Halifax Car Finance Review | www.halifax.co.uk
Address: PO Box 548, Leeds, LS1 1WU.
Branding: Halifax Car Plan Extra. AKA: Halifax Car Finance.
FCA Licence: 593292.
From: Lloyds Banking Group Plc.
Related: BOS (Fin), BOS (Loan), Black Horse, Halifax (Loan), Lloyds (Fin), Lloyds (Loan).
Bad Credit Halifax Finance Available?: No.
Financed Vehicles: Cars.
Manage: Halifax finance login provided via www.halifax.co.uk.
Opening Hours: Monday to Sunday (8am/8pm).
Products: Hire purchase, personal contract purchase.
Sums: £3000 to £60,000 (new and returning).
Terms: 12 to 60 months.
Notes: Only existing customers of 3 months qualify. The usage of their internet banking facility is also required. There is a claimed 90% dealer coverage where the vehicle must be sourced. The 2 options available include Fixed Car Plan (HP) and Flex Car Plan (PCP). The latter has a shorter max term of 48 months. No credit check is required since they already have the customer’s data on record. What limits eligibility is the need to hold an account. Logins are taken at www.mycarfinance.halifax.co.uk rather than www.halifax-online.co.uk.
– Amounts: As much as £60,000 can be financed. In contrast, their personal loan heads to £25,000.
– Branches: This is a digital product. If you were interested in joining and are happy to switch to them (remember the 3 month delay) then there is a sizeable network of 800 branches for general banking.
– Experience: Formed in 1853 and has successfully attacked many competitive niches over their history. They were of course the largest building society before they became a bank. These new Halifax finance products were only launched in 2015, but the Group has expertise in the field through Black Horse.
– Operations: You can hit them up with questions 7/7 during the matched times of 8am to 8pm.
– Ownership: The Lloyds Banking Group has 30 million+ customers and they have been dominant over the years in such areas as mortgages and savings. On the worldwide stage they however remain some way behind HSBC Holdings for market cap.
– Pricing: 4.6% APR is the joint cheapest sector rate shared with Lloyds Bank. It is good to see such great value, but we have seen banks offering personal loans from 3.3% onwards where there is no such secured contract. Another hindering point is customer exclusivity.
– Profile: The 18 million customer base is the largest of all the banks. This hands them with a huge potential to internally promote financing. On searching “Car Finance” in Google they have now hit the first page that is a clear sign of their rapid traction. There does look to be a conflict of interest for their owner who already works with 5000 dealers via Black Horse. Industry insiders have naturally raised concerns over the potential losses to dealerships as a result of low rate banking products like this.
– 4.2% was the rate at launch.