Why Should You Check HPI before finalising a used Car finance deal?

Are you planning to buy a used or a new car?

If you want a used car finance quote, HPI check can help you final the right one.  You would not want a deal that ends up with a huge loss.

Do not panic. You can know about the car’s sound system quality, the Air conditioner efficiency and seat cover durability simply with an HPI check.

What is an HPI check?

An HPI check helps you ensure the car you want to buy is legit. You do not want to buy a stolen or controversial vehicle if applying for the car finance first time.

HPI or Hire Purchase Investigation Company provides vehicle history checks on every registered vehicle under DVLA. The company aims at restricting used car finance fraud with accurate information about previous car owners.

Who is it beneficial for?

Knowing the history of the previous buyer is incredibly useful to avoid any legal proceedings afterwards. It is ideal for individuals who:

• Want to buy a used car on finance
• Are you exploring used car finance quotes
• Wants to know everything about the car’s previous owner
• Wants to know about the insurance the car owner had
• Want to purchase it from a private seller
• To authenticate the number plate legally
• To ensure there is no outstanding finance on the car

What does an HPI Check cover?

HPI checks help one know whether the car has been stolen previously, whether the owner was free from bankruptcy or not. Whether is it allowed to drive on the UK roads or not. Here are other checks that it covers:

• If the car has a logbook
• Have the car owner ever faced insurance written off
• If the car has outstanding balance
• Car’s specifications
• Vehicle Identification data
• If it is an imported or exported car
• If it holds MOT certificate
• The allowed mileage limit and consumed one
• The number of previous owners

What does an HPI check does not cover?

HPI only tells you about what’s on the papers. It does not reveal about the car accidents, and the last service date. Apart from this, it does leave no notes on the following things:

• Whether the car was reported to the insurance company post accidental damage or not
• How many times has it been scrapped?
• Lacks access to the mechanical condition of the car
• It does not report whether the vehicle has been a recovered one or not

If you encounter any of these issues, you can halt the finance and reject the agreement there. You can politely present your disinterest in the car.

Should I be worried if the check comes unclear?

It depends on the problem you face after the check. For example, if it is a stolen car, it may not be the best bet. Alternatively, if the car exceeds the mileage limit, it may not be much of an issue.

However, before applying for used car finance, examine the authenticity of the car’s history. Ensure there is no outstanding finance, the car owner is legal and holds a relevant MOT certificate. Moreover, if the car history reveals written-off insurance, you may plunge into deep trouble.

It is ideal to consult direct lenders than private buyers. Lenders only provide HPI-checked cars that eliminate any risks and troubles for new buyers. Moreover, they provide a warranty.

 Conduct a detailed HPI check if buying one at low credit. Individuals with bad credit history often seek easy approval quotes. You may get guaranteed car finance for a bad credit score if you meet the lender’s requirements. The affordability parameters must align with your income and deposit capacity. If you lack credit but can provide a good deposit, you may get guaranteed car finance despite a poor credit score.  

Do not get overjoyed, proceed with analysing the best-used car that passes the HPI check. It would help you avoid any troubles later.

What parameters does HPI Check reveals?

You cannot get a free HPI check. That’s a fact. DVLA allows one to get cheaper checks. You can check their data free of cost. Check the MOT STATUS of a vehicle and current road tax.

An HPI check costs only £20.

It is worth the money. You can save thousands by paying just 20 for authentication.

For example, if a car is stolen, you can get a full refund with an HPI check. £20 ensures peace of mind.

Here are some parameters that indicate car health:

1) Stolen

If the  HPI check reveals “STOLEN”. Avoid buying it. You may not be the legal owner even if you get it. The old owner may trick you and you may face legal charges.

2) High risk

It is also a big no signal. It may mean anything like a financial dispute, legal proceedings on the car, or a fraud offence.

3) Finance

It means that the vehicle purchased on finance has an outstanding balance. It is not a major issue but is not an ideal buy. It could mean that the agreement provider has not updated the HPI status Yet. To find out, clear the doubts with the provider. If he reveals that the previous owner is yet to clear the remaining balance, walk away. Explore your options. It is not for you.

Buying a car with outstanding finance would be a liability for you. It may not grant the status of the actual owner even if you own it currently. The authority may repossess the vehicle if the previous owner fails to pay the balance. You may suffer the financial jerk.

Thus, go for an HPI check than lose the very vehicle. It may cost £20 per report. Do not skip it even if you are unemployed or out of finances currently. Check quick cash loans and do the necessary. You can finance the costs with quick loans and pay later after income credits.

Bottom line

Before going for used car finance, analyse your finances, car finance deals and HPI check.  Ensure the best buy of your life. HPI checks help avoid any impending danger that may impact your car-owning dreams. You can either do it online or check with experts to help you. With us, you do not have to worry as we provide HPI-checked car finance for used cars. Put an end to all your troubles. Contact us for a quote.