Loan for car - best way

smallzoo

We are looking for a nearly used car around £7k but we are not sure of the best route for the loan :-

1. Car finance from the car dealer
2. Personal Loan.

We are a member of CreditExpert, which despite lots of criticism, has been good in finding errors and problems with our credit file. According to their 'score' my credit is currently 'Fair' but thats because our mortgage lender has made a mistake which they are on the process of correcting. Before their mistake my rating was 'Good'

Anyway, what do people think is the best method for purchasing a car over 3 or 4 years and the most likely to be accepted rather than refused and have a note on our file..

Many thanks

Tixy

In general secured finance on a vehicle is easier to get than a unsecured loan.

For the most desired borrowers (clean file, stable, easily affordable) the APRs available should be similar.

Whether you would be likely to get the best deals doesn't just depend on your credit file, and certainly doesn't just depend on your rating. You whole financial position/situation will also be considered.

Personally I'd always choose an unsecured loan and owning a car myself rather than finance, but some others appear to prefer finance.

[Deleted User]

if you are going for £7k i would advise you uping that the £7.5k,the APR should be lower on that amount