Vans cost money. Let’s face it, they’re not a cheap investment but they are often an essential one for many businesses. The good news is that financing a used van can help you get your foot on the pedal of a higher quality vehicle. 

How so? Well, you can spread out your payments and make it more affordable. Being able to foresee your outgoings makes them more manageable. 

The Benefits of Financing a Used Van

Obviously, there are benefits of financing a used van because millions of people do it, for both personal and business uses. 

  • Cash Flow Preservation: Financing allows you to spread payments over time, leaving more cash for other outgoings. Also, this route typically requires less money upfront compared to buying a van outright.
  • Access to Higher Quality Vans: Understandably, you need a reliable  van which accommodates your needs. Financing can make it possible to afford better, more modern models, as well as the flexibility to upgrade later.

The Drawbacks

Naturally, there are some areas of financing a used van that have a downside. Make sure you’re fully aware of them before diving in to any decisions. 

  • Interest Costs: There should be no surprise that monthly payments include interest, which varies by credit score, loan term, and lender. Use a used van finance calculator like ours to find the best deal and avoid overpaying.
  • Depreciation: The classic ‘once you leave the forecourt’ impact. Of course, a van’s value will decline over time. You may even end up paying more than its market value due to interest. So, consider depreciation, as well as taking care of your van, if you plan to resell or upgrade.
  • Repair Costs: Second hand vans may need repairs, adding to your overall outgoings. It’s important to look for warranties that cover potential repairs as well as vans with a solid service history, so you’re more prepared for any potential issues. 

What Are Your Financing Options?

  • Hire Purchase (HP): Pay a deposit and monthly installments, then own the van after the final payment.
  • Finance Lease: A long-term lease where you have full use and control of  the van, making fixed (often lower) payments but not owning the asset.
  • Personal/Business Loans: A bank loan offers flexibility, immediate ownership, and no mileage limits.

Using a finance calculator can help you estimate monthly costs for each option. See how this works on any of our used vans (scroll below the product). 

What If You Have Bad Credit?

It is possible. We work with many lenders and can sometimes find a deal that works for everyone. Rates may be higher but that’s a given. To give you the best chance you could: 

  • Shop Around: Different lenders have varied criteria, so compare rates.
  • Consider a Larger Deposit: This can lower your monthly payments and interest rate.
  • Check Your Credit Report: Fix any errors that might impact your score.

The Best Van Deal for You

If you’ve got your heart set on upgrading your van, or if it’s become a necessity, the best advice we can give is to speak with one of our team.

It’s in our best interest to get you the best deal possible. We want to grow alongside your business. We want your repeat custom.

Josh King – Sales Manager

By understanding your van requirements along with your financial situation, we can use our knowledge, expertise and contacts to place you in the right van on the best deal for you. Feel free to get in touch and have a chat through your options.