20% is paid for the car upon conclusion of the deal.
  • You can apply for hire purchase when you have found a suitable car.
  • It is a good idea to apply for a financing decision online beforehand.
  • You can also buy a car using hire purchase from a private person. Read more about buying a car from a private person using hire purchase.


How car hire purchase works

  • You will get the first bill for the car hire purchase a couple of weeks before the first due date.
  • Each month you will make a repayment of the vehicle to OP.
  • You can pay off the whole credit or part of it within a shorter period of time than agreed on. In such a case, always contact our customer service.
  • If you're going to drive your car in Europe, beyond the Nordic countries, you must have an authorisation to take the car abroad. You can order it on OP's online financing service (in Finnish).
  • OP retains ownership of your vehicle. If you want to sell or trade the vehicle, for example, you must pay the remaining amount of financing when concluding the transaction.

Hire purchase financing is a one-off credit. Effective interest rate on a credit of 20,000 euros with a 5-year credit period amounts to 7.6% when the interest rate on financing is 6% (7/23), the establishment fee is 190 euros and the invoicing fee is 9 euros per month. The estimated total cost of credit is 23,959.10 euros, paid in 60 instalments of 399.40 euros each. This calculation is based on the assumption that the entire credit is drawn down at the same time and that interest on the loan, and the charges and fees, remain unchanged throughout the loan term.

The credit is issued by OP Corporate Bank

You can apply for OP hire purchase financing no matter which bank you normally use. The buyer must also have a valid driving licence.

Financing may be granted for cars that are up to 14 years old. If the car is financed and owned by a finance company, our partner Autoraha must act as an intermediary in the transaction.

 

Unlike when you buy from a car dealership, the Consumer Protection Act does not protect the buyer when the transaction is between two private persons. If any faults in the vehicle become apparent after the transaction, it can be complicated to resolve the matter.

Transactions between private persons are safer for both parties when external experts have inspected the car.

The vehicle will be inspected by A-Katsastus. See here for the locations of A-Katsastus that provide OP Car Finance.

You should always take a car for a test drive before buying it. When you buy a car from a private seller using OP hire purchase financing, we recommend taking the car out for a test drive before you complete the sale. This will help you ensure the car is in good condition and meets your requirements before you take it for verification and photography.

Turn the radio off when you go for a test drive. Listen to the sound of the engine at various speeds. Test the brakes and gears to make sure they’re working properly. Check the indicators and go through all the electrical equipment.

Hire purchase is a convenient financing alternative when buying a car from a private seller. The owner of the car to be purchased is verified, the vehicle is photographed, and an external expert will help you handle all the paperwork related to the transaction, such as registration and the necessary insurance policies. You will also know precisely how much you will pay in each instalment in advance – the instalment’s interest rate remains the same throughout the contract term.

Effective as of January/2024

Service Person Company
Balance confirmations, interest certificates and lease liability reports 37 € each 37 € each
Separately agreed brief reports/other changes 25 € 25 €
Separately agreed reports/other changes 100 € per hour min 75 € 100 € per hour min 75 €
Return of excess payment 5 € each 7 € each
Copies of invoices and receipts 15 € each 15 € each
Copies of agreements and reprint the payment scheme or credit transfers 0 € 42 € each
Direct registration (amount charged by Traficom) Based on Traficom’s list of charges valid from time to time Based on Traficom’s list of charges valid from time to time
Processing registration certificates: amount charged plus, e.g.,
- changes related to the registered keeper
- a new registration certificate
42 € each 42 € each
Change to OP Corporate Bank’s group insurance 25 € 25 €
Authorisation to take a motor vehicle abroad (max. 12 months) 49 € (order via rahoitus.op.fi €39 for personal customers) 49 €
Authorisation to take a motor vehicle abroad (max. 12 months)
processed on the same business day
59 € 59 €
Driving instruction power of attorney 37 €  
Assignment of agreement (incl. direct registration charge) 190 € per agreement 0,30% of the receivable, min. 400 € per agreement
Services related to a corporate merger or demerger   250 €
Change in repayment plan 5 € per agreement, max 20 € per year 0,30% of the receivable, min. 330 € per agreement
Due date change From the original due date
- 1-13 days 0 €
- 14 days or more 5 € per agreement, max 20 € per year
37 €
Early repayment According to the terms of the hire purchase agreement According to the internal list of charges and fees valid at the time, up to a maximum of 1% of the remaining principal.
Preparing and printing the final invoice 37 € 37 €
Payment reminder 5 € 12 €
Reminder 5 €  
Unaccepted bill of exchange   110 €
Impending remittance 5 € 12 €
Demand for payment   12 €
Notice of termination 30 €  
Order to retrieve the vehicle Based on actual costs, min. 220 € Based on actual costs, min. 220 €

The financing is granted by OP Corporate Bank plc.