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You can find below a list of commonly asked questions! If you can’t find the answer you’re looking for, please don’t hesitate to get in touch.

As the name implies, car finance, or a car loan, is a type of credit option which allows you to spread your repayments over a period of time when buying a car. It’s therefore a lot more affordable than buying a car outright. There are a number of car finance solutions available, though the two most common are Personal Contract Purchase (PCP) and Hire Purchase (HP).

The main two types of car finance are Personal Contract Purchase (PCP) and Hire Purchase (HP). With the former, you’d pay an initial deposit, and then enter into a fixed term contract, making monthly repayments. At the end of the agreement, you can make a balloon payment, which is a final lump sum to cover the remaining cost of the vehicle.

With a Hire Purchase agreement, the process is almost identical, except you wouldn’t make a balloon payment at the end. Instead, you would continue making monthly instalments until you owned the car outright.

Finance loans of between £4,000 and £200,000. How much you can borrow will depend on your individual circumstances, such as your income and the amount you can afford to repay each month. Not to mention the cost of the car you wish to purchase!

When applying for car finance, you’ll need to possess a full or provisional driving licence, be a UK resident, be aged 21 or over and have a regular income. You don’t need a perfect credit score to qualify - all credit histories are considered.

When you make an application lenders normally perform soft credit checks at the initial stage, which won’t impact your credit score. It’s important to bear in mind though, that if you’re matched with a lender, they may choose to undertake a full credit check, which would be reported on your credit file.

Yes - you don’t need perfect credit to apply! Even if you’ve been turned down for car finance previously.

To put it simply, wherever you like! Once you’ve been approved for car finance, you can choose a new or used vehicle from any reputable UK dealer.

The rate you’re offered will largely depend on your individual circumstances, such as your disposable income and credit history. The cost of the vehicle you’re looking to buy will also be a major factor. The quickest way to determine the cost of repayment is to use our free car finance calculator.

Most online application shouldn’t take more than a few minutes to complete, you’ll then get a quick decision on screen. Just bear in mind that you can speed up the process by having the appropriate paperwork to hand!

No, Never!

To complete your application, you could need the following things to hand:

  • Your driving licence
  • Information about your employment and income - you’ll need to provide your monthly income after tax
  • Another form of identification, usually a passport
  • Proof of address, usually a utility bill (needs to be dated within 90 days of application)

With both hire purchase (HP) and personal contract purchase (PCP), until you make the final payment (which would be a balloon payment for PCP), the lender technically owns the car. You can check your contract for more information.