Car finance, like so many other things, comes with its own unique set of terms (or jargon if you prefer) that can often leave you scratching your head. At caruno we prioritise being simple, straightforward, and certain. This lets us offer a clear choice, the right way to pay and an easy road to driving the car you want. So, to help keep your car buying and leasing journey as transparent as possible, here’s a handy A-Z guide on car finance jargon…
Agreement
Amount of credit
Annual mileage
APR (Annual Percentage Rate)
Balloon payment
Credit score
Deposit
Depreciation
Early settlement
Equity
Excess mileage charge
FCA (Financial Conduct Authority)
GAP insurance
Guaranteed Minimum Future Value
Hire Purchase (HP)
Interest rate
Part-ex
Personal Contract Hire (PCH)
Personal Contract Purchase (PCP)
Residual value
Settlement
Term
Total amount payable
Voluntary termination
Wear and tear