APR stands for Annual Percentage Rate. It describes the true cost of borrowing money over the course of a year. It includes the interest you’ll pay but also any other fees. It’s calculated as a percentage of your loan or finance.

If your account is ‘in arrears’, it means you are behind your payment schedule and will have to pay extra to get back to the agreed plan.

A broker is a middle man between you and a lender, who searches for products on your behalf and sets up the contract. The Car Finance Company are not a broker we are a car finance lender but you may have been referred to us via a broker.

The Consumer Credit Act 1974 (The Act) is the principle which regulates consumer credit and consumer hire agreements. These agreements include personal loans, hire-purchase agreements, credit cards and cards and store cards.

A CCJ is a type of Court Order that might be registered against you if you fail to repay money you owe. It sets out how much is owed, how the money should be repaid and the payment deadline. For more information on obtaining car finance with bad credit click here.

This is a company who gathers all the information about your credit history. The role of a credit reference agency is to make it possible for lenders to quickly make fair, consistent, responsible and profitable lending decisions.

This is a score given to you based on your history of paying back previous and existing debts and is an assessment of how likely you are to repay debts.

When you apply for credit the finance broker or lender will do a search of the information held by the Credit Reference Agencies to view your credit history and assess the likelihood of you repaying the debt.

An upfront payment towards the cost of the vehicle.

If you want to sell your car or pay off the finance before the end date of the finance agreement, this is called an early settlement. Settling the agreement early will usually save you money overall, as you pay less interest on your borrowing.