Finance Frequently Asked Questions

Car finance helps to spread the cost of a new or used car. Instead of paying the full amount upfront, you pay monthly.

You need to be at least 18 years old to enter into a finance agreement under UK law.

APR stands for Annual Percentage Rate. When you borrow money on an agreement regulated by the Consumer Credit Act, lenders are required by law to quote this rate, which calculates the total amount of interest that will be paid over the whole term of the loan while taking into account any additional charges that the borrower has to pay. The APR allows you to compare the cost of finance from different lenders.

Yes all the sales staff at the Hendy Car Store are SAF accredited. Our staff are put through the annual SAF test to keep their technical knowledge of motor finance up to date.

Hendy Car Store offers two type of finance Personal Contract Purchase (PCP) and Hire Purchase (HP).

There are four very simple stages to PCP:

• You will agree an amount you need to borrow to purchase your chosen used car from the Hendy Car Store (less any deposit or part exchange).
• We will contact the motor finance company for you which, subject to credit checks, pay for the car for you.
• You will make monthly payments to the motor finance company making your car more affordable by putting off (or deferring) part of the cost until the end of the agreement.
• At the end of the agreement, you will have three options:
  • Pay off the deferred amount in full and keep the car (please note, you do not own the car until you make this final payment)
  • Hand the car back to the motor finance company
  • Trade the car in against another used car at the Hendy Car Store

There are four very simple stages to HP:

• You will agree an amount you need to borrow to purchase your chosen used car from the Hendy Car Store (less any deposit or part exchange).
• We will contact the motor finance company for you which, subject to credit checks, pay for the car for you.
• You will make fixed monthly payments to the motor finance company for the agreed term
• At the end of the agreed term, the car is yours.

The finance paperwork for HP will clearly state the cost of the car, the deposit you have made and the amount of interest you will be paying on the amount borrowed.
Please note, the car will be used as security for the loan, just as a house is for a mortgage.