How to Finance your Car
Looking to finance a new car?
Our vehicle finance tips will show you how to finance a car and save your hard-earned money;
1. Don’t pour your money down the drain! Investing money into something that quickly falls in value might not be the best use of your cash. Consider other financing options including leasing and Hire Purchase where you can upgrade your car after a period of time without suffering depreciation costs.
2. Know what interest rates you’ll be paying. Always make sure you’re aware of the true cost of any finance package. APR is the magic number to look out for - the cheaper the APR, the better the deal.
3. Beware of deals that sound too good to be true. 0% vehicle finance sounds great but there’s no such thing as a free lunch! With 0% interest deals, the manufacturer pays the finance company to subsidise the finance, meaning you’ll pay more for the car in the first place.
4. Shop around for the best deal. I live in Norfolk and I estimate 50% of car sales are financed through car dealers in Norfolk - often an expensive option. Compare different car finance quotes and make sure you’re getting the best deal.
5. Avoid car dealer’s tricks. There are many honest car dealers out there but be aware of the ones who aren’t. Avoid expensive warranty packages, cheaper finance deals on cars they can’t sell and trade-ins when you would get a better price independently. Most importantly, don’t be pressured into buying a car. Walk away and explore your options further.
Credo Asset Finance is an asset finance company in Norfolk, Essex and Suffolk providing car finance rates from 7.9% APR typical.*
If you’re looking for information on how to finance a car, call us for 01603 703180 for some friendly advice.
* Written details on request. A guarantor may be required.
Date Added: September 10th 2010
