HP finance – Most dealerships offer car finance, this may be through their own internal department or may be using a third party such as Black Horse. Make sure that you are aware of the APR that they are charging, monthly repayments and term of the loan. Once the agreement has come to and end, the car belongs to you.
Leasing – Leasing agreements are usually long-term rental agreements which you pay a monthly fee to use a car for an agreed period and a maximum number of miles. This is a great way of getting to drive a new car without paying for it upfront. Remember to check the terms and conditions carefully for penalties and extra charges.
Personal Loan or 0% credit card – Often taking out a personal loan is a lot cheaper than taking out car finance and you also have the added bonus of being able to sell the car whenever you want to as the car is owned by you as soon as you pay the dealership. You should check the APR for the amount you need to borrow as often cheaper rates start when you want to borrow in excess of £7500. If you are only wanting to borrow a small amount then a 12 month 0% credit card may be the best way to secure your purchase.