How to Spot the Best Car Loan

How to Spot the Best Car Loan

Do you want to get a car loan instead of forking out a large sum of money upfront for a car? Well did you know that some loans are better than others? When looking for car finance you should be aware of what to look for and try and opt for the Best to suit your needs.

What is a car loan?

That is basically a loan for the purpose of purchasing a car. You can usually go through a car dealership that works in partnership with reputable car financing companies who can provide the quote, help you with the application and finalise the loan, – all in one simple visit.

A quick snapshot

  • Look at the interest rate and compare with others
  • Look at the monthly repayments
  • Enquire about up front charges
  • Find out how much you will pay overall on the loan

The Best Car Loan will usually have a competitive rate of interest; the company will offer you sound advice on the amount of money you should opt to borrow. The company will ensure you understand the process and your obligations fully. They will help you with a realistic payment plan and ensure you have the means to pay it back before offering you the loan.

A quick snapshot

  • Reasonable interest rates
  • Realistic monthly repayments
  • Helpful unbiased loan advisers
  • Realistic payment plan

What if you have bad credit?

If you have bad credit, it is not advisable to try and apply for a that loan. There will be very few lenders, if any, who will offer a loan for a new car to people who have had credit issues in the past.

What you need to get car finance?

  • Good credit
  • Full UK driver’s license
  • Deposit
  • Three to six months bank statements
  • Three to six months wages slips
  • Employer information
  • Proof of address dated in the last three months

Address details for the past five years

You may need more or less, however if you are looking for the best loan, it is advisable to make sure that you have all of these things to hand. Get your finances in order and make sure you have enough money for the deposit, insurance and any other costs associated with owning a vehicle.