New Vehicle Payment

The New Vehicle Payment is an additional support feature provided by the Motability Scheme, offering a £750 payment to assist with the expenses associated with owning and operating a new vehicle.

Originally introduced in 2022 with a value of £250, the payment has been increased to £500 in 2023. Starting from March 2023, recipients will receive this financial assistance, whether it's the full amount of the supplemented £500.

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What is the process?

Customers who are eligible for the New Vehicle Payment now have the option to have it sent directly to their dealer to assist with some or all of their Advance Payment.

At the point of ordering their new car or WAV, the dealer will enquire if the customer would like to take advantage of this option. If the customer decides to send their New Vehicle Payment to the dealer, Motability will make the necessary arrangements on their behalf before the new vehicle is ready, meaning that the customer does not need to take any action.

A letter will also be sent to the customer confirming the arrangement once their order has been accepted.

If your Advance Payment is more than £750

When obtaining a new vehicle through the Motability Scheme, customers are required to pay the difference between the New Vehicle Payment and their Advance Payment to the dealer upon receiving the vehicle.

For instance, if a customer selects a vehicle with an Advance Payment of £1000 and opts to send their New Vehicle Payment to the dealer, they would need to pay the remaining balance of £250 when collecting the new vehicle.

If your Advance Payment is less than £750

After the customer receives their new vehicle, Motability will send them the difference owed within a week or two.

For instance, if a customer selects a vehicle with an Advance Payment of £500 and decides to send their New Vehicle Payment to the dealer, the remaining balance of £250 will be sent to them within a week or so after they collect the new vehicle.

If the customer has already saved their bank details in their Motability Scheme online account, the payment will be transferred via bank transfer. Alternatively, if the bank details are not available, a cheque will be sent instead.

Sign in to your Motability account here

What if I choose not to send my New Vehicle Payment to my dealer?

The process for receiving the Motability New Vehicle Payment is straightforward and hassle-free. Customers are not required to take any action, as the payment is automatically processed once they take delivery of their next Motability lease.

If you have already uploaded your bank details to the online Motability portal, the payment will be transferred directly into your bank account and may take up to three days to clear. The payment will be sent via cheque if your bank details have not been uploaded.

Sign in to your Motability account here

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Good Condition Payment

If you take care of your car or WAV, you'll get money back at the end of your lease if you return your car in good condition.

Upon returning the vehicle to the dealer, they will take a brief description and photo of its condition. Over the lease period, it is possible for the vehicle to display signs of wear and tear such as minor scratches, dents or damage resulting from the use of wheelchairs or other mobility aids. As long as there is no substantial damage, customers should be eligible for the payment.

How much will I receive?

The payment amount a customer receives is dependent on the length of their lease agreement. A three-year lease entitles the customer to a payment of £250, while a five-year lease entitles them to £350.