"Purchase Fee" - Legal requirement?

[romeogolf]

So in every PCP-type deal I've seen there's always an "option to purchase" or "purchase" fee in the final payment. Sometimes as much as £125, sometimes as little as £10.

Is there a legal reason for this? The £10 fees make me think it's not just profiteering, but wondering if anyone knows better?

[Sheepshanks]

I'm just doing one with Honda and the fees are noted, but at no cost:

Option to purchase fee £0.00
Credit acceptance fee £0.00

[Monty Python]

romeogolf said:

So in every PCP-type deal I've seen there's always an "option to purchase" or "purchase" fee in the final payment. Sometimes as much as £125, sometimes as little as £10.

Is there a legal reason for this? The £10 fees make me think it's not just profiteering, but wondering if anyone knows better?

I don't think there's anything legal about it - it's how much they company charges to type a few things into the computer.