Is Car Financing For You?

UK's car industry is booming and thriving partly because of the abundant choices for car financing available nowadays. Gone are the days when you need to save money for months or even years so you can buy a car in cash. Today, car finance providers are more than happy to assist and help clients get the car they want through affordable monthly repayments and other funding options.

With car finance, all you have to do is raise up the down payment for the car. Typically, it's 10% of the sale price while the rest is then repaid though monthly installments. Some lenders are even eliminating down payments from the equation to make it even easier for customers to buy their dream cars.

Just like personal loans, car finance also has APRs and repayment terms to consider. For those with good credit rating, APR is usually set low at around 8%. Buyers with bad credit rating are still welcome to apply for the loan but the APR may be higher.

As for repayment terms, you can choose from 12 months up to 60 months depending on your preference. The key is to stick with a plan that you can afford. That way you won't have to miss payment hence avoiding additional charges.