Refinance your car balloon payment with Proactive Vehicle Finance
Are you currently on a PCP agreement and happy with the car you already have?
Many of the options talked about by dealers and manufacturers are to replace the car with another one by either part exchanging or handing the car back to the finance company, then taking out another agreement on a different car. In the current market stock is limited and you may be happy with the car you already have. There are a number of options available at the end of your PCP or lease purchase balloon agreement though.
The first is to part exchange the car with a dealer for another one. Anything you make in part exchange above the balloon payment due is your equity for the next agreement. So for example if the balloon payment is £5000 and in part exchange the dealer will give you £6000, you have £1000 equity to use as your deposit on the next car.
Secondly you could simply hand the car back to the finance company if you're on a PCP agreement with a guaranteed future value and you are within your mileage allowance. There may be further fee's if you've gone over your maximum mileage allowance or if the vehicle isn't within fair wear and tear guidelines (check the terms and conditions of your PCP agreement).
Third option (if you have the money available in your bank account) is to simply let the final balloon payment be taken by the lender and you then retain ownership of the car (subject to all payments and any option to purchase fee being paid). Not many people have this kind of money available in their bank account though or you may wish to conserve your cash savings.
Fourth option is to therefore refinance the balloon payment on another finance agreement. This isn't a commonly know option as not all banks or lenders offer this. There's no dealer involvement in the transaction (as you're simply refinancing the car you already have) so it's outside the policy of many lenders. You're basically selling the car to the finance company and refinancing it back again. It's therefore considered a private sale by many lenders and outside of their overall procedural risk. The risk however is minimal as you already know the car and will have maintained it well throughout the time you've owned it. Surely, if you weren't happy with the car you wouldn't be looking to refinance it, you'd have used one of the two options above to part exchange it or hand it back.
Here at Proactive Vehicle Finance we understand that there are many reasons why you'd prefer to keep your current car. You may have another vehicle on order which is taking longer to build than originally anticipated. You may not be able to find the same car for the same money in the current market with prices having risen recently. It makes sense then to be able to refinance the balloon payment with someone who can facilitate this transaction.
So how do you refinance your car balloon payment?
Simple. You can access our online application form here, alternatively you can obtain an indication of payments via our online calculator. We can consider business or private applications to refinance your balloon payment, as some balloon agreements are in company names.
One of our team will then call you back to obtain your vehicle details, talk through the process and answer any questions you may have. We'll then get to work to find the most appropriate finance company from our panel of lenders to obtain the lowest rate, taking into consideration the car you wish to refinance (age, mileage etc) and your credit circumstances (finance is subject to status). We have a panel of lenders and some are more flexible than others when it comes to criteria. So don't worry if you've been turned down elsewhere. In some instances we can look to refinance your balloon payment with another balloon payment agreement. This may be preferable on newer vehicles or where the balloon payment due is larger (for example refinancing prestige car balloons).
If you'd like to chat to one of our team about refinance for you car balloon payment you can contact us on 0151 459 6492. We have a no pressure, friendly approach and we're more than happy to discuss your options before you apply.
Many of the options talked about by dealers and manufacturers are to replace the car with another one by either part exchanging or handing the car back to the finance company, then taking out another agreement on a different car. In the current market stock is limited and you may be happy with the car you already have. There are a number of options available at the end of your PCP or lease purchase balloon agreement though.
The first is to part exchange the car with a dealer for another one. Anything you make in part exchange above the balloon payment due is your equity for the next agreement. So for example if the balloon payment is £5000 and in part exchange the dealer will give you £6000, you have £1000 equity to use as your deposit on the next car.
Secondly you could simply hand the car back to the finance company if you're on a PCP agreement with a guaranteed future value and you are within your mileage allowance. There may be further fee's if you've gone over your maximum mileage allowance or if the vehicle isn't within fair wear and tear guidelines (check the terms and conditions of your PCP agreement).
Third option (if you have the money available in your bank account) is to simply let the final balloon payment be taken by the lender and you then retain ownership of the car (subject to all payments and any option to purchase fee being paid). Not many people have this kind of money available in their bank account though or you may wish to conserve your cash savings.
Fourth option is to therefore refinance the balloon payment on another finance agreement. This isn't a commonly know option as not all banks or lenders offer this. There's no dealer involvement in the transaction (as you're simply refinancing the car you already have) so it's outside the policy of many lenders. You're basically selling the car to the finance company and refinancing it back again. It's therefore considered a private sale by many lenders and outside of their overall procedural risk. The risk however is minimal as you already know the car and will have maintained it well throughout the time you've owned it. Surely, if you weren't happy with the car you wouldn't be looking to refinance it, you'd have used one of the two options above to part exchange it or hand it back.
Here at Proactive Vehicle Finance we understand that there are many reasons why you'd prefer to keep your current car. You may have another vehicle on order which is taking longer to build than originally anticipated. You may not be able to find the same car for the same money in the current market with prices having risen recently. It makes sense then to be able to refinance the balloon payment with someone who can facilitate this transaction.
So how do you refinance your car balloon payment?
Simple. You can access our online application form here, alternatively you can obtain an indication of payments via our online calculator. We can consider business or private applications to refinance your balloon payment, as some balloon agreements are in company names.
One of our team will then call you back to obtain your vehicle details, talk through the process and answer any questions you may have. We'll then get to work to find the most appropriate finance company from our panel of lenders to obtain the lowest rate, taking into consideration the car you wish to refinance (age, mileage etc) and your credit circumstances (finance is subject to status). We have a panel of lenders and some are more flexible than others when it comes to criteria. So don't worry if you've been turned down elsewhere. In some instances we can look to refinance your balloon payment with another balloon payment agreement. This may be preferable on newer vehicles or where the balloon payment due is larger (for example refinancing prestige car balloons).
If you'd like to chat to one of our team about refinance for you car balloon payment you can contact us on 0151 459 6492. We have a no pressure, friendly approach and we're more than happy to discuss your options before you apply.
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