Applying for Vehicle Finance
A big decision
Making the decision to buy a car is the second biggest financial decision you’ll make in your adult life. There are many reasons why you might be looking for a vehicle and some of the reasons may be unexpected. It’s possible that you haven’t had a chance to save or had other important big purchases to make.
Choice is important
So, if you’re in a position of needing (or wanting) a new car but not in a position to pay the full lump sum, then vehicle finance may be an option for you. Have a look at our ‘Car Financed Explained’ blog for information on the different finance options.
Santander along with Your Red Car strongly advise you not to investigate vehicle finance if you do not have financial security and you are taking out payday loans or struggling to meet other financial commitments. As a responsible lender, Santander Consumer has the responsibility to refuse finance to someone who they believe will not be able to uphold the agreement. This is to protect you and your finances from incurring any further stress or debt. Please take this into consideration before applying.
Now you are ready, lets look at what is involved
Once you have made an informed decision, you may be wondering how the process works.
5 Steps for Applying
1) Once you have found the car you want, have a discussion with the dealer about your financial situation. The dealer will be able to advise you on whether vehicle finance is ideal for you.
2) If both you and your dealer think it is the best option for you, the dealer will enter all your information into a system and send it to the finance company you have decided on.
3) You will be asked to provide either an in date driving licence or Passport.
4) The finance company will look through your information, clarifying it is correct and possibly asking for proof if they have conflicting information. This is to ensure that all your information is correct and that you are financially stable to take on the responsibility of finance. As a responsible lender, it is our duty to ensure we do not accept anyone who may struggle to repay on time.
5) Once a decision has been made, the dealer will inform you and it may be that the agreement is accepted with additional proof. You will be asked to sign the documents and read the full terms and conditions. We advise you take the time and read these fully – you can always withdraw at this point.
What happens next
Once the finance company has received the documents, they will review each of these and ensure that the documents match all the information you have given. They may send it back if there are any clerical errors to ensure the documents are legally compliant. This is vital for you and the company as the documents are legally binding and keeps you safe from fraud.
If the finance company view the documents and proofs provided and are happy with what they see, the financial agreement will go live. Should there be any issues, there is a ‘cooling down’ period stated in the agreement which would enable you to withdraw within a certain time frame.
All that’s left after this is to pay monthly according to what’s on your agreement and enjoy your new car!