Car refinancing involves taking out a new finance agreement, typically with a different lender, to pay off the balance on your existing car loan. This process settles your current finance with a one-off payment.
Customers often choose to refinance to better match their current financial circumstances. When you initially take out a hire purchase (HP) or personal contract purchase (PCP) deal, you commit to monthly repayments for a set period, usually between 2 and 7 years. However, life changes can make your original loan less suitable over time.
You might benefit from refinancing if your credit score has improved, potentially qualifying you for a lower interest rate and reduced monthly payments. Alternatively, if your expenses have increased, you might want to lower your monthly repayments.
Refinancing can also help if you initially took out joint finance but now need a loan solely in your name, potentially reducing your monthly payment as well. Additionally, if you’re at the end of a PCP agreement and want to keep your car, you can finance the balloon payment.
Whether you’re looking to secure a better deal, lower your monthly repayments, or finance a balloon payment, refinancing could be a beneficial option. It starts with a quote. If approved in principle, a dedicated account manager will contact you to discuss your options with no obligation. They can answer any questions about your existing loan and how refinancing could work for you.
Refinancing can be a great solution if your circumstances have changed, but it’s not guaranteed to be beneficial for everyone. The best way to determine if refinancing is right for you is to consult with one of our finance specialists.
Benefits of Refinancing:
We offer refinancing for both Hire Purchase (HP) and Personal Contract Purchase (PCP) deals.
Yes, it’s possible to refinance even if your credit rating has dropped since you took out your original loan. At Happy Motor Finance, we specialise in arranging finance for all credit scores. Speak to one of our team members to find out more.
Our team of experts is here to help you every step of the way.
For more information on how refinancing can benefit you, check our finance calculator and see what works best for you.
The above rates and monthly payments are an example only. The actual rate you will be offered by lenders could be lower or higher depending on your circumstances
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.
Carol St ClairAbsolutely brilliant company. Everything explained and sorted for me from start to finish. Will definitely recommend these guys. Thank you from a very happy customer 😁
idrees aliKirsty provided a fantastic service, would recommed to everyone. Happy motor finance
Matt JamesBrilliant help , very stress free experience. Highly recommend , Damien was excellent from start to finish .
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.
