| If you have chosen to buy a used car as opposed to | | | | your advantage if you are able to pay off the |
| a brand new model you may be able to save | | | | balance within the 0% period. |
| yourself a great deal of money. However, at the | | | | When comparing loans for used car finance always |
| same time, your bank balance still might not stretch | | | | remember to compare the APR, this is the annual |
| to paying cash and you may have to look for used | | | | percentage rate. The cheaper this is then the |
| car finance. Here are some points you may want to | | | | cheaper the loan works out in the end. Look carefully |
| consider | | | | at any loan that seems to come with very low rates |
| Arranging your own finance before you go to the | | | | of interest as they may be quoted as weekly or |
| dealer, if this is where you have chosen to buy, may | | | | monthly rates. |
| work out in your favour as the personal loan often | | | | Always check to find out if you have to pay a lump |
| comes with cheaper interest rates than hire purchase. | | | | sum fee if you pay off the loan earlier than |
| If you are going to look around with used car dealers | | | | anticipated. For example if you take advantage of a |
| for the car then always work out before you go | | | | special deal with a lower rate of interest for so long |
| how much you want to spend on a car. Use online | | | | which then reverts to a higher and you pay off the |
| loan calculators to work out how much you have to | | | | loan early to avoid the higher rate, you may have to |
| pay back monthly and how much the loan costs in | | | | pay a fee. |
| total. It may be tempting to go to the dealer and | | | | Never rush into making any decision or sign any loan |
| see a car above your price range and be tempted or | | | | agreement without first looking over the agreement |
| talked into taking on something you cannot afford. | | | | very carefully. When taking used car finance with the |
| If you are buying a very cheap used car, you may | | | | dealer they may try to tempt you to rush into |
| want to consider using your credit card to buy the | | | | signing by telling you such things as the particular |
| car. If you have an excellent credit rating, you may | | | | used car you are looking at has others coming back |
| be able to put the car on your credit card and then | | | | to look again who are considering buying it. |
| switch to a 0% balance transfer. This may work to | | | | |