Caravan Finance To Suit Your Budget

Affordable Caravan Finance

Rates from 10.9% APR. Representative APR 19.9%

Rates from 10.9% APR. Representative APR  19.9% Representative Example: Borrow £6,000 with £1,000 deposit over 48 months with a representative APR of 19.9%, the monthly payment would be £182.26, with a total cost of credit of £2,748.61 and a total amount payable of £8,748.61. Car Loans UK is a broker not a lender. This is an example only, all finance subject to status. Lender fees may apply.

Compare Caravan Finance

Most of us are keen to enjoy more holidays and weekend breaks and a caravan has long been a hugely popular means of managing the holiday dream!

Whether you’re looking to buy new or keen to pick up a second-hand bargain, the right type of caravan finance is essential to ensuring your purchase is as cost-effective as possible and fit for your needs. Read on to find out more about how to select the right caravan finance.

Affordable Caravan Finance

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Find out how much you could borrow

Rates from 10.9% APR. Representative APR  19.9% Representative Example: Borrow £6,000 with £1,000 deposit over 48 months with a representative APR of 19.9%, the monthly payment would be £182.26, with a total cost of credit of £2,748.61 and a total amount payable of £8,748.61. Car Loans UK is a broker not a lender. This is an example only, all finance subject to status. Lender fees may apply.

How Does Car Finance Work?

Car Finance

The Initial Deposit

This step isn’t always required. Although, placing down a deposit when completing a car finance agreement is highly recommended.

Mercedes Interior

Repayment Plans

Depending on the agreement that has been put in place for example HP, PCP & CS, your repayment plan may vary.

Car Finance

Contract Completion

Upon completion of your contract, you will then have a number of different options available to you. Which we will state below.

Is Taxi Finance The Right Choice For You?

If you need quick access to finance to fund your taxi, then you’ll find that some providers offer instant taxi loans in as little as 24 hours. The same credit check needs to happen, and you will need to submit an application form, usually online but sometimes by phone. The provider will have slick processes which will allow them to make a rapid decision on your loan and then to transfer the funds to your bank account by Faster Payments so that they arrive within 24 hours. These deals can be useful if you want to make a fast purchase on your taxi.

If your credit isn’t the best, then you’ll be pleased to find lenders that offer taxi loans even for people with poor credit. The interest rates will typically be higher and you may be limited as to the amount that you can borrow, but these types of loan will allow you to buy the commercial vehicle that you need.

What’s more, if you meet your monthly repayments in full and on time, you’ll be able to build up your credit record and show yourself to be a responsible borrower. This will allow you to save money on future credit arrangements, as you will be considered a lower risk customer and be offered cheaper rates of interest accordingly.

Sometimes you can take out deals on the garage forecourt, and many garages will promote their finance as a fast and convenient way of concluding a sale. You may even be able to drive away with your new taxi. However, these deals may be convenient but you are unlikely to be paying the cheapest interest rate on them because the price of convenience is reflected in the APR.

A better bet is to pre-arrange a loan facility with a specialist lender that offers great rates or find a taxi that you want to buy and then compare the different taxi loans on the market to make a rapid decision on which lender you will approach.

The first step is to carry out your comparison so that you know you are applying for the best possible loan that meets your needs, but for the lowest cost. You will complete a short application form and be asked to give evidence of your ID. a credit check will be carried out against your name when you authorise this as part of the application process.

There may be requirements for certain lenders, such as a guarantee that goes above the value of the taxi – as these vehicles rapidly depreciate. Of course, you will need to be over 18 to apply and there may be a requirement for minimum evidenced earnings. Once you have made a successful application, the funds may be with you in as little as 24 days so that you can buy your new vehicle without delay.

Frequently Asked Questions

Interest rates vary considerably depending on the lender, but usually begin around 5 points or more above the Bank of England base rate. A current search could reveal interest rates that begin from just 6.8% for example. Remember that the interest rate will depend on factors such as the amount of finance you need, the deposit you can put down and your own credit history.

Some lenders will apply fees for administration and paperwork. Lenders must provide full details of any arrangement fees as part of their illustration and financial terms paperwork before the customer signs the contract. If you use a broker, the broker will organise this information. Brokers usually receive their arrangement fee directly from the lender. Remember that when you compare caravan finance, you can use a broker to find the best possible deal available on the market.

When you compare caravan finance, there is some peace of mind that you have invested time to find a competitive deal. Some providers will offer finance directly to customers on the open market and others will sell their loans via brokers. The important thing is to carry out a search that encompasses a range of providers so that you can find the cheapest caravan loan with the best features for your needs.

For example, a payment holiday, flexible payments or an initial repayment free period may be more important to you than the overall interest rate. Equally, you may be willing to pay slightly more for a caravan loan that can be organised within 24 hours or one that you can arrange online, for example. On the other hand, you may want the lowest possible interest rate above all else. By comparing the latest finance deals, you can identify an option that works for you.

There are plenty of lenders offering loans for caravans, motorhomes and other similar holiday vehicles. Some high street banks may offer this type of finance but others will be specialist lenders. Some will not go via the direct-to-customer market and instead will operate via brokers. If you use a broker, it may be wise to use a whole market broker who is not tied to recommending certain products in order to receive a commission.

Many loans will require you to pay a deposit, and if you do, the underlying interest rate is likely to be lower. However, this isn’t definite and some caravan loans may require no deposit at all. If you would prefer not to pay a deposit, look for a no deposit caravan loan.

Most lenders will offer a variety of repayment terms according to your needs, say from 6 months to 5 years or even longer. Remember that the longer your repayment term, the more interest you will pay overall, even though the monthly repayment itself will be lower. Some loans offer flexibility for payments so that you can overpay if you wish without penalties. A broker can help you to find these sorts of flexible features if they are important to you or you can compare the latest loan deals online for more information.

Many loans now allow you to apply online in just a few steps. The lender will carry out a basic credit check and then indicate an approval if they are happy to extend finance to you. The better your credit record, the more competitive the deals you are likely to be offered. Many lenders simply require a short application process which can be completed online, with finance then available in just 24 hours after acceptance.

Caravan finance is offered with the caravan itself as the underlying security. If you couldn’t repay your loan for any reason, this means that the lender would be within their rights to demand the sale of the asset. Before it gets to this point, however, if you find yourself struggling to meet repayments, you should always get in touch with your lender immediately to discuss your options. There could be an opportunity to restructure your repayments for example or to take a repayment holiday. The important thing is to act fast and be transparent so that your lender can assist wherever possible.

Next steps
Assess your affordability by using our online tool to see how much you might borrow against the caravan or motorhome that you are interested in. Consider your deposit and desired monthly repayments to assess the right term. Then compare caravan finance options with us to see which deals are best for you before applying. Remember that some deals may be done in as little as 24 hours.

Here at Car Loans UK, our smart technology ensures that we can provide up-to-date information on a wide range of competitive caravan loans. Our highly secure systems will ensure that your data is safe and we can save you a huge amount of time in trawling through the various loans and providers.

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Car Loans UK is a trading style of BMG FG (UK) LTD, a company registered in England and Wales. (Company number: 12382512, Registered Address: 4th Floor, Kingsgate, Wellington Road North, Stockport, Cheshire, SK4 1LW. We act as a credit broker and not a lender and are authorised and regulated by the Financial Conduct Authority for consumer credit FCA no.928674. Car Loans UK can introduce customers to a limited number of finance providers based on overall credit profile and we receive a commission for such introductions, this will not impact the rate you are provided. We do not charge a fee to the customer for arranging the finance. This is a fixed payment or percentage, but can vary by lender. Further information is available on request. Written quotations on request. All finance subject to terms and status Data Protection Registration No.ZA766848.

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