Van Finance To Suit Your Budget

Affordable Van 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 Van Finance

Whatever your business, you may need a van to keep it running smoothly, to transport your tools and equipment, fulfil orders or allow you to travel to work in different locations. For this, you need a vehicle that is both sturdy and reliable.

Affordable Van 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.

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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.

Frequently Asked Questions

Whether you are a new start-up, a sole trader or an established business, your method of transportation could be the most important part of your business. Luckily, there are funding options available to you whatever your situation.

Once you have chosen the right vehicle for your business, you can now start to compare deals. It’s important that you carry out detailed comparisons of all of the finance options available to you.

Many lenders will ask for information regarding your income, credit history, and residential status before agreeing to a van finance deal.

The first advantage of van finance is that you won’t need as much initial capital compared with making an outright van purchase. You will still need to provide a deposit. You will obviously be able to get a far better quality van with a finance deal than buying outright. So if you think that it’s important for your business to appear professional, with a new or nearly new used van, then this is clearly a huge advantage.

 

In terms of reliability, a newer vehicle should have far fewer issues and is less likely to cause you to miss appointments, and this should also be taken into consideration. You will naturally be preoccupied with your business and need a vehicle that’s reliable. You don’t want a van that will use a lot of time and money to remain fit for purpose. You also need to consider whether in your line of business, usage is likely to be heavy.

 

A huge disadvantage of buying a van outright is that any servicing, maintenance and repairs will be at your own cost. Finance and leases usually include these items within your contract, freeing you to get on with your trade or service.

 

With any van, once you come to sell it, selling a vehicle that has depreciated in value since you bought or leased it is a headache, if not near impossible. With a lease agreement, this is not your problem. As soon as you reach the end of your agreement, you can hand it back and start looking at your next vehicle.

There are some advantages in owning your vehicle. The most obvious one is that once you’ve made the large initial outlay, the van becomes a valuable asset. You can sell it at any time if you want to upgrade or no longer need it.

 

Not everyone likes the fact that, with a lease agreement, you are paying every month for a vehicle that you will never own. This of course does not apply if you have a lease to buy plan.

 

Some people also feel restricted by the agreed mileage amounts and are simply unable to make a realistic estimate because they don’t know exactly where the business will take them, or what will happen if the business expands. You may simply want the freedom and flexibility that van ownership will afford you.

If your business is new, you are self employed or if you have any bad credit, it’s likely that the lender will ask for a higher initial payment before agreeing to lend you the money. They will also look at the length of time that you have been at your current address, and may ask for your previous addresses.

There are some tax implications that you should consider when you look at finance options.

 

If you are leasing a van, there are some advantages when it comes to your tax return. You can claim the cost of the lease payments against your income tax bill. It will, however, depend on the method by which you pay tax.

 

If you are using traditional accounting methods, you simply claim your costs as a capital allowance.

 

If you use cash basis accounting, the situation is similar unless you are also using simplified expenses. You can claim up to 100% VAT on the monthly payments if you are a VAT registered business. In this case, you must only be using the van for business purposes. You could also claim the leasing costs as an expense. This is because they can be identified as a tax-deductible expense.

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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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