No matter what your budget, buying a car on finance can make more sense than buying one outright. Using the right car loan calculator can allow you to budget for what could be one of your bigger purchases in life, allow you to calculate your deposit and support you in making sure you’ve got the ability to afford it without entirely decimating your savings. There are a couple of things that you need to do to make sure you get the absolute best deal though.
– Make sure your credit history is good. If you’ve got problems with your credit history, make sure the ‘problems’ are accurate – and ensure that if you’ve recently separated, or have shared your finance with someone in the past and no longer do so, that you’ve removed their association from your file. It’s important to keep a regular eye on your credit record, simply because so many things, buying wise, rely on that now.
– Once you’re sure that your credit record can support it – or you have a strong credit history and have no worries in that department, look around for the best deals. It’s important to get a great car, but it’s just as important to make sure you’re getting a good deal on that car. You can either look at second hand cars (which means you may get a ‘better’ car, but older) or a brand new car. Don’t just look at the big dealerships either – going direct might get you the best deal of all.
– Understand your credit rights and regulations fully before signing the contracts. If you’re sure that you understand the deal you’re getting, find out if you can put down ‘more’ of a deposit for a better deal, more of a guarantee or other extras. Most dealers will quite happily offer you a better package if you’re willing to pay more up front.
Remember too that buying a car on finance is a huge commitment – it’s almost as big a commitment as a loan for the same amount of money, but is often more favourable for the end user, as car finance is designed to support the easy purchase of a dream car. And once you’ve got your dream car, remember to enjoy it and the new found freedom that you’ve bought yourself – after all – you’ve earned it!
