PCO Car Hire, Rent to Buy & Drop-Off Fees – A Complete Guide

Owning a car is not always possible for many PCO drivers due to the high costs involved. This is why most drivers choose PCO car hire and rent to buy options.

With PCO car hire, you simply go to the car provider, make a small deposit which is often around £500, pay the weekly fee, and you will be on the road carrying passengers. However, no matter how long you use the car, you can never own it despite regularly paying for it.

With rent to buy plans, you can drive a car for fixed weekly payments and at the end of the contract, the ownership is transferred to you.

In this article, we will look at the benefits of both approaches and more to help you make an informed decision.

What Are the Benefits of PCO Car Hire?

Easy to Switch or Return

The ride-hailing business fluctuates a lot. The biggest advantage of PCO cars for rent is that you can switch or return them whenever you want.#

Why is this important?

Not every car is always the right fit for PCO drivers. Sometimes, you may want to upgrade your car to save on fuel costs, while other times, you may need a bigger car for high fares. Since PCO car hire doesn't involve any long-term commitments, you can easily switch or return your car whenever you want.

Let’s say you started with a diesel car but the ULEZ and congestion charges are shrinking your profits and now you want to switch to an EV. It’s possible with PCO car rental. You just have to hand back the keys, pick a new car, and you are good to go. 

No Worries About Depreciation

Depreciation is a major worry for PCO drivers. Since PCO cars cover thousands of miles every month, they are more prone to wear and tear than regular cars. And a worn-out car is a cheap car. 

With PCO car hire, you don’t have to worry about this aspect. Since you don’t own the car, its resale value is not your problem as well. You are simply paying for the use of the car. Once you are done with it, you can hand it back.

No Long-Term Commitment

With PCO car hire, you are not locked into a long-term contract. This is ideal for drivers who just want to test the waters of PCO world or upgrade or downgrade cars depending on their changing circumstances.

The ride-hailing demand keeps changing throughout the year. During holidays or major events, the demand for PCO drivers skyrockets, allowing you to earn significantly more. However, in quieter months when you can’t afford to pay high rental fees for a premium vehicle, you have the flexibility to downgrade to a more affordable package.

What Are the Benefits of Rent to Buy?

Path to Ownership

With a PCO rent to buy plan, every payment you make takes you closer to car ownership. This means you get complete freedom to use the car the way you want once it becomes yours. If you want to use the car for personal trips, you can do it. If you want to take it on long journeys, you can do it as well. Plus, when you own the car, you no longer have to spend a large portion of your profits on weekly payments. This means your profits will stay in your pocket.

No Large Upfront Costs

Most PCO drivers don’t have thousands of pounds in their bank accounts to buy cars outright. With rent to buy rental cars, you don’t need to save money for years or spend thousands of pounds on initial costs. As mentioned earlier, companies normally require you to deposit around £500. Plus, you should be able to make weekly payments and have a PCO licence to be considered eligible for a rent-to-buy car. When you avoid paying large upfront costs, you can use your money on fuel, improving service, etc.

MOT Every 6 Months

Every breakdown you face on the road is money lost. That’s why most car providers include regular MOT checks in the package. These checks ensure that your car remains in top condition so you can avoid costly surprises.

Normally, MOT checks are conducted every six months to catch potential issues before they become major problems. Plus, Transport for London requires every PCO car to be in excellent condition, and MOT checks are a way to ensure that your car meets those standards. In case your car fails an MOT, you could be temporarily suspended from ride-hailing platforms like Uber and Bolt.

What is the Difference Between Rent to Buy Cars and PCO Cars for Sale?

The difference between rent to buy PCO cars and PCO cars for sale is that with a rent-to-buy plan, you pay a fixed weekly fee that covers both rent and ownership that you will receive at the end. However, with PCO car for sale, you have to pay the full price upfront. This option gives you immediate ownership of the car.

Are There Any Costs Other Than Rental Fees That PCO Drivers Have to Bear?

Yes, there are airport drop-off charges as well, such as those at Heathrow and Stansted. Heathrow drop off charges is a £6 fee while Stansted airport drop off fee is £7. Every time you use express drop-off zones at these airports, you have to pay the drop-off fee as well.

If you drive for Uber, Bolt, or FreeNow, the fee is passengers’ responsibility. In case you collect the fare but don’t pay the fee, you will receive a £80 to £100 fine, which can be reduced to £40 to £60 if paid within 14 days.

How to Pay Heathrow Drop-Off Charge?

There are three simple ways to pay Heathrow drop off charge: you can pay via phone, online, or the airports’ contactless payment system. To pay Heathrow drop off online, you need to visit this website. To pay via phone, you can call at 0330 008 5600 and follow the instructions.

How to Pay Stansted Drop Off Charge?

You can pay the Stansted drop-off charge through automatic machines at the airport using a credit or debit card. You can also pay the charge via airport’s official website. Here’s what you need to do on the website:

• Visit the drop-off charge payment page
• Provide your vehicle’s registration number
• Pay the fee

You will receive a confirmation email if the payment is successful.

Final Thoughts

PCO car hire and rent-to-buy options are ideal for PCO drivers who cannot afford to buy cars outright. The first option gives you the freedom to switch cars whenever you want, eliminates the worry about depreciation, and involves no long-term commitment. The second option, on the other hand, puts you on a path to gradual ownership, has no large upfront costs, and involves MOTs every 6 months. Plus, there are drop-off charges that you need to be aware of to avoid hefty fines. If you are a PCO driver looking to maximise earnings, choose an option that suits you the best. Also, always pay the drop-off charges on time. This will make your job a lot less stressful.