The idea that you don’t have to pay anything and you can start driving a car seems too good to be true. However, this deal exists through a no deposit scheme. Without spending anything initially, you can choose the car you want to drive and enjoy it right away. But you might worry that it’s not a suitable deal for you. These are the reasons why no deposit car finance is a good deal, especially if you find the right financing partner.
You will pay more each month
The only thing you don’t do that car buyers normally do, is pay a down payment. You still have the responsibility to pay each month just like anyone else. Since you don’t pay any amount initially, you can expect your monthly payments to be higher. The down payment doesn’t disappear but gets included as a part of your financing costs.
You will need to get screened
Dealers won’t immediately give you the vehicle just because you decided to buy it. You will need to submit several requirements. The company will also check your documents and see if the information is correct before you receive approval. The dealer needs some guarantee that you’re a reliable person and that you will honour the contract.
You still have a lot of choices
Just because you don’t have to pay a down payment doesn’t mean the dealer will curtail your choices. You can still select the perfect vehicle that suits your needs. You don’t need to settle for whatever is available. You can even wait until your chosen vehicle is available for release.
The contract is legally binding
You might worry about signing a contract if the terms seem unfair for you. However, the truth is that it’s also for your protection. It’s a legally binding document. It means that if the other party fails to hold up their end of the deal, you could sue them. If you get charged extra for things you didn’t agree on, you could question it. You will feel more confident that it’s a fair deal because both parties signed the contract.
Refinancing is possible
If at some point, you can no longer afford the payments, you can ask for a refinance option. The terms will change, so you can catch up on your delayed payments. You can also renegotiate later and wait until the other party agrees. The dealer would rather see you pay for the car than take it away from you when the value is no longer the same.
If you start to think about getting a new car through this scheme, don’t let anything stop you. Besides, you’ve probably waited for this moment for a long time. Now is the chance to own a new car finally. You might not have the chance again, especially if your expenses begin to pile up. Be smart in choosing the right dealer and start the process now.