Barclays (Barclays.co.uk) don’t offer a specific car loan but instead the unsecured Barclays personal loan is intended to be used for mid-sized purchases such as cars. You could use it to pay for a new car or to refinance a car that you have already purchased on credit, potentially saving money on your monthly payments. Loan amounts available are between £1,000 and £35,000 making it roughly the right size for an automobile purchase and you can stretch out your repayments so that your loan will be paid off within two years (24 months) or up to five years (60 months). Once you are approved for the loan it arrives in your account immediately, enabling you to purchase your car not long afterwards.
With the Barclays personal loan you have the right to choose to repay your loan early if you so choose. There is a charge applied if you choose to do this, however, equalling 30 days of interest. There is also a price-match guarantee to help make sure that the loan you are taking out is comparable to the rest of the market. If you find a loan for the same amount and over the same term but with lower monthly payments elsewhere, Barclays offers to match this rate and pay you a £50 reward.
In order to be eligible for a Barclays car loan you need to be a resident of the United Kingdom who is over 18 years of age. In order to qualify for the loan your credit rating will be checked so that the bank can be sure that you are unlikely to default. Also, if you wish to spend your loan on something other than a car then this option could be available to you. It could be possible to take out slightly more than you need for the car itself or to change you mind about what you want to use the money for. The are some restrictions on what the money can be spent on, however: you cannot use a Barclays personal loan to fund a business, for investment or for purchasing a home.
Also, unlike a homeowner loan, a personal loan is unsecured and so you do not need to already own a home or a car. Moreover, the interest rate is more favourable than some other forms of short term credit such as credit cards. As such, it meets that middle ground between a large secured loan and a high-interest short term loan.
