Car finance in Leeds
Car finance in Leeds
If you are in the market for a new car in Leeds, you may need car finance in order to make it possible. Here at Car Finance Genie, we are ready and waiting to assist with your application.
Whether you know a lot or a little about car finance in Leeds, allow us to be your guide to the process, drawing upon our industry expertise and an extensive network of carefully selected lenders and dealers. You could be behind the wheel of your desired new car in Leeds in next to no time!
Car finance: the basics
Before you start shopping around for a new car, there are some things you should consider first.
- The amount of money
You will want to work out how much money you have available to spend on a new car. This is called your budget. You may already have an idea of how much you can afford to pay, or you may need to do some research into the market value of your current car before you decide on a price.
There are, of course, many types of cars available on the market, ranging from city cars and superminis to sports coupes and SUVs.
These different types of cars will naturally come with different requirements as far as the finances are concerned. However, here at Car Finance Genie, we will strive to help ensure you can access a car finance deal for the car you truly need or want.
- Length of loan
If you are looking to apply for car finance, you can expect to be offered a loan over a set period of time. This is known as the term of the loan.
There are naturally advantages and disadvantages to choosing a shorter or longer repayment term. The opportunity to pay off a loan sooner has obvious attractions, although if you opt for a longer loan term, this will help lower the amount you need to pay each month.
Here at Car Finance Genie, we could help you secure the car finance deal that has a repayment term to suit you.
- Interest rate
This is the cost of borrowing money. It isn’t just the headline price of the car you will need to repay over the loan term, but also the interest; our online car finance calculator will assist you in determining how much you can afford.
Repaying a loan involves making regular payments to the lender. These repayments are made every month, and they’re based on the length of the loan.
Once you have completed the repayments on the loan, the car may become yours immediately, or you might have the option to return or exchange the car. This will depend on the type of car finance agreement you have, as we explain in further detail below.
What are the different types of car finance in Leeds?
Once you’ve worked out how much you can afford, and how long you plan to keep the car for, you’ll need to choose between different types of loans. There are two main options: personal contract purchase (PCP) and hire purchase (HP).
- Personal contract purchase
With a PCP deal, you will be paying a fixed amount each month, but even once you come to the end of the main repayment term, you won’t automatically become the owner of the car.
Instead, you will need to pay a final ‘balloon’ payment in order to acquire the vehicle for good; however, you do also have the option at the end of a PCP deal of simply returning the car or exchanging it for another one.
- Hire purchase
A HP car finance deal has much in common with a PCP one, although there are also some key differences.
With a HP agreement, you will be able to avoid the excess mileage charges that are associated with PCP deals. In addition, an important thing to know is that once you’ve completed the repayments on the loan, the car will automatically become yours, with no final ‘balloon’ payment needing to be made.
Why look elsewhere for car finance in Leeds?
When you are attempting to find car finance in Leeds, it is important to ensure you have all of the facts available. It is easy to get caught up in the excitement of buying a new car, but you should always remember that you’re going to be responsible for repaying the money you borrow.
To ensure that you receive the best car finance in Leeds, follow our guidance, and ensure that you have the facts that you need. Then, get in touch with our team by calling 01277 583 046, or complete and submit a free, no-obligation quote for car finance through our website today.