UK car finance, explained

Stop overpaying for your next car.

PCP, HP and dealer tricks explained in plain English, so you can spot a bad deal before you sign.

Deal checks: Free during launch

How a deal check works

  1. 1

    Send your quote

    Share the finance quote or order form from the dealer. Remove any personal details first.

  2. 2

    I review the numbers

    APR, total amount payable, add-ons and your trade-in value, line by line.

  3. 3

    You get a verdict

    A red / amber / green verdict, plus exactly what to negotiate.

What I check

APR & total payable

The monthly figure hides the real cost. The total amount payable is the number that matters.

Balloon payment

The optional final payment on PCP. Know how big it is and what it means if you want to keep the car.

Mileage limits

Set it too low and excess mileage charges can bite when you hand the car back.

Add-ons

Paint protection, dealer GAP and other extras. Often optional, often available cheaper elsewhere.

Trade-in value

Is a big "discount" being clawed back with a low offer on your part-exchange?

Monthly-budget traps

"What can you afford a month?" lets the term and deposit be stretched to fit. I look past it.

Coming soon

Free guide: Car Finance Checklist

The questions to ask and numbers to check before you sign any car finance agreement.

PCP vs HP in plain English

PCP Personal Contract Purchase

  • Lower monthly payments, because a large chunk of the car's value is deferred to the end as a "balloon" payment.
  • At the end you can pay the balloon to keep the car, hand it back (subject to mileage and condition), or part-exchange it.
  • You agree an annual mileage limit; going over costs extra.
  • You don't own the car unless you pay the balloon.

HP Hire Purchase

  • You pay off the car's full price (minus deposit) over the term.
  • Higher monthly payments than PCP on the same car, but no large final payment.
  • No mileage limit.
  • You own the car once the last payment (and any small option-to-purchase fee) is made.

With both, the car is the security for the loan until it's paid off. Compare the total amount payable, not just the monthly price.

FAQ

How much does a deal check cost?

Free during launch.

Are you a lender or broker?

No. DealSecured is not a lender or broker and doesn't arrange finance or earn commission from dealers. It's independent education.

Is this financial advice?

No. It's educational information only, not regulated financial advice. Make your own decision, and seek regulated advice if you need it.

What should I send for a check?

The dealer's finance quote or order form showing price, deposit, APR, term, total payable, any balloon, add-ons and trade-in. Blank out names, addresses and reference numbers.

How do I know a lender is legitimate?

Check that the lender (and any broker or dealer arranging finance) is authorised on the FCA Register at register.fca.org.uk.

Disclaimer: DealSecured provides educational information only, not regulated financial advice. DealSecured is not a lender or broker. Always check whether any lender is FCA-authorised before signing.

Get your deal checked

Deal checks are Free during launch. Upload your quote and I'll get back to you by email.

Upload your quote DM @dealsecured on TikTok

Or email: enquiries@dealsecured.co.uk