Below you’ll find answers to some of the most commonly encountered questions relating to car loans and finance.
Car finance providers typically ask for this for the following reasons:
It’s impossible to say specifically because so much depends upon the individual circumstances involved and the car loans provider who made the decision.
Generally speaking, many types of credit history troubles are relatively minor and routine. The lender involved may have seen them all before and might not be fazed at all, particularly if the problems were some time in the past.
In other cases, the problems may be more recent and more severe. In those situations, some providers may decline to offer car loans.
There may be some specialist providers who would be prepared to accept such issues, though you may need assistance in finding them.
Assuming that you have met the typical lending criteria in terms of deposit and affordability testing and that you do not have particularly severe credit history problems, it’s possible to speculate that you simply approached the wrong lenders.
Finding car loans for vehicles such as Ferraris and Lamborghinis (etc.) can involve specialist car loan providers and the assistance of an intermediary can often be highly beneficial.
The differences between some forms of leasing and hire purchase have eroded over time. Even so, there are some significant differences that typically, though not necessarily always, apply:
There may be other more subtle taxation and accounting issues to be considered in situations where the car was intended as a business vehicle. They should be discussed with your accountant or a specialist provider of car loans, to help you in your choice.
Yes, for the simple reason that it is not yours to sell.
The vehicle only legally becomes yours once you have made the final repayment and the car loans provider has transferred ownership into your name. Selling the vehicle before that has taken place would be a prosecutable offence.
However, in some special circumstances, your car loans provider may authorise you to sell the vehicle – providing that their financial interests are safeguarded. You should speak to them on this before going any further with your plans.
This question cannot really be answered.
Firstly, it is recommended that you think about the suitability of a car loan for your circumstances rather than exclusively which loan or related facility is likely to be the cheapest. For example, do you mean cheapest in monthly repayment terms or over the entire term of the repayments?
Secondly, a huge amount will depend upon things such as the type of vehicle you are trying to buy, the funding route you wish to go down and your own financial position.
It’s best to consult a specialist funds provider who can offer you guidance in this area.