Subaru Car Finance Options

Dreaming of a Subaru? Whether you've set your sights on a high-performance WRX STI Impreza or a robust, family-friendly Outback, securing the right finance is key to making that dream a reality. At Car.co.uk, we're dedicated to helping you navigate the world of car finance and find a deal that perfectly aligns with your chosen Subaru, your typical driving patterns, and, most importantly, your budget. We understand that purchasing a vehicle is a significant investment, and our aim is to simplify the process, offering clarity and choice.

Understanding Your Subaru Finance Journey

Navigating car finance can sometimes feel like a complex maze. However, with the right tools and information, it becomes a straightforward path to ownership. We pride ourselves on offering a comprehensive suite of resources designed to empower you. Our platform allows you to effortlessly compare quotes from a diverse panel of lenders. This includes well-known high-street names you'll instantly recognise, as well as specialist finance providers who possess in-depth knowledge of particular vehicle marques or customer profiles. We believe in transparency, so we make it simple to scrutinise the benefits of each individual quote, enabling you to select the option that is most advantageous for your personal circumstances. We're not just about offering a single type of finance; our goal is to present you with a spectrum of choices so you can make an informed decision.

Exploring Subaru Finance Products

Your options extend far beyond conventional Subaru finance packages. We provide access to a variety of flexible financing solutions, each with its own unique advantages. Let's delve into some of the most popular choices:

Subaru Contract Hire

Contract Hire is a popular choice for those who prefer to drive a new car every few years without the commitment of ownership. With Contract Hire, you essentially 'rent' the car for an agreed period and mileage. Your monthly payments are calculated based on the car's depreciation over the contract term, plus interest and fees. At the end of the contract, you simply return the vehicle. This is an excellent option if you enjoy the novelty of driving the latest models and want predictable monthly costs without the worry of selling the car on.

Subaru Hire Purchase (HP)

Hire Purchase is a more traditional route to car ownership. With HP, you pay for the car in monthly instalments over an agreed period. The total amount you borrow is the price of the car plus interest. Each monthly payment covers a portion of the capital and the interest. At the end of the payment term, you will have paid off the entire amount and will then own the vehicle outright. This is a great option if your long-term goal is to own the car and you prefer a straightforward payment plan that leads to full ownership.

Subaru Personal Loans Secured Against Your Vehicle

In some instances, you might consider a personal loan that can be secured against your vehicle. This can sometimes offer more competitive interest rates compared to unsecured loans. However, it's crucial to understand that if you fail to meet the repayment terms, the lender could repossess your vehicle. This option requires careful consideration of your financial stability.

Subaru Personal Contract Purchase (PCP)

The Personal Contract Purchase (PCP) deal is a flexible finance option that has gained significant popularity. You might be wondering why the monthly payments on a PCP deal are often lower than those on a Hire Purchase agreement for the same car. The reason is quite simple: with PCP, you don't actually pay towards the full value of the car during the agreement period. Instead, your monthly payments are based on the difference between the car's initial price and its guaranteed future value (GFV) at the end of the contract. This means you won't own the car outright during the agreement term. However, at the end of the repayment schedule, you have several choices:

• Purchase the Vehicle: You can choose to buy the car by paying the predetermined GFV, often referred to as the 'balloon payment'. Once this settlement figure is paid, you will own the Subaru outright.
• Hand the Car Back: If you decide you no longer want the car, or if your circumstances have changed, you are welcome to hand the vehicle back to the finance company with nothing further to pay, provided you have adhered to the mileage and condition clauses of your agreement.
• Part-Exchange: If you love your Subaru and want to upgrade to a newer model, you can use your current car as a deposit towards a new Subaru. In many cases, if the car's market value is higher than the GFV, the excess equity can be used to reduce your monthly payments on the new agreement, potentially keeping your monthly outlay the same.

PCP offers a great way to drive a new car with lower monthly payments, providing flexibility at the end of the term.

Factors to Consider When Choosing Your Subaru Finance

Making the right finance choice is as important as selecting the right Subaru model. Here are some key factors to weigh up:

• Monthly Budget: How much can you comfortably afford to pay each month? PCP generally offers lower monthly payments than HP.
• Mileage: How many miles do you typically drive in a year? Exceeding the agreed mileage on Contract Hire or PCP agreements can result in excess mileage charges.
• Ownership Goals: Do you want to own the car at the end of the agreement, or do you prefer to upgrade regularly? HP leads to ownership, while PCP and Contract Hire offer flexibility.
• Car Condition: If you opt for PCP or Contract Hire, it's important to maintain the car's condition and adhere to fair wear and tear guidelines to avoid end-of-contract charges.
• Interest Rates (APR): Always compare the Annual Percentage Rate (APR) offered by different lenders, as this represents the true cost of borrowing.

Frequently Asked Questions

Q1: Can I get finance for any Subaru model?

A1: Yes, our finance options are designed to cover the full range of Subaru vehicles, from the sporty WRX STI to the practical Forester and Outback.

Q2: What is the Guaranteed Future Value (GFV)?

A2: The GFV is the minimum amount that the finance company guarantees the car will be worth at the end of your PCP agreement. This figure is calculated based on the car's make, model, age, predicted mileage, and condition.

Q3: What happens if I exceed my mileage allowance on a PCP or Contract Hire agreement?

A3: You will typically incur an excess mileage charge, which is usually calculated on a pence-per-mile basis. It's essential to choose an agreement that accurately reflects your expected annual mileage to avoid these charges.

Q4: Can I settle my finance agreement early?

A4: Yes, in most cases, you can settle your finance agreement early. You will typically need to pay off the outstanding balance, which may include a portion of the remaining interest. We recommend speaking to your finance provider for specific details.

Q5: How do I compare Subaru finance deals?

A5: Our platform allows you to input your requirements and receive quotes from multiple lenders. You can then compare the key features, monthly payments, and APRs side-by-side to find the most suitable deal.

Get the Best Subaru Finance Deal Today

We are here to support you every step of the way. If you have any questions about utilising our Subaru finance comparison tools, or if you require assistance in selecting the ideal finance deal for your needs, please do not hesitate to get in touch. You can reach us by phone or utilise our instant messenger service for immediate support. Let us help you drive away in your perfect Subaru.

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