0% APR Deals on Cars in the UK: A Comprehensive Guide
Are you in the market for a new car in the UK? Look no further! We've got the scoop on the best 0% APR deals available on cars in the UK. In this article, we'll explore what 0% APR means, how it works, and highlight some of the top deals currently available.
What is 0% APR?
APR stands for Annual Percentage Rate, which is the interest rate charged on a loan or credit agreement over a year. In the case of 0% APR, this means that you won't be charged any interest on your loan or credit agreement for a specified period. This can be a huge advantage for car buyers, as it means you'll only need to pay back the loan amount, without incurring any additional interest charges.
How does 0% APR work on car deals?
When you take out a 0% APR deal on a car, you'll typically need to pay a deposit, followed by a series of monthly payments. The loan is usually secured against the car, which means that if you fail to make payments, the lender can repossess the vehicle.
Top 0% APR Car Deals in the UK
Here are some of the top 0% APR car deals currently available in the UK:
Volkswagen Golf
- 0% APR Representative for 24 months
- Minimum 20% deposit required
- Representative example: £18,995 car price, £3,799 deposit, 24 monthly payments of £649
Ford Focus
- 0% APR Representative for 24 months
- Minimum 20% deposit required
- Representative example: £18,295 car price, £3,659 deposit, 24 monthly payments of £629
Toyota Auris
- 0% APR Representative for 36 months
- Minimum 25% deposit required
- Representative example: £20,495 car price, £5,124 deposit, 36 monthly payments of £449
Honda Civic
- 0% APR Representative for 24 months
- Minimum 20% deposit required
- Representative example: £18,995 car price, £3,799 deposit, 24 monthly payments of £649
Other Options to Consider
While 0% APR deals can be attractive, they're not always the best option. Be sure to consider the following:
- Personal Contract Purchase (PCP): This type of agreement allows you to pay a lower monthly payment, with the option to return the car at the end of the agreement. However, you'll need to pay a final payment to own the car outright.
- Leasing: This involves paying a monthly fee to use the car for a set period, usually 2-3 years. At the end of the agreement, you'll need to return the car.
- Cash Purchase: If you have the funds available, you can purchase the car outright, avoiding any interest charges or credit agreements.
Conclusion
0% APR deals can be a great way to finance your new car purchase, but it's essential to consider all your options carefully. Be sure to read the fine print, check the Representative APR, and calculate the total cost of ownership before making a decision. Happy car shopping!
