Car refinancing is the term used when taking out a new finance agreement – usually with a new lender – to pay the balance on an existing car finance loan. When you refinance, this will settle your current finance with a one-off payment.
Our customers refinance because it adapts to their current circumstances. When you take out a hire purchase (HP) or personal contract purchase (PCP) deal, you’ll commit to making monthly repayments for a set time. This is generally anywhere between 2 and 7 years. But over time, changes can happen in your life, and a loan that was right for you when you bought your car, isn’t right anymore.
Maybe your credit score has improved, and you could get a better interest rate and lower monthly repayment. Or your expenses have increased, and you’d like a lower monthly repayment?
You could have taken out joint finance but now need a loan that’s just in your name, in addition to potentially creating a lower monthly payment. Or maybe you have reached the end of your PCP agreement, and you love your car and need finance to cover the balloon payment?
Whether you’re looking to get a better deal, reduce your monthly repayments or finance a balloon payment, get in touch today and find out if using this service is beneficial to you, personally.
It all starts with a quote. If you’re approved in principle, your dedicated account manager will give you a call to talk through your options. No strings attached. They can answer any questions you have about your existing loan and how your refinance deal will work.
If your circumstances have changed, it could be a great solution for you but every situation is different so there’s no guarantee that refinancing will be beneficial in every case. The only concrete way to know if refinancing is something you could benefit from is to get in touch with one of our finance specialists.
One benefit of refinancing could be that you find a car loan with lower monthly repayments. If you’re struggling to make your repayments or need more disposable income, there’s no need to wait until the end of your agreement. You could swap to a loan with cheaper monthly repayments and a longer repayment period instead.
Looking for a better deal? Credit scores aren’t fixed and yours might have improved since you took out your finance. In fact, if you’ve kept up with your repayments, your existing loan could have boosted your rating! Refinancing could mean you find a loan with a lower rate of interest, lowering your monthly repayments or reducing the total amount payable.
It’s also an option for people coming to the end of a PCP agreement. To keep the car, you’ll need to pay the balloon payment. Taking out a loan to split this one-off cost into manageable monthly repayments could mean you can keep a car you’d otherwise have to hand back to the lender
We can refinance Hire Purchase (HP) or Personal Contract Purchase (PCP) deals.
Yes, it’s possible. At Happy Motor Finance, we specialise in arranging finance based on all credit scores. Please speak to one of our team to find out more.
Representative example: borrowing £6,500 over 5 years with a representative APR of 19.9%, an annual interest rate of 19.9% (Fixed) and a deposit of £0.00, the amount payable would be £166.07 per month, with a total cost of credit of £3,464.37 and a total amount payable of £9,964.37.
*Our lenders operate using an initial "soft search" which does not impact your credit score however, if you wish to proceed with the finance offered, the lender may carry out a "hard search" prior to sending you the finance documentation to sign.
Amazing experience from start to finish, the people there don’t push you into anything. The checks are really good, they not only check out the car but who you are buying it from. Thanks to Matthew and Leon for all their support in helping me choose the right car for me.
They were extremely helpful and did everything they could to get me finance even with a bad credit rating. Couldn’t recommend these guys enough. Leon talked me through it every step of the way, the company are lucky to have you😊
Very helpful team Leon walked me through the whole process and didn’t push. He also gave brilliant advise and set up warranty package that gave me peace of mind.
I've just picked up my new car, absolutely love it, Alan was amazing I told him everything I was looking for in a car and within minutes he found my dream car, Alan kept in contact with me through the whole experience, checking I was still happy with everything, I would highly recommend Happy motors finance and have already done so with friends. THANK YOU SO MUCH! 😊
Cannot praise this company highly enough. Dealt with Alan, who pulled out all the stops and exceeded my expectations. Everything went so smoothly. Alan also made sure I was given all the details needed and communication was excellent. Keep up the good work guys.
Andy RyanAbsolutely outstanding service from Damian at Happy Motor Finance, start to finish 48 hours everything was explained and was an easy process. Highly recommended and cheers Damian much appreciated!
Victoria SumnerAmazing service from Leon and a new car sorted in less than a week.
Peter KilliardI could make this very very long winded but I won’t. I’ll just say that Kirsty and the team gave me the best customer service and buying experience ever. Thank you very much and I’ll be back when it’s time to upgrade.
Barry O'BrienKirsty was very patient, I don’t think I was an easy customer, I can’t remember how many cars I looked at, there was no pressure and Kirsty was extremely helpful and nothing was too much trouble, we eventually got a great deal on my ideal car, Thank you Kirsty
Jack ScoreyLeon was great! Fast responses to questions and always happy to help. Very quick process from start to finish. I would recommend this company to anyone.
Kyle DannIf I could give 6 stars I would, team member Yaz has been the most help from any finance company I’ve tried in getting a new car and helped me out massively. Top man and a top company would massively recommended.
leah wilsonEverything was quick and easy! would 100% recommend to anyone looking to quick finance!
LGA-Extra ZFast and easy service. couldn’t ask for a better service
lizzy smithKirsty was extremely helpful, really helped me understand everything and got me the best deal possible! Also very easy to chat to and get along with! Highly recommend!
