Low Cost Vans

More good news for consumer vehicle financing was recently reported. The amount of cars bought on finance has seen continued steady growth. Figures released last week by the Finance & Leasing Association (FLA) show a growth of 4% in consumer new car finance volumes during April, compared with the same month last year. The used car finance market reported 9% growth in new business volumes over the same period. See the official FLA tables, with more details, below: Table 1: Cars bought on finance by consumers through dealerships Apr-14 % change on prev. year 3 months to Apr 2014 % change on prev. year 12 months to Apr 2014 % change on prev. year New cars Value of advances (£m) 1,073 +10 4,092 +22 12,942 +25 Number of cars 69,030 +4 266,000 +17 847,047 +18 Used cars Value of advances (£m) 893 +17 2,685 +26 9,558 +26 Number of cars 88,741 +9 268,213 +18 975,164 +20   Table 2: Cars bought on finance by businesses Apr-14 % change on prev. year 3 months to Apr 2014 % change on prev. y...

Good news was announced this week for both the auto finance industry and UK businesses. The FLA has reported that demand for motor finance has continued to stay strong throughout this year. New business volumes were reported as 29% higher in March than the same month in 2013, hinting at the strongest growth in the consumer used car finance market so far this year. Recent figures released by the Finance & Leasing Association (FLA) show consumer new car finance volumes were up by 21% in March compared with the same month last year. They were also up by 23% in Q1 2014. The FLA also reported on the rise of new consumer finance, which grew by 19% in March, compared with the same month last year, and was up 17% in Q1 of 2014. The figures show that growth in new business extended beyond the point-of-sale market into credit card finance and personal loans, with an increase in these two sectors of 12% in March, and a 10% rise in Q1 this year. Figures and data tables below are from the FLA...

Recent figures released by the Finance & Leasing Association ( FLA ) show a growth of 25% in the number of cars bought by consumers using dealer finance in January 2014, compared with the same month last year. The increased figures are in line with a rise in confidence levels predicted for the first quarter of 2014.  According to the FLA’s latest press release on the motor finance sector, consumer new and used car finance volumes also grew by similar rates – up 24% and 25% respectively. Along with a positive start in 2014 for the vehicle financing sector, the FLA have also reported that new business grew by 9% to almost £1.7 billion in January 2014, compared with the same month last year. That has led the way to double digit growth for commercial vehicle finance, business equipment finance and plant and machinery finance, which were up by 25%, 21% and 13% respectively. The rise in consumer confidence and the latest finance reports showing the strongest rise in new business for more...

Figures were released yesterday by the Finance & Leasing Association ( FLA ) showing a 6% increase in consumer finance new business in November 2013, compared with the same month in 2012. It was good news for the point-of-sale car finance market which recorded new business growth of 19%.  Commenting, Geraldine Kilkelly, Head of Research and Chief Economist at the FLA said: “ These latest figures show how point-of-sale credit continues to be a popular option for consumers. It is helping to support a sustained economic recovery in the UK. We have seen steady growth in overall consumer finance new business in recent months, amounting to 5% over the 12 months to November .” With the growth in new business towards the end of last year, it looks as though some consumers are still choosing to and are still able to obtain some form of finance to purchase a fleet of new cars and vans. The tables below were published on the FLA's website (you can view more by clicking on the FLA link abo...

Vehicle finance alternatives are out there to aid in getting businesses, SME’s, or private individuals on the road when they need to buy a much needed new van or require extra fleet vehicles to start up or increase business. Unfortunately we are well aware that traditional methods, i.e. banks, are still not lending as much as we need them to or not lending at all in some cases. We have explored a few finance options in last week’s blog post. Today, we continue exploring some possible finance methods that may suit your needs and help to get you behind the wheel of your very own brand new van. But first, here are some things to consider before choosing the right finance package: Term – For what length of time would your business need to lease the vehicle for? The general rule is that the longer you lease a vehicle for, the cheaper the monthly rental will be. Mileage – How many miles will you drive the vehicle per year? The monthly cost for the van lease may be heavily dependent upon th...

With the year winding down and what looks like a slow rise, yet positively still on the upswing, recovery in the economy, perhaps you’ve been thinking of buying that much needed new van or adding extra vehicles to your fleets to increase business in the new year. But, as we are well aware and have been for a good few years now, that traditional methods, i.e. banks are still not lending as much as we need them to, or not lending at all in some cases. So what financial alternatives are out there to aid in getting businesses/SME's firmly back on the road so to speak? I recently read an article saying that asset based lending is on the rise. This describes lending to a business or large corporations using assets not typically used in other loans. Instead, these loans are tied to things like inventory, accounts receivable, machinery and equipment. However, these types of loans often incur higher interest charges and can be more lucrative for the lending party than for borrower.  Plus, t...

The Finance & Leasing Association ( FLA) has just released the results of a new survey of expectations in the retail motor finance sector. The published survey “aims to gauge senior executives’ opinions on the outlook for the UK economy and the retail motor finance industry”. The FLA are the UK’s leading and Europes largest trade association for the consumer credit, motor finance and asset finance sectors. The first edition of the quarterly FLA Retail Motor Finance Confidence Survey shows an optimistic outlook reflecting the strong performance reported by the motor finance industry since the beginning of last year. The optimism can be attributed to an expectation of an increase in future consumer spending. Whether that will happen remains to be seen, but the survey does also show that a significant amount of responders feel a positive expectation regarding future growth in our UK economy as a whole. Nearly two thirds of the respondents say they are expecting an improvement in mar...