Purchase Options
We know that sorting through your options and making the right choice can be daunting. So we'll lay out all the options for you, explain all the small details, so you can move forward with confidence!
We provide a service to you, ensuring you get the information and transparency you deserve when making a big commitment.
Let's have a look at your options here:
- Car Finance
- Bank Loan
- Purchasing Outright
There are benefits and considerations for all of the options above, so let’s dive into the information below.
Car Finance
Lower upfront cost
Car finance lets you spread the cost of a car over time. This makes newer or better-spec cars more accessible.
Builds credit history
Making payments on time can help improve your credit score, which may benefit future borrowing.
Flexible options
Different finance types suit different needs — some focus on ownership, others on lower monthly payments or regular upgrades.
Bank Loan
Flexible buying power
A bank loan can be used to buy a car privately or from a dealer, giving you more choice.”
You own the car outright
You’re free to sell it, modify it, or change insurance without lender restrictions; less complicated.
Potentially lower rates
If you have a good credit score, a bank loan can sometimes offer a lower interest rate than dealer finance.
Buying Outright
So you avoid interest charges, making this the cheapest option overall in the long run.
Stronger negotiating power
Being a cash buyer can sometimes help you negotiate a better price or extras.
No finance-related restrictions
You’re free from mileage limits, mandatory comprehensive insurance requirements; no contract.
Hire Purchase (HP) finance is a simple and popular way to buy a car by spreading the cost over manageable monthly payments. You can choose to pay an initial deposit, then fixed monthly instalments over an agreed term, and once the final payment is made, the car is yours to keep. Because the payments are fixed, budgeting is easier and there are no surprises along the way. Another helpful detail is that there are usually no mileage limits or return conditions, so you can drive the car as much as you like, and if you decide to settle early, you may be entitled to a reduction in the interest you pay!
Personal Contract Purchase (PCP) is different because it’s designed to keep monthly payments lower rather than to automatically lead to ownership. With PCP, you pay a deposit and monthly payments that cover only the car’s predicted loss in value, not the full price of the car. At the end of the agreement, you get a choice: you can pay a larger final payment to own the car, hand it back, or use it as part-exchange for another car. This gives you more flexibility, however, it is important to know that PCP agreements usually include mileage limits and condition rules, and because a large part of the car’s cost is left to the end, it can be harder or more expensive to settle early.