Car finance

Many ‘car finance loans’ offered by garages and some lenders are actually hire purchase agreements. Hire purchase is different from a personal loan because you don't own the car until you have made the last repayment. So check what you are being offered first and know what you are signing up to.

The main reason you might choose a hire purchase agreement is convenience, as the garage selling you a new car may also arrange your finance. So, it saves you having to visit your bank, building society or credit union to arrange a personal loan.

Back to top