Vauxhall has launched a new finance and insurance offer on certain Corsa models to try and boost flagging sales of its supermini.
The Corsa nameplate reaches its 25th anniversary this year, and Vauxhall will be hoping to turn around a disastrous sales slide for the current-model Corsa in 2017. Sales fell 38% compared to the previous year, against an industry drop of less than 6%. With a host of new and updated rivals now in showrooms, this year could be even tougher.
Until the end of March, Vauxhall is offering a year of free comprehensive insurance and 0% finance on Corsa Energy and Limited Edition models purchased on a conditional sale finance agreement. A conditional sale is very similar to a hire purchase agreement, but with minor differences that won’t affect most buyers.
Inevitably, there are terms and conditions, and restrictions on the free insurance offer. For example, according to Vauxhall’s website you must be between 21 and 75 years of age, you must not be a musician or a foreign student, and (I’m assuming that this bit is poorly worded) you can’t be a horse or a greyhound…
With a lengthy list of insurance exclusions based on age, licence endorsements, employment and residence status, it is essential that you check that you are eligible for the free insurance before committing to buying a car because of this offer.
The finance offer means you can buy a new Corsa interest-free on a term up to five years on a conditional sale agreement. Like a hire purchase, there are no mileage, servicing or condition requirements for a conditional sale, so you are not locked into an endless cycle like you are with a PCP.
What should you look for in the fine print?
- These offers are for selected new Vauxhall Corsa models only (Energy and Limited Edition specifications).
- The offers listed on the Vauxhall website are only examples, and you are entitled to adjust the deposit and term to suit your own needs (within limits).
- Cars have to be ordered and delivered by 2 April 2018 for the 0% finance offer, and 31 March 2018 for the free insurance offer.
- The finance offer is provided through Vauxhall dealers by Vauxhall Finance. If a dealer offers you a finance deal that does not match these details or from another lender, it is not part of this offer.
- The 12 months’ free insurance is subject to numerous restrictions, and you will be declined insurance by the insurer (Vauxhall Insurance Services) if you do not meet the given criteria. You should check that you will not be refused cover before buying the car on the basis of the insurance offer.
- The 0% APR finance offer applies to specific conditional sale agreements. If you want different terms or a different finance agreement (like a PCP), the interest rate may no longer be 0%.
- A 0% APR offer means that you should pay absolutely no interest or fees over the course of the agreement (although penalty fees may still apply). The monthly payment should be easy to work out, as it should simply be the total amount borrowed divided by the number of months in the agreement.
As with any car purchase, work out your budget before you visit the showroom and don’t be persuaded to go beyond it – regardless of what the smiling sales executive suggests. They don’t have your best interests at heart, but The Car Expert does!
