Understand All of Your Choices
Used Car Finance – 5 Options
Which will suit your personal circumstances?
“I’ve included many inside tips, tricks and tactics to help find the finance deal that best suits your needs.
You have a myriad of options when it comes to financing your next used car. Generally, the better your credit score the more options you have at your disposal. But having a poor credit history still provides some reasonable choices, but there is a price to pay. You’ll find yourself either paying a higher interest rate, larger deposit or need for a guarantor.
Your primary ways to finance a used car are:
“This section of The Used Car Guy is dedicated to helping you find the most suitable finance package for your personal circumstances and need.
I have a dedicated page for one of my favourite car finance deals on the market today. CreditPlus are one of the few I advocate as a UK leading car finance lender.
A cash buyer is deemed to be an individual that has the money ready in the bank to buy their next used car. They generally don’t have a part exchange or any red tape between them and a purchase. Used car dealers are fond of this type of car buyer because the route to closing a sale is relatively simple and quick.
So if you have your finance arranged already via a bank, or you’ve the money from some other source that’s waiting in your bank, you are a cash buyer. This status gives you considerable leverage when it comes to buying used. It allows you certain flexibility with the dealers. You don’t need them for anything other than the car itself.
In contrast, when you need to arrange finance via a dealer there are a number of hurdles to jump. To a certain degree, this takes some of the power away from you and can kind of leave you at the mercy of the dealers. They need you to like the car and want to buy it, but you need them to help you arrange the car financing.
Finally, I discuss Car Gap Insurance (GAP) which is a vital part of today’s sensible car financing borrowing. This extensive article will lay out all of the detail so it’s easy to understand. I also suggest one leading GAP provider ALA Gap Insurance whom I’ve been working with over the last five years.
As you’ll see later, there are pros and cons to higher purchase, bank loans and buying cars via credit cards. You’ll need to read through our articles and decide which will best suit your needs.
The Used Car Guy