What is Car Finance?

Car Finance is an agreement between you the consumer and the lender. This allows you to pay for the vehicle over an agreed period with affordable monthly repayments. The agreement will include interest payable on the loan balance.

Representative Example

You could risk losing your vehicle if you do not keep up payments. All applications are subject to status and affordability.

Need some help?

Our friendly team are here to help you. So don’t be shy, give us a call on 01942 466 035, send an email to info@glensidefinance.co.uk or hop on to the LiveChat.

Hire Purchase (HP)

Hire Purchase (HP) is a popular type of credit agreement with a fixed monthly repayment. The vehicle is owned by the HP / Finance company until you make the final payment of your agreement. After this, you will then own the vehicle.

Your Hire Purchase Agreement

Fixed Monthly Payment
Own the Car Outright
No Deposit Required
No Annual Mileage Limit
Early Settlement Option

Other Types of Car Finance

Personal Contract Purchase (PCP)

Personal Contract Purchase (PCP) are appealing because of the low monthly repayments and low deposit requirements, this is also something that is beneficial for someone who likes to change their vehicle often. During the contract, the car belongs to the finance company and your payments only cover depreciation. Once your contract ends, you have three options:

Pay the remaining amount of the agreement which is often referred to as the balloon payment. Once this has been paid you will own the vehicle.
Exchange the vehicle and start a new agreement.
Return the vehicle to the supplier.

You may be penalised if there are mileage restrictions or if the car is kept in a poor condition.

Personal Loan

Personal Loan is appealing to most who wish to own the vehicle straight away. This involves borrowing money to fund the vehicle, from either banks or building societies which is paid directly to you for the purchase. The loan is then paid off in instalments for the approved duration.

Leasing

This is a great option to drive a vehicle you usually wouldn’t be able to buy. Leasing is basically renting a vehicle for a duration of 24 to 48 months and then returning it at the end of the agreement. This is available for a Personal or Business terms. No option to purchase.

You may be penalised if there are mileage restrictions or if the car is kept in a poor condition.

How do Car Finance options compare?

	Bank Loan	PCP	HP	Leasing
Fixed Monthly Payment
Own the Car Outright
No Deposit Required
No Annual Mileage Limit
Early Settlement Option

How do Car Finance options compare?

	Bank Loan	PCP	HP	Leasing
Fixed Monthly Payment
Own the Car Outright
No Deposit Required
No Annual Mileage Limit
Early Settlement Option

Things to consider before applying with Glenside Finance

Before you decide to apply for finance for a vehicle, we would encourage you to ensure this is the right decision for you. Please read our pros and cons blog post for some guidance:

You must be at least 21 years old and a permanent UK resident.
You must consent to a credit search which may leave a footprint on your credit report.
You must have fully comprehensive insurance.
You must have a full UK driving licence with no serious convictions.
The dealership you are looking to source the vehicle from, needs to be FCA registered and to be sure please check online.
We encourage you to discuss the vehicle with the dealership, to make sure you know as much history as possible before making a decision.
Details of your credit agreement will be recorded with credit reference agencies.
Protection under the Consumer Credit Act Termination Rights and Protection under the Consumer Rights Act.
The vehicle is at risk of repossession if you do not maintain contractual repayments.