Car finance

donnyrovers91

Just wanted some advice over a car finance agreement I have got.


I have about £2300 left on the agreement to be paid for a further 12 months but for an early settlement I can cut around £200 of interest.


Does anyone know if you can do a balance transfer for a HP agreement or is this not possible?


thanks

SID160991SID

This is not possible lots of car finance companies will not let you pay off outstanding finance with a credit card or any other form of credit unless you get a personal loan with a better interest rate there's nothing else you can do. Hope this helps.

YorkshireBoy

SID160991SID wrote: »

This is not possible lots of car finance companies will not let you pay off outstanding finance with a credit card or any other form of credit unless you get a personal loan with a better interest rate there's nothing else you can do. Hope this helps.

Doesn't really help.


OP, get yourself a Money Transfer credit card from the likes of MBNA, Virgin, Tesco, et al. Transfer the cash to your current account at 0% for x months. There will be a small fee payable, typically 3-4%, but sometimes less.

SID160991SID

Not a bad idea although would have a negative impact on the OP's credit file more so then a personal loan IMO.....

wgl2014

SID160991SID wrote: »

Not a bad idea although would have a negative impact on the OP's credit file more so then a personal loan IMO.....

Why?

Take out credit and pay it off...... Is this not what potential lenders want?

Although I would suggest a low APR personal loan would be the cheapest way to pay the finance off if the OP qualifies. The potential saving is still not going to be huge though so also may not be worth bothering with......

YorkshireBoy

OP needs £2,100.

MBNA's 2.99% fee will be £62.79

The saving is (£200 - £62.79 £137.31

Worth having surely?

And the icing on the cake?...because it's 28 months 0% they could continue to pay the minimum payments throughout and put the difference/saving into 2 years of 5% regular savers, thereby negating the fee altogether...perhaps even making a profit on it!

ceredigion

YorkshireBoy wrote: »

OP needs £2,100.

MBNA's 2.99% fee will be £62.79

The saving is (£200 - £62.79 £137.31

Worth having surely?

And the icing on the cake?...because it's 28 months 0% they could continue to pay the minimum payments throughout and put the difference/saving into 2 years of 5% regular savers, thereby negating the fee altogether...perhaps even making a profit on it!

To clever for petrol heeds, my friend