Car loans versus traditional car financers
Author: admin
Car Financing
YFM Group deal with Tygan
Pic by Jay Williams 07770 576076
Pic shows the Tygan Speedster, built in Beaminster, Dorset.
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Tygan Motor Company, which produces replicas of celebrated Porsche sports cars of the 1950s, has secured finance from the YFM Group-managed South West Ventures Fund. The investment will be used to expand the company’s sales and marketing operation, to increase R&D to meet new European regulations and to increase stock.
The Tygan marque was launched at the prestigious Goodwood Festival of Speed last year with the Speedster 356 and was given the seal of approval by Porsche itself. The Beaminster based business has a growing order book and is on track to meet sales targets for 2008.
From 2009 Tygan will be offering a second model, the 550 Spyder, derived from the famous racing Porsche that competed in the Le Mans 24 Hours and the Mille Miglia.
Both designs are based on the running gear of the original Volkswagen Beetle. Tygan engineers use an original VW body shell for donor parts, including the chassis which is shortened, shot-blasted and refinished to accept new VW Beetle parts, including the engine, gearbox and suspension.
A GRP (glass reinforced plastic) body shell, identical in shape and form to the original Porsche models, is mounted on a steel sub-chassis and fitted over the chassis. The car, badged Tygan, is then hand built to the customer’s satisfaction by skilled craftsmen, painted in a new paint plant and delivered with a 12 months return-to-factory warranty.
Investment from South West Ventures Fund will allow Tygan to anticipate planned emissions requirements for ‘new build’ cars, particularly in the EU market. From next year standards will be met only by engines with catalytic converters and fuel injection so Tygan is currently evaluating a new engine which already meets the strict Californian regulations. From 2010, it is likely that ABS brakes will be mandatory and this issue is also being addressed.
A six-strong dealer network has been established in the UK and it is intended that this will be expanded into Europe in 2009 to cover the Mediterranean markets of France, Spain, Italy and Portugal. On the promotional front, Tygan is currently under contract to supply a Speedster 356 for use by Yorkshire TV in its productions of Heartbeat and The Royal.
Graham Lee, Chairman of Tygan Motor Company Ltd, said: “We believe we can generate significant interest in the UK and Europe in our cars. The investment from South West Ventures Fund will help us increase our production to 120 cars in 2009 and the business plan for 2011 is based on sales of 200 cars – an achievable and realistic target given the potential market in Europe.”
Julian Dennard, Senior Investment Manager at YFM Group, managers of the South West Ventures Fund, added: "Tygan has a growing order book and sales pipeline for these cars, which catch the eye and the imagination. The marketing analysis suggests that the company has a bright future as a niche automotive manufacturer selling a luxury product to high net worth individuals.
Car loans versus traditional car financers
Article by David Harve
Barring the privileged few, buying a car remains one of the major purchases in ones life. A swanky car with a stylish exterior and comfy seating space is everyone’s dream car. But a low cost used car might be what they can afford at best. For the majority, extra finances are a must to own a set of wheels. Fortunately, the market is also flooded with car financers and car dealers. In some cases, the manufacturer themselves take up the responsibility of financing the cars they sell. Yet, many people prefer to use the option of car loans to pay for the automobile they buy. Let us see whether it is profitable to finance a car with loans or it is better to use other means of finance.
First of all, let us check out the interest rate. According to research carried out recently, car loans come with comparatively much lower interest than other mode of car financing. Experts connected to the research suggest that consumers can save a substantial amount if they use a loan to finance their car.
The next issue is that of hidden charges. The process of financing a car gets over very quickly if one goes through the traditional car dealers or car financers. Everything is carried out quickly and the consumer pays little attention to the small details. So, they come face to face with nasty surprises in the form of hidden charges.
The next agenda is that of terms and conditions. It is a universally acknowledged fact that traditional car dealers ask for comparatively rigid terms. They take the missed payments seriously and results in the seizure of the car. They also never hesitate to use threat and violence to recover their money. On the other hand, car loans come with flexible repayment terms. Missed payments are not taken seriously. The consumer is allowed to pay off the missed payments along with the next instalments.
Beside this you can take a car loan with or without collateral. But purchasing a car through traditional financers means that the car will be always there as a security. In case you fail in your repayment, the car will be repossessed by the financer. From the above discussion it becomes quite clear that car loans are a far better option for car financing. This option is cost-effective, hassle free and easy to manage.
Car Financing question by In paradise: What are the interest rates for car financing/ leasing in Saudi Arabia?
Having recently arrived in Al Khobar, I need to know the interest rates.
Thanks!
Car Financing best answer:
Answer by B K
contact NCB; they are currently the only bank in saudi arabia with a decent auto lease program.
other banks will only give you personal financing with which you can buy a car.