It’s been a very busy two years for car finance companies, lenders and brokers – a trend that doesn’t seem to be slowing down any time soon.
Car finance deals have undoubtedly rocketed over the past few years and with buyers who wouldn’t have previously gone down the finance root now considering it as a way to help increase their credit rating, could this be something that’s set to increase?
The Finance and Leasing Associations (FLA) have released new figures that show that car finance volumes increased by 8% in May this year. When compared with May 2013, consumer used finance volumes increased by 10% and 18% higher when comparing the first five months of both this year and last.
The car finance market hasn’t always seen this scale of success however: during the recession, consumers were less likely to invest in car finance due to unemployment rates, lack of disposable income and an overall fear of not being able to keep up with these kinds of monthly repayments.
Even for those who could afford car finance repayments, it became increasingly challenging to secure car finance, with many lenders disappearing from the market.
Now, in a much more stable economy, things are looking up for the car finance industry and this positive growth is expected to continue.
““FLA members remain optimistic, and expect new business growth of more than 10 percent in the new and used car finance markets over the next 12 months,” explains Geraldine Kilkelly, head of research and chief economist (FLA).
Flexible car loans and finance like the deals we find here at New Look Loans allow you to purchase your dream car even if you have been refused credit before. As previously mentioned, this could not only mean you getting the vehicle that you’ve always wanted, but opting for car finance could do wonders for your credit rating too.
Younger drivers are particularly feeling the benefits of our car finance deals too. With unemployment levels falling and with house prices on the rise, much of generation Y are opting for finance instead of buying outright, saving lump sums to instead save up for a house.
However, even with the economy on the rise and the car finance market continuing to flourish, some people may still be struggling with obtaining finance. Now is a great time to invest in your dream car finance and New Look Loans may be able to help you. Providing the best finance packages based on your individual circumstances is what we specialise in and after 6 years in the industry we have experienced the rough with the smooth.
We can cut through any confusing myths surrounding car finance and help you get into this ever-growing market.
So with the economy on the up and the car finance market following suit, it looks as though this trend isn’t going to show any signs of slowing down any time soon. Have any questions about whether you’re eligible for car finance? Don’t hesitate to give New Look Loans a call today on 01482 736057.