Now you've chosen your car, whats the best way to pay for it?

More and more people are taking the option to spread the cost of buying their new car rather than using hard earned savings.

Right Car Jersey have teamed up with Equipment Rental Finance enabling us to offer various different finance options to ensure that you buy your car with a monthly payment that suits you.

The best bit is that we take care of everything for you. From organising the loan to completing the paperwork - it couldn't be easier. Just work out how much per month you can afford and want to pay, and we'll do the rest.

To find out just how little per month your next car could cost you, just click on the link below. You might just be suprised!

To calculate your payments click Calculate my payments 

Finance explained -

Conditional Sale - A very popular way to purchase your new car. After your initial deposit, you pay a fixed monthly payment over either a 1, 2, 3, 4 or 5 year period, and once the last payment is made, the car is completely owned by you.

Benefits -

• The payments are fixed, enabling you to control your budget
• Ownership of the car once final payment made
• No large cash outlay
• Able to protect your payments against accidents, illnesses and unemployement

Down Sides -

• No benefits in paying larger monthly payments into the loan.
• Often have to have a longer period to get a lower monthly payment

Conditional Sale with a Balloon - Works in the same way as normal conditional sale, however the monthly payments are either lower or over a shorter period of time. Again, after your initial deposit, you pay a lower fixed monthly payment, typically over either a 2 or 3 year period, and at the end, there is a larger 'balloon payment' due. The idea of this is to keep your monthly payment down, and at the time the balloon payment is due, enable you to change your car for a new one. A great way to buy if you like to upgrade you car every couple of years or so.

Lease Hire - Only available for businesses or for the self employed. A very tax efficient way to finance a car. In some cases you are able to offset your full monthly payment against Jersey or Guernsey Income Tax. Is best if you want 'usage' of the car rather than 'ownership' as the car should be sold at the end of the agreement, with you keeping most of the sales proceeds (however the finance company may keep a small proportion, usually about 1% of what the car is sold for or £50).

Benefits -

• The payments are fixed, enabling you to control your budget
• Very tax efficient - full monthly payment could be offset against Income Tax 
• No large cash outlay needed, typicaly 3 rentals in advance  
• Can be with or without a balloon to reduce the monthly payment
• Able to protect your payments against accidents, illnesses and loss of life (self employed or partners only)

Down Sides -

• No eventual ownership of the car

Lease Purchase - Again, only available to businesses or the self employed. Similar to conditional sale in the way it works, but has added Tax advantages as you are also able offset part of you monthly payment (the interest element) against Jersey or Guernsey Income Tax. This tax advantage is in addition to the capital allowances that you are able to claim through your business. To keep monthly payments down, you are able to have with a 'balloon payment' at the end of the term. 

Benefits -

• The payments are fixed, enabling you to control your budget
• Very tax efficient
• No large cash outlay needed, typically 3 rentals in advance 
• Eventual ownership of the car 
• Can be with or without a balloon to reduce the monthly payment
• Able to protect your payments against accidents, illnesses and loss of life (self employed or partners only)

Down Sides -

• No benefits in paying larger monthly payments into the loan.