Do you Need Funds for a New Car? Why 0% Car Finance May Not Be For You

0% car finance
0% car finance

0% car finance. Most car finance companies offer this nowadays. But do you really know what it means? It seems attractive, doesn’t it? 0% finance. Basically, it means that technically, you don’t have to pay interest if you buy a new car. You can benefit from low monthly payments, and as a result, save money in the long term. With a 0% finance opportunity, you can have the car of your dreams – like that new Ferrari or that red-hot Porsche.

But if you want to be realistic, a 0% finance deal is not for you. Why? There are plenty of reasons why not. First of all, a 0% finance deal is quite rare. You have to search high and low for this type of deal. This doesn’t mean that not many car lenders offer this. If you remember, we just mentioned that most car finance companies offer 0% finance nowadays. The reason why it’s quite rare is that competition is fierce. Many consumers snap this up before you know it – and you have to be quick on the draw in order to get a 0% finance deal.

Be wise – look at other, better options when buying your new car.

Ask yourself this: what kind of car do you need? Do you need a solid, practical vehicle that can take you in and out of the city and does not guzzle petrol like there’s no more tomorrow? Or are you looking for a vanity model that will let you strut your stuff and get the girls? You need to establish your priorities when you are thinking of buying a car.

Car maintenance is of prime importance, as anyone will agree. While it’s easy to get caught up in the beauty of a Ferrari, you need to consider that maintaining it might cost you a pretty penny. Weigh your options carefully, and think about the long-term cost of this type of vehicle.

The reason why we’re mentioning a Ferrari is because most 0% car finance deals offer these luxury vehicles. If you’re looking for a Civic or a Ford Focus, chances are, you won’t be able to get 0% finance for it. More often than not, 0% car finance packages are only offered for high-end vehicles that cost approximately £50,000 or more – so at the end of the day, the main question you should ask is: do I really need a Ferrari to get around?

Beware of the fine print – need we say more?

Okay – you’re getting 0% finance, which means lower monthly payments. But chances are, you might also be getting a little extra – hidden charges, fees, and repayments. Check the small print carefully before you affix your signature to a 0% car finance deal, or you might end up paying more in the long run.

Your best option would be to go for a quick, hassle-free application process online, where your chances of getting approved are 90% or more.

If you want to know your options when it comes to competitive rates that will benefit you more than 0% car finance deals, visit Carloan4u.co.uk and speak to a free personal advisor today.

Tom Veasy is a freelance writer with an interest in consumer and financial affairs. He writes for several financial blogs about the benefits of 0% car finance.

Do you Need Funds for a New Car? Why 0% Car Finance May Not Be For You