Car Sales Falling - Are there any Finance Companies Helping

[squizrs6]

With the recent free fall with new / used car sales.

Are finance companies offering any deals to keep sales moving ?

Your feedback appreciated...

D

[JamieG]

Finance companies themselves won't be too concerned about the market slowing and won't be doing anything specifically to move stock. If you mean are dealers offering special deals then maybe - they would do that by way of a subsidy to reduce the APR.

As for the general market, APR's are coming back down now to attractive figures, the last few months were a bit crazy. And yes, the banks are still lending to good quality customers. I have not noticed a marked increase in declines. The exception is marginal applicants, if you have any poor credit history current or past you've got almost no chance. A year ago, a few late payments on credit cards was not much of a concern but now is. Also, if you have a lot of personal debt i.e. credit cards and high mortgage etc expect that you might be asked to produce a set of bank statements to prove you can afford to make the repayments.

[ARSEY4]

They are certainly not helping stimulate a movement by increasing the finance house base rate from 6 - 6.5%. Just dont get the logic??

[Gareth]

They are certainly not helping stimulate a movement by increasing the finance house base rate from 6 - 6.5%. Just dont get the logic??

This is one of the major problems that the main dealer Business Managers face now. For the most part their in house finance offering (VW/Audi Financial Services for example) are based off FHBR, not the lower LIBOR that the major 3rd party lenders base off.

Hence why funding via a 3rd party lender makes more sense as long as your credit score is robust.