For many people a car may just be a way of getting from A to B, but for those with a true passion for cars and the motoring industry, purchasing a certain vehicle may just be the way of achieving your dreams.
Buying a classic or sports car is an emotive decision and there are many options from purchasing outright to financing or leasing. It’s therefore important to understand which options are best for you and how you can get your dream car.
The Classic Car Team at Cambridge & Counties Bank (https://www.classiccarbank.co.uk/), are financial experts in the classic car industry with a true passion for cars; they share your desire for purchasing that dream car, and as such have put together this guide for why financing could be an alternative for getting the car you want.
Why financing?
Financing a car can be a great option for acquiring your dream car rather than using all your saved money to buy the car outright. Financing involves creating a structure of repayments which works for you, in order to allow you to purchase the car you’ve always wanted. It can be useful for those looking to purchase luxury or classic cars who have the appropriate finance and credit history.
Types of finance
Much like makes and models of cars, there is also a myriad of finance options available. ‘Purchase Finance’ is a brilliant option for those looking to obtain a car from a private vendor or dealer, with tailored loans which can be structured in accordance with the deal.
For those looking to reap benefits of previous investments, ‘Equity Release’ could be a suitable finance option. Loans can help you buy your next car or release funds from a current vehicle which may have increased in value substantially.
Another brilliant option for purchasing a car is with ‘Auction Finance’. Auctioneers provide a great platform for purchasing cars, especially older and classic cars, and they may even have your dream vehicle. If that is the case, then Auction Finance can help you complete the transaction and secure the purchase.
Each loan will have its own criteria and different lenders will offer different deals, so it’s important to assess the type of finance that is right for you and your car.
Choosing the right lender
When looking to finance a car, especially within the classic car industry, its highly beneficial to choose a funder that not only has expertise in the financial industry, but also has a true passion and strong knowledge of the car industry.
Tom Senior, director of Classic Cars at Cambridge & Counties Bank says: “With a team of classic car enthusiasts, we know that our clients are purchasing a wide range of cars, for a variety of reasons and not purely from investment perspectives. They want to purchase not just a car, but a lifestyle, which also preserves transport heritage, and we understand that.”
If you’re considering purchasing a car on finance, it’s important to consider all options and commitments before moving forward. Financing can be a way to get the car of your dreams and therefore a good option to explore, especially for those looking to obtain a classic or high value car.