Finance for a private sale or auction
Looking to finance a used car? If you’re new to the car-purchasing exercise, you may be uncertain of who or where you can buy with finance from. You don’t want to miss out on “the one” because you couldn’t arrange finance in time. The good news is it’s easier than you might think. Yes Loans can make the entire experience as smooth as possible, we even have a free car find service.
Can you buy a car privately or at auction with finance?
Yes, you may. With a pre-approved loan, you have 30 days to find and buy your car, ensuring you can get the deal done as quickly as possible on the basis the loan is approved. At Yes Loans we offer secured and unsecured loans for your vehicle purchase, which can give you much greater flexibility in choosing just the right vehicle and finance deal for you.
Whether you’re buying a vehicle privately or at auction there are certain considerations that come into play:
• Buying privately
A private sale means there’s no warranty on the vehicle, so if you find issues with the vehicle after your purchase you’re taking a vehicle without a safety net. Yes Loans is an excellent source of assistance and information as they equip you with all the right questions to ask and will source much information about the car, such as whether it’s been stolen before, or has been written off; essential information for a private sale. There is also no cooling off period with a private sale, so be certain that you are 100% happy with the vehicle you choose before signing away.
• Buying at auction
Financing an auction vehicle requires some pre-planning and pre-approval for finance, and that’s where a reputable car loan consultant comes in handy. Purchasing a vehicle at auction means that the moment the hammer falls, you are obligated to take the vehicle “as is.” There are some restriction to auction sales, no vehicle warranties are offered, there is no cooling off period, and the fact that once the auction is over, the car is yours, as is. For this reason, you need to know that you’re getting value for money.
Some auction houses allow pre-inspection of vehicles so the value of the car can be estimated beforehand. This gives you time to look around at the prices of other similar cars to see what they’re going for, and also apply for finance pre-approval for the estimated final selling price.
Ensure that you read the auction conditions beforehand, as they include information such as the buyer’s premium fees, and any additional costs to the final price. You may be subject to a buyer’s premium, which is a fee charged by some auction houses.
Can you obtain finance from a car yard?
Yes, you may. Remember, you’re not required to take the finance deal on offer at the dealership, you are free to arrange your finance wherever you like - dealership finance is not always the best deal for you. At a dealership there are certain criteria you need to consider such as your credit score, exemptions of the car make and model, payment options and terms, vehicle warranties and interest rates.
If you decide to finance a car-yard vehicle through a broker like Yes Loans, you will be looking at negotiable interest rates , loan terms and payment options. Payment terms with a broker can be longer and more flexible, which allows you to work within your budget, and you have more flexibility regarding future vehicle purchases.
Tips for purchasing a car
Yes Loans offers a car buyers guide, which is a step-by-step solution to help you make the right decision with your new purchase and answers all your questions, as well as a free car find service to help you in your search.
You will also need to work within a budget as this will determine whether you are eligible for finance or not. Look at your disposable income and factor in extras such as maintenance, licensing, insurance and petrol. Yes Loans offer a Smart Calculator, designed to help you with your budgeting and a wide range of financial products to suit your budget needs. Please note though, calculators are an indication only and does not constitute a quote.