Business car loan. Handy place to get one?

mp3ireland2 · 17-04-2022 10:05am #1

I'm thinking of getting a car through my business. My business bank account is revolut, so I've no Irish Bank. Our personal accounts are with EBS so they don't do business loans. For a second hand vehicle the finance deals seem to be about 13.5% so wanting to get something cheaper. I'm only in business for one year, but EBS gave me a mortgage so I think I'd be ok and wouldn't mind being a personal guarantor. I'd like something hassle free where I just send off my documents and not have to take time off work to go in to a bank

drunkmonkey · 17-04-2022 2:54pm

Might be worth opening a bank account and trying to get the loan under some business scheme they have going or finance the car with a garage, if you've the cash in the business maybe just buy it.

You should be able to do a lot better than 13.5%, have you looked into BIK, a second hand car will cost the same as a brand new one the same model as BIK doesn't care how much it cost second hand, it's based off the new price.

A fully electric or plug in hybrid will be the cheapest bik rates from January https://www.boards.ie/discussion/2058228171/bik-rates-for-2023-careful

maestroamado · 17-04-2022 2:58pm

https://www.boards.ie/discussion/comment/118939178#Comment_118939178

Avantmoney are offering loans for 5.9% to existing customers...

macvin · 18-04-2022 7:21am

I'd be checking out the benefit in kind tax first.

If you pay higher rate tax, it will be 40% tax of the figure that is 30% of the price of the car as new

So if you bought a 2010 BMW 5 series, the bik would be about €8,000 a year.

Only time a company car makes sense is if it's 100% electric (no bik in first €50k value) or if you are doing serious business mileage

mp3ireland2 · 18-04-2022 3:42pm

Yeah I'm getting an electric one, might sell it to myself when the BIK starts tapering off. I might even buy an electric van. Getting solar panels installed in July so if I was sorted by then I could get the charger as part of the install

macvin · 20-04-2022 2:30pm

13.5% is at money lender levels.

usedcarfinance.ie are 8.5% and that's quite high considering ecb is less than 0%.

Credit Unions will be circa 6% and many are willing to give loans to companies once they have a guarantee from you.

mp3ireland2 · 20-04-2022 3:29pm

https://www.boards.ie/discussion/comment/118952114#Comment_118952114

Ah I didn't know credit unions could be an option. Thanks

Business car loan. Handy place to get one?

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