What is a car finance settlement figure?
Your ‘settlement figure’ is the amount that the car finance company require to pay off your finance in full. Since this changes as interest is added and as payments are made, requested settlement figures are usually only valid for a short time.
How does financing a car work?
In most cases, car finance providers pay for or provide your vehicle after you pay a deposit. Then, over the course of an agreed repayment period, you’ll pay off some or all of the price. The product you choose will decide what happens at the end of the agreement – but common options include taking ownership of the car, handing it back, or upgrading it.
Does car finance count as a loan?
Car finance is a loan – but it’s one that’s often secured against the vehicle you’ve decided you want. As such, it’s often viewed a little differently to a personal loan – which is not secured against anything.
Who is my car finance with?
Don’t worry if you can’t remember who your car finance is with. You can find out by checking your paperwork, looking at who you make your payment to through your bank, or calling the dealership you bought your car from.
What is a guarantor on a car loan?
A guarantor car loan is an agreement in which a third party (usually a family member or friend) agrees to guarantee the repayment of your loan if you fail to keep up with your payments.
What happens if you lie on a car loan application?
Lying on a car loan application is a form of fraud and is illegal. If you’re found to have done this, you could face prosecution and you may find it harder to get credit in the future.
What do you need to finance a used car?
When you’re applying for finance for a used car, it’s useful to have the relevant supporting documents such as information on your vehicle of choice, your financial details and proof of address and income. You may also need a deposit.
Should you finance a used car?
Buying a used car with a finance agreement can be a good option. As with any financial agreement though, it’s always important to check the details carefully and to consider the pros and cons.
Is car finance worth it?
Car finance agreements can be a great option for a wide range of people. Before committing to a deal though, it’s always important to read the terms carefully and consider the pros and cons.
How old can a used car be to finance?
The maximum age of used cars eligible for finance agreements tends to be 10 years, although there are exceptions to this.
How much is left on my car finance?
The simplest way to find out how much is left on your car finance agreement is to contact your lender. Alternatively, you can calculate this figure yourself.
How many years will a bank finance a used car?
The number of years banks will finance a used car for depends on the particular agreement you enter into. Usually, agreements are available for terms of between 12 and 60 months.
How long are car loans for on used cars?
Car loans for used cars vary in length. Terms are typically between 12 and 60 months.
Does car finance include insurance?
Car finance agreements don’t tend to include insurance as standard, but there are packages available that do.
Do car finance companies contact employers?
Car finance companies don’t usually contact employers to assess eligibility. However, in some circumstances, they might.
Can you transfer car finance to someone else?
In general, you cannot simply transfer a car finance agreement to someone else. However, there may be other options available to you that meet your needs.
Can you refinance your car loan?
Yes, you can refinance your car loan. However, you should carefully assess the pros and cons of doing so before you make a decision.
Can I get car finance for a private sale?
Yes, certain lenders will consider offering finance for a vehicle that is sold privately.
Are car loans secured or unsecured?
Car loans can be secured or unsecured, depending on the type of agreement you get.
Are car loan payments tax deductible?
Under certain circumstances, you can claim the cost of a car as a capital allowance, meaning you can deduct some of the vehicle’s value from the profits of your business before paying tax. However, strict criteria apply.