Helpful Car Finance Questions & Answers

Car Finance Questions Answered

Thinking about financing your next car but have a few questions? You're not alone! At Dave Allen Motors, we believe buying your dream car should be simple, transparent, and stress-free. Below, we've answered the most common car finance questions to help you feel confident and informed every step of the way. 

Why finance at Dave Allen Motors?

At Dave Allen Motors, we make car finance simple, flexible, and tailored to you. We work with trusted finance partners to offer competitive rates and personalised options that fit your budget and lifestyle. Whether you're buying your first car or upgrading, our friendly team is here to guide you through the process with clear advice and fast approvals. Experience a hassle-free way to get on the road — apply for finance today or visit us to learn more.

Will I qualify for No Deposit car finance?

Qualifying for no deposit car finance depends on a few factors, including your income, credit history, and ability to comfortably afford repayments. At Dave Allen Motors, we work with a range of finance providers who offer flexible options, even if you don’t have a large deposit saved. Our team will assess your situation and find the best possible solution for you. To check your eligibility quickly and easily, apply online today or speak with our friendly finance experts in Hamilton.

Why shouldn't I use my home loan to finance my new car?

While using your home loan to finance a new car might seem convenient, it can actually cost you much more in the long run. Car finance loans are typically shorter-term compared to home loans, meaning you pay off the vehicle faster and with less total interest. Extending car costs over the lifetime of a 20 or 30 year mortgage could mean paying thousands more in extra interest. A separate, tailored car loan through Dave Allen Motors gives you flexibility, faster repayment options, and keeps your home loan focused on your property investment.

Do you lend to clients on the benefit?

Yes, we do! At Dave Allen Motors, we believe that everyone deserves access to fair car finance options, including clients receiving a benefit. Each application is assessed individually based on your income, expenses, and ability to comfortably manage repayments. If you're on a benefit and looking for car finance, apply online or speak to our friendly team in Hamilton — we’re here to help you get moving.

Is there a minimum age for a loan?

Yes, to apply for car finance at Dave Allen Motors, you must be at least 18 years old. Finance companies require applicants to be legally able to enter into a contract. If you’re 18 or older and looking for flexible car finance options,    apply online or get in touch with our team in Hamilton for friendly advice and support.

Can I apply for finance with a learner's driver's licence?

Yes, you can! Having a learner’s licence doesn’t automatically stop you from getting car finance. Finance approval will depend on your overall application, including your income, credit history, and ability to meet repayment requirements. At Dave Allen Motors, we work with finance providers who assess the full picture, not just your licence type. Apply online or speak with our friendly Hamilton team to find out more.

I’m self-employed, can I still get car finance?

Yes, absolutely! At Dave Allen Motors, we understand the unique challenges self-employed customers can face when applying for car finance. That’s why we partner with lenders who specialise in flexible solutions for self-employed individuals. We'll look at your full financial picture — not just traditional income documents — to help you secure the finance you need. Apply online today or speak to our Hamilton team for expert advice.

I have defaulted on my credit history. Does this mean I can’t apply?

Not necessarily! At Dave Allen Motors, we work with finance providers who understand that financial challenges can happen. Having a default on your credit history doesn't automatically disqualify you from car finance. Lenders will consider factors like the amount, timing, and circumstances of your default when assessing your application. If you’ve had credit issues in the past, apply online or contact our helpful team in Hamilton — we’re here to help you find a solution.

How long does it take to get an answer?

We aim to get a finance decision back to you as quickly as possible — often within the same day! At Dave Allen Motors, we understand that you don’t want to wait around, so we work closely with our finance partners to fast-track your application. For a quick response, apply online now or talk to our friendly Hamilton team today.

How much can I borrow?

The most important factor in determining how much you can borrow is affordability – or how much the repayments will be compared to how much disposable income you have. We work this out based on your current income and expenses. To find out how much you can borrow, use our online calculator.

How long is the term of the loan?

Loan terms for car finance at Dave Allen Motors typically range between 12 and 60 months, depending on your personal circumstances and the lender's criteria. We’ll help you find a repayment plan that suits your budget and goals. For a personalised finance option, apply online today or speak with our friendly Hamilton team.

Can I get approval before I have picked a vehicle?

Yes, you can! At Dave Allen Motors, you can apply for pre-approved car finance, giving you the confidence to shop for your next vehicle knowing exactly what your budget is. Pre-approval also makes the buying process faster and smoother. To get started, apply online today or contact our helpful team in Hamilton.

Can I change the amount of my loan after it is approved?

Yes, you can — depending on the lender’s approval and criteria. At Dave Allen Motors, we work with flexible finance providers who may allow adjustments to your loan amount after pre-approval. Any changes must meet the lender’s affordability and policy guidelines. If you need to make changes to your approved loan, contact our finance team for quick assistance and advice in Hamilton.

Do you approve loans with clients with bad credit?

Yes, we do! At Dave Allen Motors, we understand that life happens and financial setbacks don’t define your future. We work with trusted finance providers who are happy to consider applications from clients with bad credit histories. Every application is assessed individually, giving you the best possible chance of securing car finance. Apply online today or speak with our helpful Hamilton team for personalised advice.

What are your interest rates?

Our interest rates vary depending on your personal credit profile, the lender’s policies, and the type of loan you are applying for. Our loans are between 9.95% and 16.95%. At Dave Allen Motors, we work with a range of finance providers to find the most competitive rate available for your situation. To get a personalised rate, apply online or speak with our Hamilton finance experts today!

Can I include on-road costs and insurance in my car loan application?

Yes, in many cases you can. At Dave Allen Motors, we work with finance providers who allow you to bundle on-road costs, registration fees, insurance, and other related expenses into your car loan. This can make budgeting easier and help you get on the road faster. To find out what can be included in your finance package, apply online today or speak with our helpful Hamilton team!

Do you offer insurance?

Yes, we do! At Dave Allen Motors, we offer a full range of insurance options to protect you and your vehicle. These include mechanical breakdown insurance, payment protection insurance, and gap insurance. Our team can help you choose the right coverage to suit your needs. Contact us or visit our Hamilton dealership to learn more about adding insurance to your car finance package!

How do I make payments to the loan?

Payments are made by direct debit from your bank account, making it simple and automatic. In most cases, we can set up your repayments to match your pay cycle — weekly, fortnightly, or monthly — depending on what suits you best. At Dave Allen Motors, we aim to make managing your car loan as easy and stress-free as possible. Contact us if you have any questions about setting up your payments.

Can I pay the loan off before the end of the term?

In most cases, yes — you can pay off your car loan early. At Dave Allen Motors, we work with finance providers who offer flexible repayment options. Some loans may have small early settlement fees depending on the lender and your loan terms. We’ll explain any fees upfront, so there are no surprises. Contact us if you’d like to discuss paying off your loan early or for personalised advice in Hamilton.

What will I need to bring with me or email to you?

To apply for car finance with Dave Allen Motors, you'll need to provide: A current New Zealand driver's licence, proof of address (such as a recent phone or power bill), proof of income (like a recent payslip or bank statement). Providing these documents helps us speed up your application process. If you have any questions about what’s needed,  contact our friendly team in Hamilton.

Can I insure my car repayments in case I become unemployed and am unable to repay?

Yes, you can. At Dave Allen Motors, we offer payment protection insurance that can cover your car loan repayments if you become unemployed, suffer an illness, or are otherwise unable to meet your financial obligations. It’s an easy way to protect your credit rating and give you peace of mind. Contact us to learn more about adding payment protection to your finance package in Hamilton.

What is a Guarantor?

A guarantor is someone — usually a family member — who agrees to support your car loan and take responsibility for repayments if you are unable to meet them. Having a guarantor can strengthen your application and may increase your chances of finance approval. At Dave Allen Motors, we can guide you through how guarantors work and whether it’s the right option for you. Contact our finance team in Hamilton for friendly advice.

Who can I talk to if I have any questions before making an application?

If you have any questions before applying for car finance, our friendly team at Dave Allen Motors is here to help. We’re happy to answer your questions, explain the process, and make sure you feel fully informed before making a decision. Contact us today or visit our Hamilton dealership — we’re ready to assist you every step of the way.

What should I do if my contact details change?

If your contact details change — such as your address, phone number, or email — it’s important to let us know straight away. We can contact your lender, and update your contact information. Keeping your details updated ensures you don’t miss any important communication about your car loan. Contact us if you need help updating your information quickly and easily.