How best to finance used car being kept for 1 year

[Endoftethermum1]

Hi, I’ll be really grateful for some advice on how best to fund a secondhand car. I’ve put a small deposit down just to hold the car (£100)as it seems such a good deal. We are about to switch to a car from NHS car fleet, but unfortunately the car we want is a hybrid and won’t be available for one year.
I don’t have any car to trade in as the engine went (nightmare!) and I don’t particularly want to pay a lump sum as I have building work and decorating to pay for. Is it best for me to get a bank loan and try and pay it back or should I be looking at one of the hire purchase/PCP deals. Lloyds bank offer all three of his options which seem to be cheaper than the car finance APR, but I’m totally confused as I’ve never taken out car finance before. Lower monthly payments are better for us at the moment, but I’m getting bogged down reading the small print as to which is the best option.

If I’m only keeping it for a year what is best to do? The car only has 5600 miles on it and it’s a 2020 plate , I want to get it as I think it will have a good resale value in a years time.
thanks so much for any advice people might have ☺️

Bumping!

Problem with PCP and possibly hire purchase is that you're tied in for a certain period and it might be expensive or detrimental to your credit record to cancel the deal early so that's something to explore.

However, if there hasn't been a significant freeing up in the car market in a year's time, there might be sufficient demand for you to be able to hand the car back without significant cost.

But if cheap personal loans are still available (or even a low rate money transfer credit card) that might be the most flexible option.

Plus obviously if you need a car now, you'll need to be prepared to take a hit on depreciation, if more cars come through, so more used cars are available, and prices drop.

Do you have anyone at all in either of your families who are willing and able to lend you the money?

I'd go down that route first if possible.

dacadactyl not at the moment unfortunately. I definitely will be selling on in a year once the NHS fleet one we have ordered is here so I want to avoid any penalties in a year.
barbaraofseville that’s what I thought, but it’s hard to see the small print on some of the options. I think I might have to ring my bank tomorrow. Thanks

Do they take credit card? If you get a sufficient credit limit you could get one which in 0% on purchases for over 12 months and repay the minimum (or a bit more) so the balance is down to resale value when you sell in 12 months.