Refinance your car

Do you already have a Personal Contract Purchase (PCP) or Hire Purchase (HP) agreement?

You could get a better deal or spread the cost of a final lump sum payment when you switch from another provider.

 

Switch your car finance.

See if you can get a better deal or help pay a final lump sum by switching your car finance with another provider to us.

  • Switch existing HP or PCP finance.
  • Online quotes and approval.
  • Choose to switch to HP or PCP with fixed monthly repayments.
  • Keep your current car.
  • No early repayment charges on our finance.
  • Funds are sent directly to the finance provider.

6.2% APR representative when you borrow between £7,000 and £25,000. This is based on our Hire Purchase product.

Get a quote today

Important information: to take car finance with us, you'll need to be aged 18 or over, a UK resident, hold a current account with us (min 3 months) and be registered for Online Banking. We are unable to refinance cars from existing Bank of Scotland, Halifax, or Lloyds car finance customers.

Lending is subject to status and additional affordability checks.


  • Here’s an example of how much your monthly repayments could be with Personal Contract Purchase or Hire Purchase If you were to buy a car and need finance for £13,000 over 4 years.

    Monthly comparison

    PCP Finance Example

    HP Finance Example

    Monthly comparison

    Representative APR

    PCP Finance Example

    N/A

    HP Finance Example

    6.2% APR

    Monthly comparison

    APR

    PCP Finance Example

    7.9% APR

    HP Finance Example

    N/a

    Monthly comparison

    Total Amount of Credit

    PCP Finance Example

    £13,000

    HP Finance Example

    £13,000

    Monthly comparison

    Annual interest rate (fixed)

    PCP Finance Example

    7.61%

    HP Finance Example

    6.00%

    Monthly comparison

    Agreement Duration

    PCP Finance Example

    48 months

    HP Finance Example

    48 months

    Monthly comparison

    Monthly repayments

    PCP Finance Example

    48 x £195.93

    HP Finance Example

    48 x £305.49

    Monthly comparison

    Optional final repayment of*

    PCP Finance Example

    1 x £6,850

    HP Finance Example

    N/a

    Monthly comparison

    Total amount payable

    PCP Finance Example

    £16,068.71 (Includes £10 Purchase Fee)

    HP Finance Example

    £14,673.52 (Includes £10 Purchase Fee)

    *With PCP, once you have paid all of your monthly repayments set out in your agreement, you have 3 options:

    1. pay the optional final repayment and own the car
    2. hand back the car (return conditions apply) without paying the optional final repayment
    3. part exchange the car subject to settling your existing finance agreement; new finance agreements are subject to status.

Personal Contract Purchase and Hire Purchase at a glance

Am I eligible?

PCP features

HP features

Am I eligible?

  • You'll need to be aged 18 or over
  • Be a UK resident
  • Be a Halifax Current Account holder (min 3 months)
  • Registered for Online Banking

PCP features

  • Choose how much deposit you pay
  • Set your own mileage limit
  • Lower monthly repayments
  • No credit searches
  • No early repayment charges
  • Pay a final lump sum to own the car or return it in good condition    

Things to consider with PCP:

  • Paying a bigger deposit will lower your monthly repayments
  • Excess mileage charges may apply if you exceed the agreed mileage limit and want to return the car
  • Charges may apply if the car is not returned in good condition; normal wear and tear is accepted

HP features

  • Choose how much deposit you pay
  • No mileage limits
  • No credit searches
  • No early repayment charges or final lump sum
  • Own the car at the end of the agreement

Things to consider with HP:

  • Paying a bigger deposit will lower your monthly repayments
  • The car could be repossessed if you don't keep up with your repayments.

Important information: Please check the terms and conditions of your current car finance agreement; early settlement fees may apply. Refinancing  your car over a longer term may reduce the monthly payment but could result in more interest being paid. It may also be worth checking the condition and value of the car to make sure refinance is the right option for you.

Ready to switch your car finance?

Ready to switch your car finance?

Get a Halifax car finance quote in minutes, without affecting your credit score.

Need to shop around? Your quote will be valid for 90 days, with no need to re-apply.

Get a quote today Get a quote today
Watch our video to understand more about car refinance.
  • Halifax Car Refinance 

    Have you got a car on finance?

    Refinancing with Halifax could help you get a better deal by lowering your monthly payments or even spreading the cost of a final lump sum to own the car.

    But what is refinancing?

    It’s simply when you start a new finance agreement to  pay off an existing car finance agreement.

    If you bank with us, you could switch your current car finance from elsewhere to us.

    You could then choose to switch to one of two different  car finance options - either Personal Contract Purchase (PCP) or  Hire Purchase (HP).

    With PCP, you could get lower monthly repayments than  HP.

    You could also own the car by paying a final lump sum.

    With Hire purchase, the car’s yours at the end of the agreement – with no lump sum needed

    With Personal Contract Purchase, we usually offer terms  from one to four years. With Hire Purchase, terms are usually one to five years.

    The final difference is that PCP comes with yearly mileage  limits, but there are none with HP. 

    Therefore if you do not keep you car at the end of your PCP agreement and have exceeded your yearly mileage limit on return of the car, then charges will apply. 

    Either way, refinancing should be simple and  we’ll send the funds directly to your finance provider.

    Now, how do you get started?

    Firstly, ask your current provider for a settlement quote.  Then, go online and tell us about your car and your  current finance. You’ll then get a personalised quote.

    It won’t take long – you’ll find out if you’re approved in  just a few minutes.

    Email us your settlement figure, and you’re good to go.

    We’ll switch you to Halifax.

    Get started today to see if you could benefit from refinancing your car with Halifax.

How does car refinancing work?

If you're thinking of refinancing your car, here's how we'll process your application:

 

  • ask your current car finance provider for a settlement figure
  • sign into Online Banking and get a quote
  • get an instant decision, with no impact to your credit score
  • upload your settlement figure and we'll switch your car finance to us.

Compare your car finance options

Compare your car finance options

If you're not sure which type of car finance is right for you, why not use our handy comparison tool? Sign in to get started.

Compare car finance Compare car finance

Frequently asked questions about car refinancing

Here's some helpful information based on the most frequently asked questions our customers have.

Halifax Car Insurance

Get cover you can rely on with one of our insurance policies. And for added peace of mind you can choose from a range of optional extras.

Find out more and get an online quote

Get clued up on credit

Confused by credit? Understand more about how credit works, how to improve your score, and how it affects applying for car finance.

Credit explained