Can I get car finance on a Volkswagen?

Thinking about getting a Volkswagen on finance? We’ve answered some of the most frequently asked questions about Volkswagen car finance to help you understand your options.

Can I get car finance on a Volkswagen?

Yes! You can get car finance on a Volkswagen. Financing allows you to spread the cost of the car over several years, making it more affordable in the short term.

Whether you're looking to buy a new or used VW, there are different financing options available to choose from. These include hire purchase (HP), personal contract purchase (PCP), and personal loans. Your eligibility hinges on your financial standing, credit score, and the VW model you have your eye on.

How does VW finance work?

Just like financing any car, VW finance typically offers several options to suit different needs:

1. Hire Purchase (HP): You pay a deposit and then make fixed monthly payments over an agreed period. Once all payments are made, the car is yours.

2. Personal Contract Purchase (PCP): You pay a deposit and lower monthly payments compared to HP. At the end of the term, you can choose to make a final "balloon" payment to keep the car, return the car, or trade it in for a new one.

3. Leasing: Essentially a long-term rental, you pay to use the car for an agreed period and mileage limit. At the end of the lease, you return the car.

Each of these car finance options has its own advantages and can be tailored to your financial situation and preferences.

Is it hard to get finance for Volkswagen?

Getting finance for a Volkswagen largely depends on your financial circumstances, including your credit score, income, employment history, and overall debt-to-income ratio. 

If you have a good credit score and a stable income, getting finance for a Volkswagen should be relatively straightforward. However, if you have a lower credit score or irregular income, you might face more challenges and higher interest rates. 

To see what kind of deal you could be eligible for, use our free car finance calculator.

What credit score do I need for VW finance?

The credit score required for Volkswagen finance can vary depending on the lender.

Normally, a credit score of 650 or higher is good. It should qualify you for low interest rates and good terms. 

However, if your credit score is below this threshold, don’t worry. You may still be able to secure financing, but you might face higher interest rates. At Car Finance 247, we work with specialised lenders who offer bad credit car finance deals for people in this situation. They look at more than just your credit rating and take other factors into consideration.

Which finance company does Volkswagen use?

Volkswagen primarily uses Volkswagen Financial Services to provide financing for their vehicles. Volkswagen Financial Services offers many financing options. These include hire purchase, personal contract purchase (PCP), and leasing. 

However, while Volkswagen Financial Services provides tailored options directly through VW dealerships, this isn’t your only option! We can help you find the best deal possible, potentially offering you a cheaper rate than going directly through Volkswagen Financial Services.

Can I pay off my VW finance early?

Yes, you can usually pay off your VW finance early. Most finance agreements allow for early repayment, but check the terms and conditions of your specific contract. 

Some agreements may include an early repayment charge, which could be a percentage of the remaining balance or a set fee. 

Paying off your finance agreement early can save you money on interest in the long run, but you'll need to weigh this against any potential early repayment charges.

What is the interest rate for VW finance?

The interest rate for VW finance varies. It depends on several factors, including the type of finance, the term length, your credit score, and the market conditions. 

Typically, interest rates can range from around 2% to over 10% APR. To get the most accurate and competitive rate, it's advisable to shop around and compare offers from different lenders. We can help with this – we’re committed to finding you the best deal that suits your needs and could potentially offer a lower rate than going directly through VW.

Have you been declined VW finance?

If you've been declined VW finance, don't lose hope. There are many reasons your application might have failed. These include a low credit score, not enough income, or high debt. 

The first step is to understand why you were declined. Request feedback from the lender and check your credit report for any inaccuracies or areas that need improvement. Improving your credit score, reducing existing debts, and ensuring stable employment can increase your chances of approval. 

You may also have more luck applying for a loan with lenders who specialise in lending to those who have been refused car finance elsewhere.

Can you get car finance on used Volkswagens?

Yes, you can get car finance on used Volkswagens. Many lenders offer finance options for both new and used cars, and the process is similar to financing a new vehicle. 

Financing a used VW can be a cost-effective way to own a reliable car without the higher price tag of a brand-new model. The interest rates for used car finance may be slightly higher than for new cars, but you can still find competitive deals.

Can I get VW van finance?

Absolutely, you can get finance for VW vans. Whether you need a van for personal use or business purposes, there are financing options available for a VW van. 

Van finance works just like car finance. You can choose from hire purchase, leasing, or PCP options. It's worth exploring these options to find the one that best suits your needs and budget. But if you’re not sure on which one is best for you, your dedicated account manager will talk you through your options.

What VW cars can I get on car finance?

At Car Finance 247, you can get virtually any VW car on finance. For example, you can get Volkswagen golf finance as well as Volkswagen polo finance, or opt for another popular model like the Passat, Tiguan or Touareg.

 You might be looking for a compact car for city driving. Or, maybe a family-friendly SUV or a high-performance model. There's likely a VW that fits your needs! 

Finance options are available for both new and used VW cars, allowing you to choose the model that best suits your lifestyle and budget.

Got any questions about your VW car finance? Don’t hesitate to contact us. Or, get a quote now start your journey!