We want to help you understand ‘black box’ car finance and how it is suitable for people with bad credit and how it can help you on the road to re-establishing your bad credit profile.
The Payment Reminder System (black box) is there purely to help you keep your repayments up to date and it does not affect your car. It works by placing a small discreet black box in your newly purchased car that is not visible in any way.
All systems are fitted by auto electrician specialists and then removed by them once your finance agreement has been paid in full. They are fully trained and ensure that it is fitted correctly before our customers drive away their new car.
Here at Go Car Credit we look at people differently and we believe that by using a Payment Reminder System for people with bad credit is a good thing as it allows our customers to get a car to help them with day-to-day errands and the daily commute. If you’re considering car finance with bad credit you can call us on 01925 696 373 and our specialist team can take you through the process.
Another phrase used to describe ‘black box’ car finance is ‘pay as you go’ car finance. This phrase could be deemed as misleading because taking on a car finance agreement means that you enter into a legal contract over an agreed period of time, for example 36 months. Once all payments have been made you then own the vehicle. The name for this type of car finance is Hire Purchase.
We would associate the term ‘pay as you go’ with services such as mobile phone providers, whereby you pay for the calls and texts you make but you are under no obligation to purchase any more credit if you do not want to. This is not the case for ‘pay as you go’ car finance. Because it is a legal agreement you are unable to just stop making payment like you would with other pay as you go services such as mobile phones. With car finance you would incur late payment charges and your account would enter into arrears and this could have a negative effect on your credit profile. We would recommend that you are cautious when looking to use ‘pay as you go’ car finance options as they may not be what they seem.
Want to know more on our finance process and how we could help you secure finance for your next car purchase, even if you may have been refused car finance by other lenders? Take a look at our How our finance works page.
When looking to purchase a car using finance don’t forget to factor in tax, insurance, repair bills, MOTs and servicing too into your budget calculator to ensure you can afford the monthly payments.