Free Guide Download

Cash or Savings

Many people prefer to save up and pay for their car outright, rather than having to pay interest on a loan. If you do decide that this is the best option for you, there are a few things to bear in mind:

  • Always make sure you have enough savings left over after you’ve paid for your car to cover any unforeseen emergencies.
  • Even if you don’t have enough savings to buy the car outright, it’s still worth using what you have to pay the biggest deposit you can.
  • Buying with a credit card gives you the added benefit of credit card purchase protection. So even if you still plan to use savings, using this method may be the safest option. Just make sure you pay your bill in full the following month.
  • Not all dealers accept credit card, but if they do, you could find yourself being charged a handling fee.
  • It often makes more financial sense in the long term to use cash, as you avoid paying interest on anything borrowed.
  • It’s important to remember that if you take out car finance, the company you’re borrowing from actually owns your car throughout your contract. If you pay cash, you’re the sole owner and don’t run the risk of losing it should you fall behind with your payments.

Getting to know your options

There are lots of different ways to finance your new car, so if you’d like to know more about what’s available, this handy guide from the Money Advice Service will have all the answers.

Dealers usually earn money on the finance as well as the car, so it’s a myth that you’ll always get a better deal a…

16 Aug 2018

Don’t be daunted by car finance. The first step is to do your research and work out how much you can afford to pay…

13 Aug 2018

By comparing like-for-like plans on different products, you'll make sure you're choosing a deal you can afford. Fo…

07 Aug 2018

What is Car Finance Made Simple? Just simple, impartial information that cuts through the jargon. Find out more:…

02 Aug 2018

The bad news? Car finance can be confusing. The good news? It doesn’t have to be. Get all the information you nee…

31 Jul 2018

It’s bank holiday!!! Make your hungover Monday productive and find the car finance product that will help you get t…

07 May 2018