Hot Topics

What is a Car Loan?
There are three different types of car loan. We have covered them here to make you aware of the options open to you when seeking a car loan:
What is a Career change Loan?
If you are planning a change of career then it is likely you will experience either a big drop in or a total loss of regular earnings – and this is why people choose to take out career change loans.
What is a Bridging Loan?
A bridging loan is designed to help you when you are selling your old home and buying a new one, because it is very difficult to get the timing right.
What can I do if I think information held by a credit reference agency on me is incorrect?
If you have been turned down for a loan and you cannot see any reason why, then you can contact the credit reference agency to see your personal credit report.
How much can I borrow with a debt consolidation loan?
The amount you can borrow on a debt consolidation loan is basically exactly the same as for a normal loan.

What is a Car Loan?

There are three different types of car loan. We have covered them here to make you aware of the options open to you when seeking a car loan:

Apply now

Hire purchase (HP)
This sort of car loan is arranged by car dealerships, and in effect it means that you are hiring the car from the dealer until the final payment on the loan has been paid. When the loan has been fully repaid, full ownership of the vehicle is transferred to you.

Manufacturers' schemes
You see these types of loans advertised by the car manufacturer and these can be arranged either directly with them or via a local car dealership. Part exchanges on your current vehicle are normally accepted, and the remaining balance is paid through a loan. As with a hire purchase scheme, you will not be the owner of the vehicle until you have repaid the loan in full. If you default on repayments, the car will be repossessed. The manufacturer will sometimes offer exceptional deals, sometimes interest-free credit on selected models – however these schemes are usually offered at higher interest rates than those found with regular lenders. If the car you are looking to buy is available through a zero percent or low interest rate manufacturer scheme, it would definitely be a good choice.

Personal Loan
You have the option of either taking out a general personal loan, or a personal loan designed specifically for car purchase. The two are almost identical, but because a car loan is taken out specifically to buy a car, the lender may offer you car-related incentives such as emergency breakdown cover, free motor insurance or special discounts on car accessories at affiliate garages and stores. Personal loans normally have lower interest rates than manufacturer schemes or hire purchase loans, however you’re not so likely to get a special low interest rate deal. The main advantage to getting a personal loan is that you are free to shop around for your car, as you are not tied to a specific dealer or manufacturer, and you may find that you have more negotiating power if you are buying with cash.

 

Apply now for a car loan

 

Risk Warning
Your home may be repossessed if you do not keep up repayments on a mortgage or any debt secured on it. Security by way of a charge on your home may be required.
Think carefully before securing other debts to your home.

 

 

 

 

 

 

American Links

Car Loans
Competitive financing rates for new and used vehicles online.

Bad credit car loans
Offers secured and unsecured car loans, auto loans for residents of the US