Types of Finance

Looking for quick
& easy car finance?

At Exclusive Car Finance, we understand that choosing the right financing option is essential for your next vehicle purchase. Whether you’re interested in Hire Purchase (HP), Personal Contract Purchase (PCP), or zero deposit loans, we offer a range of flexible solutions tailored to your unique financial situation. Our expert team is here to guide you through each option, ensuring you find the best fit to help you drive away in the car you truly want. Discover the possibilities and take the first step towards your new vehicle today!

HP (HIRE PURCHASE)

How Hire Purchase (HP) Finance Works

A Hire Purchase (HP) car finance agreement allows you to finance the purchase of your new or used vehicle, minus the deposit you provide.

As the customer, you'll repay the loan in monthly installments, which include both the principal amount and interest based on your selected plan.

Typically, HP agreements last between 1 and 5 years, and at the end of the term, you’ll have the option to take full ownership of the vehicle for a small fee, usually around £10.

Interested in purchasing your new car through Hire Purchase? We will conduct a credit check, but rest assured, we regularly secure loans for individuals with less-than-perfect credit scores.

Why Choose Exclusive Car Finance for Your HP Agreement?

At Exclusive Car Finance, our goal is to help you get behind the wheel of the car you truly desire. We strive to provide you with options that suit your unique situation.

Regardless of your credit score, we can assist you in finding the best Hire Purchase deal. Whether you're after a spacious family car or a sleek two-seater for weekend adventures, we’re here to support you every step of the way.

PERSONAL CONTRACT PURCHASE

Understanding Personal Contract Purchase (PCP)

If you’re looking for flexibility with your next vehicle, a Personal Contract Purchase (PCP) might be the right choice for you. At the end of your agreement, you have three options: own the car, trade it in for a new one, or simply return it.

One of the key benefits of a PCP agreement is that your monthly payments won’t necessarily cover the entire cost of the vehicle. The lender will evaluate how much the car is expected to depreciate during your ownership and adjust your borrowing amount accordingly.

As a result, monthly payments are generally lower compared to other financing options, such as Hire Purchase (HP). However, it’s important to note that you won’t automatically own the car at the end of the term.

PCP is an excellent option if you like to change cars frequently and don’t drive many miles each year. Just keep in mind that specific terms and conditions apply, and fees may be incurred if you exceed agreed mileage limits or if the car's condition doesn’t meet expectations.

Your monthly payments will be influenced by several factors:

The deposit amount you choose to pay
The total cost of the vehicle
The interest rate applicable to your agreement
Your expected annual mileage
The future value of the car, as determined by the lender

BAD CREDIT FINANCE

Can I Get Car Finance with Bad Credit?

Absolutely! At Exclusive Car Finance, we help individuals secure car finance even with bad credit, regardless of past rejections.

We understand that a poor credit score can happen to anyone and shouldn’t prevent you from driving the vehicle you desire. Factors such as CCJs, IVAs, or missed payments on other loans can contribute to a low credit score.

No matter your situation, our dedicated team is here to find the best deal for you, ensuring you can drive away in a new car with payments that fit your budget.

How Do I Know If My Credit is Considered ‘Bad’?

Definitions of bad credit can vary among credit reference agencies. Below are the scoring ranges used by the three main agencies in the UK:

Experian: 0 – 720 (this range is quite broad and can be challenging to improve)
Equifax: 0 – 438 (this is the most stringent range of the three)
TransUnion: 0 – 566

The good news is that we can assist you with car finance even if your score falls within these bands. Plus, your credit score can improve over time, so you’re never stuck with bad credit forever

ZERO DEPOSIT CAR FINANCE

Is Car Finance an Option with No Deposit?

Yes, financing a car with zero deposit is more common than you might think! Many lenders offer loan agreements that require little or no money upfront.

Our team is here to help you find not only the right vehicle but also the best lender based on your financial circumstances.

Your Options with Zero Deposit

With a no deposit loan, you can choose from several options, including Hire Purchase (HP), Personal Contract Purchase (PCP), or a personal loan.

Personal Loan: Generally, personal loans do not require a deposit. Once approved and satisfied with the monthly payments, you can pay the seller directly for the car, giving you full ownership right away.

PCP Car Finance: A PCP deal allows you to agree on a fixed monthly payment throughout the loan term. At the end of the agreement, you can either buy the car with a balloon payment, trade it in for a newer model, or return it. Keep in mind that PCP agreements often come with mileage restrictions, making it a great option for some, but not for everyone.

Hire Purchase (HP): If your goal is to own the car outright, an HP agreement might be the right choice. This option typically involves higher monthly payments, but at the end of the term, you’ll own the car after paying a small ‘Option to Purchase’ fee, usually around just £10.

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