Helpful tips when buying a car on finance
Next to a home, buying a new or nearly new car is one of the largest single purchases any person will make in their lifetime. It’s a scary thought isn’t it? Like houses, most of us of course aren’t fortunate enough to be able to afford to make such a purchase in one go. That’s when you are introduced to the world of car finance, which, just like a mortgage, can be a daunting and often confusing prospect.
It’s often not simply a matter of finding the car you like, filling out a few forms and then setting up a direct debit from your bank account. So here are some basic helpful tips if you are considering buying a car and need to do so using car finance:
Keep your options open
Don’t assume that you have to finance your car purchase through the dealer that you buy it from. It’s an easy trap to fall into, you find the car you like, sit down and sign on the dotted line for the finance. But many people don’t realise that you’re not under any obligation to get the finance from the dealer. At Match Me Car Finance, you can get a no-obligation quote without impacting your credit score.
Make sure you can afford it
It might sound obvious, but it’s very easy to get carried away when buying a car. Have a budget in mind before you start to look around, otherwise you may find your head being turned before you’ve done your sums which is dangerous territory! Look into how much you can comfortably afford within your monthly budget, ensuring all essential bills are met first. You’ll be glad you did, because the disappointment of realising you maybe can’t afford the car of your dreams will be replaced with the joy of finding just as good a car that suits your budget.
Check that APR
When working out what you can afford, don’t just look at monthly payments – be sure to also check the APR and amount of monthly payments to make sure you’re not paying for too long a period – or paying more for the car in total than you expected.
Get a credit check-up
Your credit rating will be crucial in getting a good car finance deal. You can check your credit rating online and we have some helpful tips on how to do this too. Click here to find out how you can check your credit rating. If you find that your credit rating is low, don’t despair, Match Me Car Finance specialise in poor credit car finance and when you apply for a quote for car finance with Match Me Car Finance it doesn’t have any impact on your credit score.
Check the small print on your car finance agreement
Not all car finance deals are the same – take time to check your particular agreement and the terms of the finance – for example, if you have a PCP Agreement, what are your options or restrictions when it comes to an end?
