Car Finance

How Car Finance Works

Car finance is a popular way to make vehicle ownership more accessible and affordable. At its core, car finance allows you to spread the cost of purchasing a vehicle over time, rather than paying the full amount upfront. This financial solution has revolutionised the automotive industry, making it possible for more people to enjoy the benefits of car ownership without straining their budgets.

Types of Car Finance

There are several types of car finance options available, each designed to suit different financial situations and preferences:

1. Personal Contract Purchase (PCP): This flexible option involves lower monthly payments, with a larger optional final payment if you decide to keep the car at the end of the term.

2. Hire Purchase (HP): With HP, you pay fixed monthly instalments until you've paid off the total value of the car, at which point you become the owner.

3. Personal Contract Hire (PCH): Also known as leasing, PCH allows you to rent a car for an agreed period, typically making fixed monthly payments.

At Autozone, we understand that choosing the right car finance option can be overwhelming. That's why we offer a range of tailored finance solutions to suit your individual needs and circumstances. Our expert team is always on hand to guide you through the process and help you make an informed decision.

What Do I Need to Apply for Car Finance?

Applying for car finance is a straightforward process, but there are certain eligibility criteria you'll typically need to meet:

Age: You must be at least 18 years old.
Residency: You should be a UK resident with a valid UK address.
Income: You'll need to demonstrate a regular income to cover the monthly payments.
Driving Licence: A full UK driving licence is usually required.

It's important to note that credit checks are a standard part of the car finance application process. Your credit score can influence the types of finance available to you and the interest rates offered. However, don't be discouraged if you have a less-than-perfect credit history. At Autozone, we work with a variety of lenders who specialise in bad credit car finance and poor credit car finance options.

When applying for car finance, you may be asked to provide the following documents:

Proof of identity (passport or driving licence)
Proof of address (recent utility bill or bank statement)
Proof of income (payslips or bank statements)
Employment details

At Autozone, we've simplified the application process to make it as accessible as possible. Our friendly team is always ready to guide you through each step, ensuring you understand everything clearly.

Find a Car that Suits Your Budget with Autozone

Car finance can make purchasing a vehicle more affordable by breaking down the cost into manageable monthly payments. Whether you're looking for your first car, upgrading to a family-friendly model, or treating yourself to a luxury vehicle, we have a finance option that can be tailored to your current situation.

We at Autozone provide an extensive selection of vehicles to suit every taste and budget. From compact city cars to spacious SUVs, and from eco-friendly hybrids to high-performance sports cars, you're sure to find your perfect match on our site. Browse our comprehensive range and discover how car finance can bring your dream vehicle within reach.

Embarking on your car finance journey doesn't have to be complicated. At Autozone, we've streamlined the process to make it as simple and stress-free as possible. 

If you’re unsure on how large your car finance budget is, our innovative car finance calculator is designed to help you understand exactly what you can afford, taking the guesswork out of your car-buying experience.

Understanding How Car Finance Supports You

One of the key benefits of choosing car finance with Autozone is the flexibility it offers. We understand that everyone's financial situation is unique, which is why we provide a range of payment terms to suit your needs. Whether you prefer a shorter term with higher monthly payments or a longer term with lower monthly payments, we can find a solution that works for you.

Moreover, many of our car finance options come with the added security of warranties, giving you peace of mind about your investment. At Autozone, we pride ourselves on offering personalised financing solutions. Our expert team takes the time to understand your individual circumstances and preferences, ensuring you get a car finance package that truly meets your needs.

What is the Best Car Financing Option for Me?

Choosing the right car finance option requires careful consideration of your budget and long-term financial goals. Here are some factors to consider:

Budget: Calculate how much you can comfortably afford to pay each month, taking into account your income and existing financial commitments.
Term Length: Consider how long you want to be making payments. Longer terms may mean lower monthly payments but could result in paying more interest overall.
Mileage: If you're considering a PCP or PCH agreement, think about your annual mileage as this can affect your payments.
Future Plans: Consider whether you want to own the car outright at the end of the agreement or if you prefer to change vehicles regularly.

It's always wise to compare different finance options and do thorough research to understand which fits best into your lifestyle and long-term needs. At Autozone, we recommend seeking advice from a professional advisor for further information on which plan is right for you. Our trusted team members are always available to provide expert guidance tailored to your individual circumstances.

Make the Most of Your Car Finance

After securing your car finance and driving off in your new vehicle, it's important to maximise the value of your investment. Regular vehicle maintenance is key to keeping your car in top condition and preserving its value over time, while staying on top of your payments is equally important, as it helps build a positive credit history.

If your finance agreement includes a balloon payment, it's wise to start preparing for it well in advance. As your agreement nears its end, consider exploring new car models if you're thinking about upgrading. Additionally, take advantage of any extra benefits your finance provider offers, such as flexible payment options or early upgrade opportunities. Remember, managing your car finance well can pave the way for better credit and lead to more favourable terms for your future car finance options.

Our Finance Partners

At Autozone, we're proud to work with a wide range of finance partners, including some of the UK's most reputable lenders. This diverse network allows us to offer you the best possible car finance deals, tailored to your individual circumstances.

Our partnerships simplify the financing process for you. Instead of approaching multiple lenders yourself, we do the legwork, comparing offers to find the most competitive rates and terms. This not only saves you time but also increases your chances of approval, as we can match you with the most suitable lender for your situation.

Why Choose Autozone for Your Car Finance Needs?

• Extensive range of vehicles to suit all budgets and preferences
• Flexible finance options tailored to your individual circumstances
• Expert guidance from our knowledgeable and friendly team
• Competitive rates from our wide network of finance partners
• Simplified application process for a stress-free experience

Don't let financial constraints hold you back from owning your dream car on finance. With Autozone's car finance solutions, your next vehicle is closer than you think. 

Get in Touch About Your Car Finance Today!

Ready to start your journey towards affordable car ownership? Don't wait - get in touch with Autozone today! Our friendly team is excited to help you explore your car finance options and find the perfect vehicle for your needs and budget.

Want to speak with an expert? Give our team a call or visit us at one of our showrooms. You can also chat with one of our representatives through our website’s online chat service.

Let's make your dream of owning a car a reality.

Frequently Asked Car Finance Questions

What is Car Finance?

Car finance is a way to purchase a vehicle by spreading the cost over time. The process typically involves applying for finance, getting approved based on your credit score and financial situation, choosing a vehicle, and then making regular repayments over an agreed term.

What types of Car Finance are available?

The main types of car finance include Personal Contract Purchase (PCP), Hire Purchase (HP), and Personal Contract Hire (PCH). Each offers different terms and conditions to suit various financial situations and preferences.

Can I get Car Finance with poor credit?

Yes, it's possible to get car finance with poor credit. While it may be more challenging, many lenders specialise in bad credit car finance. Your interest rates may be higher, but it can be a way to rebuild your credit score if managed responsibly.

Why should you consider car finance?

Car finance makes vehicle ownership more accessible by spreading the cost over time. It can help you afford a newer or higher-spec vehicle than you might be able to with a cash purchase, and it offers flexibility in terms of upgrading your vehicle regularly.

How much can I borrow for my car finance?

The amount you can borrow depends on factors like your income, credit score, and the value of the car. Lenders typically use affordability assessments to determine your borrowing limit. You can use our car finance calculator on this page to get an estimate.

Where do I start my car finance process?

You can start your car finance journey right here at Autozone. Browse our range of vehicles, use our finance calculator, and then apply online or speak to one of our finance specialists who can guide you through the process.

What is the difference between HP and PCP car finance?

Hire Purchase (HP) involves paying off the entire value of the car in fixed monthly instalments. At the end of the term, you own the car outright. Personal Contract Purchase (PCP) typically has lower monthly payments, but you'll have a larger 'balloon payment' at the end if you want to keep the car. With PCP, you also have the option to return the car or part-exchange it for a new one at the end of the term.

Why do Autozone partner with a range of lenders?

By partnering with multiple lenders, we can offer a wider range of car finance options to suit different financial situations. This increases the likelihood of finding a suitable finance option for each customer, whether they have excellent credit or are looking for bad credit car finance.

Does car finance include car insurance?

Typically, car finance does not include insurance. You'll need to arrange and pay for car insurance separately. However, some finance agreements may require you to have comprehensive insurance coverage to protect the lender's investment in the vehicle.