Interest-Free Finance Wolverhampton

0% car finance deals mean you don't pay any extra interest or other charges on your car finance package. With less money to repay, you can put your entire budget behind getting the right car.

Welcome Financial Services
0121 5255244
1st Floor, 26-28 Carters Gn
West Bromwich
 
First Class Financial Services
0121 5530707
8 St. Michaels Ct, Victoria St
West Bromwich
 
Jasper Corporate Finance
01562 711215
ST. Kenelms Road
Halesow
 
Credit Union,The (S.E Northumberland)
01670 522779
92 Station Rd
Ashington
 
Corner Shop Loans
0871 7505355
18 Cooke St
Keighley
 
New Millennium Finance
01543 572700
252 Walsall Rd
Cannock
 
Mortgage & Commercial Finance
0121 532 4751
24 Carpenter Glade
Halesow
 
Liberty Lending
(018) 275-4704
1 George Street
Tamworth
 
R A Ellis & Co
01372 465025
2 The Elms
Esher
 
Banking & Corporate Finance Consultancy
01892 863579
17 Dornden Drive
Royal Tunbridge Wells
 

Interest-Free Finance

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Interest-Free Finance

Interest-Free Finance

0% car finance deals mean you don't pay any extra interest or other charges on your car finance package. With less money to repay, you can put your entire budget behind getting the right car. However, zero percent finance deals often require you to pay quite a hefty deposit - often up to 40% of the price of the car, making it suitable only for those with some savings to put down.

This type of deal also often requires the loan to be paid off in a shorter time than other loans (often 24 or 36 months compared to the more common 48- to 60-month term), making your monthly repayments higher. You're also unlikely to get any discount on a 0% deal, so it could work out more expensive overall, as the example in the table below shows.

APR 0% 10% 10% 10%
Months Financed 24 24 36 48
Cost of Car £15,000 £15,000 £15,000 £15,000
Discount £0 £2,000 £2,000 £2,000
Deposit £3,000 £0 £0 £0
Amount to Finance £12,000 £13,000 £13,000 £13,000
Monthly Payment £500 £600 £420 £330
Total Cost £15,000 £14,397 £15,101 £15,826
Savings at 10% APR - £606 (-£101) (-£826)

In this example, choosing the zero percent finance option would be your best choice if you had the £3,000 deposit to put down, and you could afford the relatively high monthly payments of £500. If you wanted to save some money, then the 2-year term at 10% would be your best bet, as you would be able to take advantage of the short loan term and the discount offer. However, this would mean paying almost £600 a month in repayments.

For a very similar total cost to the 0% deal (just £100 more), the 3-year 10% deal would offer buyers a reduced monthly payment (£420 a month, compared to £500). Those willing to pay more overall for the ability to make reduced monthly payments would be best advised to go for the 4-year deal at 10% (£330 a monthy compared to £500), although they would end up paying an extra £826 over the life of the loan for this convenience.

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