No deposit? We could help! Many of our lenders offer car finance with no deposit.
If you’ve found the car of your dreams – or yours has just given up the ghost – you may not need to dip into your savings to buy a used car.
During the process, some dealerships might ask you for a reservation fee, but you could find a car and drive it away without putting any money down upfront!
No deposit car finance may be available when looking to finance your car.
With a personal loan, you won’t normally need to pay a deposit. Once you’ve received the loan and paid the seller, the car will be all yours. All you’ll need to worry about is keeping up with your monthly repayments.
PCP agreements typically require a deposit, but you'll have lower monthly repayments and more options when your agreement ends. With a personal contract purchase, you’ll typically pay fixed monthly repayments until the end of your loan period. You can then either return the car, buy it by paying the one-off balloon payment, or use any positive equity as a deposit in a new deal.
Terms and conditions will apply. You might have an annual mileage limit and you’ll need to make sure you don’t damage the car to avoid extra charges.
A HP loan with no deposit will usually have higher monthly repayments than PCP, but if you keep up with your repayments and pay the ‘Option to Purchase’ fee, you’ll own the car at the end of your agreement.
The best thing about no deposit car finance is you can drive away in your new car without having to pay anything upfront. That means there’s no need to wait and save up or use money you’d set aside for home improvements or your next summer holiday.
But it’s worth keeping in mind that if you don’t pay a deposit, you’ll have more money to pay back on your loan. This will increase your monthly repayments or make your loan period longer, meaning you’ll pay back more in the end due to higher interest charges.
For illustration purposes only. The rate and payment you may be offered will be based on your individual circumstances.
While we’ll always work to get the best deal for you from our panel of lenders, it's not always possible to offer no deposit car finance. This will be subject to lender requirements and based on your personal circumstances.
If you’re not sure whether you’re eligible or which car finance option could work best for you, your dedicated account manager can guide you through the process. Get a quote to find out more.