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Car Finance - What would you recommend?
TemmyTemjin
Posts: 40 Forumite
in Motoring
Hello folks,
I need to sort myself out a car. I have a decent amount saved away that would cover pretty much 45-50% of the purchase however it's clear I will need some form of finance to complete it (I don't want PCP. I want to own the thing I'm paying for).
What would you advise? My understanding is there are a few options here:
- Dealership finance (HP)
- Personal loan
- Credit card (?!)
At the end of the day my intent is to secure the lowest interest possible on any money which I borrow. But still, how would you decide on the 'best' method?
Ta!
I need to sort myself out a car. I have a decent amount saved away that would cover pretty much 45-50% of the purchase however it's clear I will need some form of finance to complete it (I don't want PCP. I want to own the thing I'm paying for).
What would you advise? My understanding is there are a few options here:
- Dealership finance (HP)
- Personal loan
- Credit card (?!)
At the end of the day my intent is to secure the lowest interest possible on any money which I borrow. But still, how would you decide on the 'best' method?
Ta!
0
Comments
-
HP is the same as a PCP with the only difference being the entire cost is spread over the finance period rather than some if it deferred to the end, you still won't own the car until the end of the agreement.
If you want to own it from the outset then you need to get a loan, the cheapest you can get.0 -
I just bought a new car & they paid me £1000 to use their 0% finance. I don't understand such things, I just take their money.Tall, dark & handsome. Well two out of three ain't bad.0
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And how much did you get off the car, possibly not as much had there not been a 0% deal. No such thing as a free lunch.EssexExile wrote: »I just bought a new car & they paid me £1000 to use their 0% finance. I don't understand such things, I just take their money.0 -
The lowest interest possible will be from 0% with a Money Transfer card, then 0% with a Balance Transfer card and pay it down within a couple of years.
Good luck.0 -
TemmyTemjin wrote: »Hello folks,
I need to sort myself out a car. I have a decent amount saved away that would cover pretty much 45-50% of the purchase however it's clear I will need some form of finance to complete it (I don't want PCP. I want to own the thing I'm paying for).
What would you advise?
Buy a car for 45-50% of the price you were looking at? You'd not need finance and you'd also own it outright. £4000-£5000 buys a very good car nowadays.
Other than that if you're wanting to own a more expensive one then you need to get an unsecured loan or a credit card with 0% on purchases.This is a system account and does not represent a real person. To contact the Forum Team email forumteam@moneysavingexpert.com0
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