Balloon payment

A Balloon Payment is a deferred lump sum payment due at the end of a car finance agreement, this is typical in PCP (Personal Contract Plan) and some other agreements.

The optional final payment amount is agreed up front by Audi Finance – by deferring payment of this amount until the end of the agreement, the monthly repayments are significantly reduced.

You can then make the optional payment at the end of the agreement to purchase the car.