WHAT’S THE APR ?
We write finance from 2.99% upwards depending on what you qualify for
What you’re really asking is why do APR rates differ?
There are several things that will affect the rate that you are offered.
The main point being:
Credit Score – your credit rating will have a direct impact on the rate that you are offered. The better your credit rating, the lower the APR you will be offered. The difference between someone with an Excellent credit rating and someone with a Poor credit rating does vary.
Your rating is a part of the scoring system used by the finance companies to help them decide how to price the risk of doing business with you and arrive at a suitable interest rate.
Rates from 6.9%: the exact rate you will be offered will be based on your circumstances
Representative example: borrowing £8,500 over 5 years with a representative APR of 10.9%, an annual interest rate of 10.9 (Fixed) and a deposit of £1000, the amount payable would be £139.00 per month, with a total cost of credit of £7750.00 and a total amount payable of £10,480
Rates may differ as they are dependent on individual circumstances. Subject to status.
Are you with me so far ? Great…..
So, a credit score is issued by the credit agency and is used to estimate your creditworthiness.
Every time you apply for credit, be it car finance, a personal loan or even a mobile phone contract, your details are checked by the lender with one of three major credit agencies. These agencies hold a wealth of information about your financial history, including any credit agreements you have been in previously, any missed payments on previous finance agreements, and any times you have been refused credit in the past. If you have paid back debts on time and managed your credit well, you will generally have a good credit rating. If you have defaults, CCJs or any other negative marks on your credit file, you’ll probably have a bad credit rating and could find it harder to even get accepted for future credit.
Your credit rating is analysed and assessed. The number of searches on your file, traceability of your previous addresses, being on the electoral roll, and how much credit you already have access to is tracked by the credit agencies.
This is then used to calculate your Annual Percentage Rate (APR) The APR shows the annual cost of a finance agreement over and above the amount you have borrowed. The APR will include interest rate charges and any other fees included in the agreement, such as administrative fees. By law, the APR must be shown on relevant documentation presented to customers in showrooms.
Our Customers are provided with clear information and are kept appropriately informed before, during and after the point of sale.
You will receive advice, and that advice will be personal to you and take into account all of your circumstances. At the end of this process you will be offered a low payment plan and we will provide the finance solution for YOUR new car.
If you think you’re alone when you’re looking to borrow money, you are not. Thousands of people all over the UK are seeking all kinds of loans, to finance their new vehicles.
You will sign a credit agreement which is a legally binding contract between yourself and the finance company.
It will include details of the loan amount, the term, rates of interest, other charges and your rights and responsibilities for the duration of the agreement. You will receive a copy of the agreement you enter into.
You can be confident that you are dealing with a company where the fair treatment of customers is central to our business culture.
Looking for finance advice?
We help explain car loans and what your credit options are. At Pennine Auto Group we aim to help our customers understand all the finance options that are available to them, before looking to provide the best finance solution.
If you’ve simply never built a credit profile or just missed repayments on debts or other loans, bad credit can affect your chances of securing a loan from lenders, car dealers and high street banks. Whilst poor credit limits your options, there is a way. If you’ve wondered how you can finance a car with varied credit. You can finance your car with us!
We have access to Over 20 Trusted Lenders. We can provide a variety of Finance Solutions including HP, PCP and Lease Purchase Options. We have Low Payment Plans available. We pride ourselves on our Competitive market Price points. We will offer you Free Credit Advice and what’s more It’s a secure way to fund your next vehicle.
DO I NEED A DEPOSIT?
With Vehicle finance deals you’re usually asked to put down a deposit. Normally this can be around 10%, but it’ll vary depending on what deal you’re after.
Putting a little more money down at this stage could help the lender’s confidence in your ability to make repayments. This in turn may result in a better interest rate for you.
0% FINANCE OR LOW RATE PLANS
0%’ deals or low interest rate plans are often offered, usually to shift an outgoing or slow-selling model. These can work out affordable, with no interest charged on your monthly repayments. Bear in mind that they typically require a large deposit (35% or more) and that you’ll be unlikely to negotiate any further discounts and if you miss any payments, you’re usually switched to a scheme with a much higher interest rate.
We would always look to give you a figure you are happy with
For ease and simplicity, Just provide us with all the details and a few photographs and you will get an updated valuation by one of our team and then trade it in for a different car of your choice. Naturally, the value of your old vehicle is taken off the price of your new car and that’s it!
It’s an ideal way to sell your car and buy your next one all in one transaction. You also get the feel-good factor of trading in your old vehicle and driving around your new car of choice. Don’t forget we will need your V5 / logbook and any service history you have.
OLD CAR ON FINANCE
Part exchanging a car with outstanding finance is very possible, indeed. At Pennine Auto Group we have several approaches to this depending on the current status of your car’s finance.
It is possible to get a newer car even though your current car has outstanding finance.
Yourcarfinder-Pennine Auto Leasing Ltd Pennine House Canal Wharf Canal Street OL165NA
The process is quite simple really. All you need is the settlement figure from your existing finance company in order to settle the current agreement. then one of our team will give you an updated valuation for your current car.
Hopefully you won’t be in negative equity and the car is worth more than the amount of finance you owe on the vehicle.
If this isn’t the case you may need a cash deposit to make up the difference. If you can’t make up the difference you may be able to refinance some of the negative equity using one of our finance solutions. We can often settle your current finance, providing your application meets the criteria, we do have lenders that can cover the negative equity and transfer this on to the new finance agreement.