If you already have got a good idea of how much you want to spend on a new car that’s great. But, did you know that you can use your current car as a deposit? Well you can. Or if you prefer you can go with one of our finance products, such as Personal Contract Purchase, to spread the cost monthly. Your budget may well go further than you think...
At Harwoods YouChoose we put you in the driving seat - with our Car Finder we’ve made it super easy to search for a range of cars that suit your budget and filter out those that don’t. We give you the flexibility to compare cars that vary in value, so you can quickly see differences in features or economy, making it easy to choose which ones best suit your needs and budget. Have a play, you can save your preferred car offer to view later, or if you would like to buy a car – simply register online.
With Harwoods YouChoose we put you more in control, you choose your monthly payments, payment plan and when you want to buy, all at your own pace and in your own time.
With Harwoods YouChoose you can:
Getting finance isn’t just about monthly payments; at Harwoods YouChoose we want you to take the time to understand the risks and benefits of the different plans available so that you choose the best one for you.
We believe in providing all this information upfront so you have the time to read up on the details before you decide to commit to a particular plan. Simply click on the i button whenever you see a monthly payment throughout the site for more information about the payment plan. We have also included some videos to help explain the different payment plans available.
Harwoods do not offer finance itself, instead we can introduce you to a selection of trusted finance providers from whom we may or may not earn a commission. We do not offer financial advice – we simply provide you with the information you need to help you make up your mind.
Read all about the finance products that we offer in your own time and watch the explanatory videos. If you do have any questions – simply pop into one of our Showrooms and speak with one our team; email us anytime on [email protected]; or give us a call during normal office hours (Mon-Fri, 9am-5pm excluding Public Holidays) on our local rate number 01798691801 (your call may be recorded).
Harwoods is registered and regulated with the Financial Conduct Authority (FCA) as are the trusted finance providers we work with. Our aim is to ensure all our customers have the right information to make a considered decision. If you feel we could do better then we would like to know – please get in touch.
Recognise some of these? APR, PCP, HP, OFP and other confusing jargon – what does it all mean? Check out our jargon buster below:
Representative Example explained
|X monthly payments||This is the fixed amount and number of months (the term) you will that you will be expected to commit to.|
|Cash Price||The price of the car if you paid with cash only.|
|Manufacturer deposit contribution||Sometimes the manufacturer will make a contribution to the deposit payment required under a finance agreement. This helps reduce the cost of your finance, but will only be available with the relevant finance agreement.|
|Customer deposit||Your deposit - how much you decide to pay upfront. This may include the value of your current car minus any outstanding finance on it. For some finance agreements there may be a maximum or minimum deposit required.|
|Total deposit||Your deposit as explained above + the manufacturer deposit contribution.|
|Amount of credit||The amount you are actually borrowing – this equals the total cash price minus the full deposit.|
|Fees||If there are any fees to be paid as part of the agreement. Usually there is an option to purchase fee of £10 if you wish to purchase the car at the end of the agreement.|
|Interest cost||The total amount of interest that you will pay over your agreement.|
|Optional Final Payment||This relates to a PCP agreement and the final payment required at the end of the agreement should you decide to keep the car.|
|Total Amount Repayable||This is the amount of money you will pay over the term of your agreement.|
|Interest Rate Fixed||This is the interest rate that is charged for the entire term of your agreement.|
|Representative APR||This is the annual cost of a finance agreement over and above the amount you have borrowed. The APR (annual percentage interest rate) will include interest rate charges and any other fees included in the agreement, such as administrative fees. It is useful to look at the APR to compare the cost of different finance products.|
|Duration of the Agreement||The length of the agreement or payment term. With PCP this usually lasts one month longer than your payments to allow you to make a choice whether you want to retain, renew or return your car at the end of the agreement. Under the Hire Purchase agreements, as you own the car when you make the final payment, the duration will be the same as the number of your monthly payments.|
|Annual Contract Mileage||For PCP you will be asked to estimate your annual mileage at the beginning of the contract. This estimate helps the lender calculate the Optional Final Payment. It’s important to be realistic because excess mileage could be chargeable at the end of the contract if you decide to return the car.|
|Excess mileage cost (pence per mile)||This is the cost per mile fee you will be charged if you have exceeded your overall contracted mileage under a PCP agreement.|
PCP – Personal Contract Purchase – is a flexible finance plan designed to allow you to change your car more regularly. By estimating your annual mileage and choosing a payment term, an Optional Final Payment is calculated by the finance company. By delaying a large payment until the end of the agreement, this lowers the monthly repayments. PCP is also flexible as it provides you with 3 options at the end of the agreement, keep the car ("retain"), hand it back ("return") or swap it in for a new one ("renew").
HP – Hire Purchase – this is very similar to a Conditional Sale and normally consists of a deposit, a fixed monthly payment and a final option to purchase fee. With this type of agreement, whilst you are the registered keeper of the vehicle you are only "hiring" the vehicle until you make the final option to purchase fee.
Gross Income - this refers to your income before tax and National Insurance has been taken off. You’ll be asked for this information when you complete a finance application to allow the finance company to assess your credit.
Equity - this refers to the difference between the agreed market value of the car and the loan balance left to pay. If the market value of your car is higher than your outstanding finance, then you have equity in the car. If it is lower, the term ‘negative equity’ is often used.
Early Settlement - this is when you pay off a finance agreement before the agreed term is complete. By doing so you may save on the interest that would have been charged for the remainder of the agreement.
Cashback - this is an amount refunded to you. This arises when the equity within your part exchange (value less outstanding finance) is greater than the deposit required for the finance agreement.