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Answering five key questions surrounding vehicle finance

With the phrase ‘vehicle finance’ racking up an average of 590 searches monthly on Google’s search engine and raising over 40 questions around the topic on consumer rights portal, Answer The Public, it’s clear to see that there’s plenty of interest in vehicle finance.

Long Term Van Hire, vehicle hire specialists, helps us gain a better understanding on the subject as they take us through the answers of five key questions surrounding vehicle finance:

 

What does vehicle finance mean?

 

Very few motorists would be able to afford paying off a vehicle they want to purchase in one lump-sum payment, so vehicle finance comes into play as a means through which to pay off a purchased vehicle over an agreed upon term.

 

Who qualifies for vehicle finance?

 

Eligibility for vehicle finance depends on the convergence of factors including your individual circumstances as well as the firm or lender, so there isn’t any one clear answer to this question.

 

Many options are available though, which affords just about every driver the opportunity to find something suited to them.

 

• Hire Purchase (HP) – You put down a deposit and then proceed to pay off the remainder of the vehicle over a number of monthly instalments

• Personal Contract Hire (PCH) – You get to use a vehicle which you rent over an agreed period of time

• Personal Contract Purchase (PCP) – You put down a deposit for the vehicle required and then you make monthly repayments over an agreed period. Once the term has lapsed, you can either keep the vehicle, trade it in for a replacement car or return the vehicle and walk away.

 

How long does vehicle finance take?

 

Originally posted 2017-03-08 13:29:44. Republished by Blog Post Promoter