FINANCE SOLUTIONS
With many of our clients owning more than one vehicle, we find that mixing and matching different finance options may be the way forward, depending on your plans for each vehicle.
This decision could be based on how long you intend to keep the vehicle, whether you want to own it outright, the deposit you want to place or your other financial commitments you may have at the time or in the future.
Whatever your decision, we are here to help you through the process of obtaining the finance quickly and efficiently. And we are also here whenever you find a new vehicle and wish to obtain a quotation and pre-approval before you purchase.
HIRE PURCHASE
This type of finance is ideal for clients who are happy to make a higher repayment every month and want to own the vehicle at the end of the term. You may pay a lower deposit or if the lender offers it, the facility to pay no deposit at all, but this will mean higher monthly payments.
There is also the bonus of not having to find a lump sum to pay the finance company at the end of the term to keep the vehicle.
Finance is secured against the vehicle, and you cannot sell it during the agreed term. This may be restrictive to some buyers who would like a more flexible approach to their finances.
If you are thinking about modifying the car after purchase this is prohibited as the finance is lent on the car as it is when bought.
Just like a loan on a property. If you are unable to make repayments during the term of the finance agreement, then the vehicle will be taken by the finance company to settle any outstanding finance. The vehicle sent to auction and the best price may not be obtained.
You will be the registered keeper but will not ‘own’ the vehicle until you have made all the repayments. There is usually a ‘option to purchase’ fee at the end which is a small admin fee for the lender to settle the admin for you to be the legal owner.
- You own the car outright after the term
- Monthly payments include the amount borrowed plus interest
- No large balloon payment due at the end of the term
- Longer repayment terms are available therefore reducing the monthly repayments
- No cap on mileage
- No damage waivers
- Not able to modify the vehicle throughout the term
- Not able to sell the vehicle without finance company permission
- Remains the property of the finance company until fully paid at the end of the term
LEASE PURCHASE
If you would like lower monthly payments and ‘lease’ the vehicle until the end of the term, this is a more flexible method of financing your vehicle.
It is a form of Hire Purchase but acts like a Conditional Sale agreement. It requires you to take full ownership of the vehicle at the end of the term. The monthly payments are structured like a lease or rental agreement. You agree at the beginning of the contract to purchase the vehicle from the lender at the end of the term.
Payments are worked out using the retail value of the vehicle at the time of purchase, the length of the term, and the estimated value of the vehicle at the end of the term. Monthly payments are not subject to vat.
Most prestige and luxury cars are financed this way. The balloon may be refinanced, or you may sell the car and retain any capital once the balloon is paid.
If you choose to make a larger financial contribution as a deposit, this will reduce the monthly payments.
You can settle the finance agreement early with no fees depending on the lenders terms, and own the vehicle outright early after paying off the balloon
As the larger payment is at the end of the term, you may be able to spend more on your car purchase initially.
- Balloon payment is due at the end of the term
- Must take ownership at the end of the term
- Ideal for expensive luxury cars
- Annual mileage consideration
- More expensive vehicles hold value therefore balloon payment more affordable
- Balloon payment based on mileage, age and value of vehicle at the end of the term
- No option to return the vehicle
- Balloon can be refinanced into another agreement
We endeavour to make your funds available on the same day if your application is approved before 1pm.
THE PERSONAL TOUCH
We are proactive in our approach and you will always receive a warm greeting when contacting us.
We will always communicate essential information and updates so you are fully informed every step of the way.
An exceptional service every time, no matter what the time or day.
We will always communicate essential information and updates so you are fully informed every step of the way.
An exceptional service every time, no matter what the time or day.
LET’S START A BEAUTIFUL JOURNEY TOGETHER….
Our Offices
43 Berkeley Square, Mayfair, London, W1J 5AP
One Park Row, Leeds, LS1 5HN
Schedule a Call
Use our online diary to arrange a telephone appointment at the most convenient time for you.
Call Us
Call on 0330 174 8540 to speak with our friendly and knowledgeable team to get a quote
Copyright 2022, Liber Financial Ltd. All rights reserved.
Registered in England and Wales 11389898.
Liber Financial is a trading style of Vantage Logistics Ltd who is authorised and regulated by the Financial Conduct Authority (FRN: 844117). We act as a credit broker not a lender. We can introduce you to a limited number of lenders who may be able to offer you finance facilities for your purchase. We will only introduce you to these lenders. We may receive a commission payment from the finance or hire provider if you decide to enter into an agreement with them. The nature of this commission is as follows: we receive a commission based on a percentage of the total amount of finance taken by the customer. You can request for us to disclose the amount of any commission received. The commission received does not affect the amount you will pay under your finance agreement. You may be able to obtain finance for your purchase from other lenders and you are encouraged to seek alternative quotations. If you would like to know how we handle complaints, please ask for a copy of our complaints handling process. You can also find information about referring a complaint to the Financial Ombudsman Service (FOS) at financial-ombudsman.org.uk.