0% APR car finance deals: April 2025

If you want to finance a brand new car with low monthly payments but want to avoid interest charges, check out the best car finance 0% APR deals

By Tom Phillips April 22, 2025

Getting a car with 0% APR finance - also known as interest-free credit - is one of the most attractive ways to pay for a new car.

The cost of the car is split across a deposit, a series of monthly payments and, in the case of PCP finance, an optional final payment that you make at the end of the contract if you choose to keep the car. This means that whether you opt for PCP finance or Hire Purchase, the purchase price of the car is cut into bitesize chunks, with nothing charged for the finance.

Unlike most car finance offers, there are no interest charges associated with 0% APR deals. This means the sum total of your payments should add up to no more than the full cash price of the car.

Just remember that with PCP finance you have to pay the deposit, all monthly payments and the large optional final payment to take ownership. Even with 0% APR PCP finance, though, the total amount you pay, including the optional final payment, equates to no more than the car's retail price.

Best 0% APR car finance deals A-Z

Abarth

The Abarth 500e is available on 60-month conditional sale at 0% APR with a minimum 40% deposit. Find out more on this deal

BYD

PCP deals include the BYD Dolphin starting at £279 a month with 0% APR, a £279 customer deposit and £1,300-£1,600 dealer discount. The BYD Atto 3 starts at £399 a month with 0% APR, £399 down, a £3,100 deposit contribution and a £1,800 dealer discount. The BYD Seal U DMi starts at £349, the BYD Seal starts at £479 and BYD Sealion 7 starts at £489 a month. Find out more on these deals

Cupra

Cupra has 0% APR PCP and £4,500 towards your deposit available on the Cupra Born EV, and 1% APR on £1,750 towards your Cupra Tavascan. Find out more on these deals

Dacia

The Dacia Spring is 0% APR over 48 months with £1,000 deposit contribution and three years' servicing for £99. Find out more on these deals

Fiat

The Fiat 500e has 0% APR on PCP plus a £500 Spring Electric Saving, the Fiat 600e has a £500 Spring Saving, and the Fiat 600 Hybrid has a £650 deposit contribution. These models are available on 60-month conditional sale with 0% APR with a minimum 40% deposit. The EVs get a £500 Spring Saving, too. Find out more on these deals

Ford

Selected Ford Kuga models have £500 deposit contributions and 0% APR, and there's 0% APR on Ford Focus models. The Ford Explorer has a £3,000 deposit contribution and 0% APR over three years, the Ford Capri (£3,000 and 0% APR), Ford Mustang Mach-E (£7,500 discount and 0% APR) and Ford Puma Gen-E (0% APR) also have offers. Find out more on these deals

Honda

The Honda e:Ny1 is available from £469 a month with 0% APR and a £5000 deposit contribution. A five-year warranty, roadside assistance and service plan are included, too. Find out more on this deal

Hyundai

Non-electric Hyundai Kona, Hyundai Inster, Hyundai Ioniq 5 and Hyundai Ioniq 6 are 0% APR. Find out more on these deals

Jeep

The Jeep Avenger is 0% APR with a minimum 10% deposit. Find out more on these deals

KGM Motors

All KGM models are 0% APR when you pay 50% upfront, then the remaining 50% 12 months later. The KGM Torres EVX is available on PCP with 0% APR with a minimum 20% deposit. Find out more on these deals

Lexus

The Lexus RZ and Lexus UX Electric are available with 0% APR and a £4,500 deposit contribution. Deposit contributions are also available on selected Lexus LBX (£750), Lexus NX and Lexus UX models (£1,000), and Lexus RX models (£1,500-£4,000). Find out more on these deals

Mazda

The Mazda CX-5 is £289 a month with 0% APR, the Mazda CX-30 has £1,750 towards your deposit, the Mazda CX-60 PHEV is 0% APR and has a £1,200 deposit contribution, the Mazda MX-30 R-EV PHEV has a £3,000 deposit contribution and the Mazda2 Hybrid has 0% APR. Find out more on these deals

MG

The MG4 starts at £169 per month, the MG HS PHEV starts at £239, the MGS5 starts at £279 and the MG4 XPOWER starts at £279, all with 0% APR. Deposit contributions include the MG3 Hybrid+ (£250-£750), MG ZS Hybrid+ (£500-£750) and MG HS (£250-£500). Find out more on these deals

Nissan

The Nissan Juke has £750-£2,000 towards deposits, the Nissan Qashqai £2,500 and the Nissan X-Trail £2,500-£4,000. The Nissan Ariya is available with a £1,500-£3,000 deposit contribution and 0.99%-1.49% APR on PCP. Find out more on these deals

Omoda

The Omoda 5 is £249 a month with a £2,009 deposit on a 48-month 0% APR deal. The electric Omoda E5 is £359 a month with a £5,100 deposit and 0% APR. Find out more on these deals

Polestar

The Polestar 2 and Polestar 4 are 0% APR and £2,000 off single motor models and £3,000 of dual motor variants. The Polestar 3 is 0% APR and £4,000 off dual motor models. Find out more on these deals

Renault

All models are available with 0% APR over 24 months. The new Renault 5 is 0% APR over two years or 3.9-5.9% APR and up to £500 deposit contribution over four years. The Renault Megane E-Tech (up to £2,000) has 0% APR and the Renault Scenic E-Tech (up to £1,750) is 2.9% APR over 48 months. Find out more on these deals

Skoda

The new Skoda Elroq and facelifted Skoda Enyaq are 0% APR over 36 months or have a £3,000 contribution at 6.9% over 48 months. All models are also currently available with 0% APR on maximum 24-month terms. Find out more on these deals

Smart

Smart is currently offering the Smart #1 Pro+ electric SUV with a £2,000 discount and 0% APR on PCP, making monthly payments £399 over 48 months with a £399 deposit. Find out more on this deal

Suzuki

The Suzuki Swift is available with 0% APR on a 25-month PCP with a minimum 20% deposit or over 49 months at 7.9% APR with a £500 deposit contribution and no minimum deposit. The Suzuki Vitara and Suzuki S-Cross are available with 0% APR on a 37-month PCP with a minimum 20% deposit or over 49 months at 7.9% APR with a £3,000 deposit contribution. Discounts include Suzuki Swace (£2,000), Suzuki Across (£2,750). Find out more on these deals

Toyota

PCP deposit contributions include the Toyota Aygo X (£300), Toyota Yaris hybrid (£800), Toyota Hilux, Toyota C-HR PHEV and Toyota RAV4 PHEV (£1,500) and Toyota Corolla (£2,000). The Toyota bZ4X is available with 0% APR and a £2,500 deposit contribution. Find out more on these deals

Volkswagen

The electric VW ID.3 (£2,500), VW ID.4 (£4,000), VW ID.5 (£3,500) VW ID.7 (£1,000) are available with 0% APR over 36 months. Deposit contributions are £6,000, £7,000, £7,000 and £2,000 respectively on a 48-month term at 5.9% APR. Find out more on these deals

Best new cars with 0% finance

Suzuki Swift 0% APR finance deal

The deal Suzuki Swift Mild Hybrid Motion for £139 a month on 25-month PCP at 0% APR with a minimum 20% customer deposit

The Suzuki Swift is celebrating its 40th year on sale in the UK with a brand-new model. That should be music to the ears of anyone looking for a small hatchback that comes with a finance deal as light on the pocket as possible.

The latest Swift features an all-new engine that's particularly efficient, also helping to keep costs in check, yet that doesn't come at the expense of driving fun. This 0% APR deal requires a large deposit, but Suzuki also offers a 7.9% APR PCP over four years. This includes a £500 deposit contribution and doesn't require any customer deposit at all. It just requires 48 monthly payments of £300.37.

Suzuki Swift Mild Hybrid Motion 0% APR offer
Price: £19,699 or £139 a month
Annual mileage limit: 8,000
Deposit: £5,114
Monthly payments: 24 x £139 (£3,336)
Optional final payment: £11,249
Total payable: £19,699
APR representative: 0%
PCP agreement length: 25 months
Deal available until: 30th June 2025
See this deal

Read our used Suzuki Swift review here

Renault Captur 0% APR finance deal

The deal Renault Captur Evolution E-Tech Hybrid 145 from £153 a month on 25-month PCP at 0% APR

Renault offers most of its range on 24-month 0% APR PCP agreements. We've selected a deal on the ever-popular and recently facelifted Renault Captur. The deal we've chosen is for a Captur powered by Renault's 145PS hybrid system that should keep running costs down.

The Captur PCP deal we're featuring starts at £153 a month with 0% APR, but does require a £7,499 customer deposit. If you're looking to spread the cost, the same model is available for £269 a month over 48 months at 6.9% APR with a £4,574 customer deposit and a £250 deposit contribution.

Renault Captur Evolution E-Tech Hybrid 145 0% APR offer
Price: £24,995 or £153 a month
Annual mileage limit: 6,000
Deposit: £7,499
Monthly payments: 24 x £153 (£3,672)
Optional final payment: £13,825
Total payable: £24,995
APR representative: 0%
Length of agreement: 25 months
Offer available until: 30th June 2025
See this deal

Read our latest Renault Captur review here

Hyundai Kona 0% APR finance deal

The deal Hyundai Kona N Line 1.0T 100PS from £223 a month at 0% APR

The Hyundai Kona is currently available with 0% APR over a maximum term of 24 months, and with a minimum deposit of 25%. You have the choice of either the mild hybrid 1.0T version or the 129PS hybrid model, but you are limited to N Line trim. However, that is pretty comprehensive, and includes a heated steering wheel, ambient lighting, a wireless phone charger and a power tailgate. 

The deposits are large, so signing up for this deal requires a not-insignificant £7,200, but the monthly payments for a well equipped small family SUV come in at less than £225. If you're looking for a smaller initial outlay, the same car can be had on a 37-month deal with £5,100 deposit and a £500 deposit contribution for £321 a month at 4.9% APR.

Hyundai Kona N Line 1.0T 100PS 0% APR offer
Price: £28,535 or £222.94 a month
Annual mileage limit: 6,000
Deposit: £7,200
Monthly payments: 24 x £222.94 (£5,350.56)
Optional final payment: £15,984.40
Total payable: £28,535
APR representative: 0%
Length of agreement: 25 months
Offer available until: 30th June 2025
See this deal

Read our used Hyundai Kona review here

Skoda Fabia 0% APR finance deal

The deal Skoda Fabia SE Edition 1.0 80PS from £271 a month on 24-month PCP at 0% APR

The Skoda Fabia is just one of a number of Skoda's current models available with 0% APR PCP. The Skoda Scala, Skoda Karoq, Skoda Kamiq, Skoda Octavia and Skoda Superb, plus the electric Skoda Elroq and Skoda Enyaq, are available with 0% APR, all with monthly payments set at £270.99 per month, with varying deposits according to OTR price.

The Fabia is available on a maximum 24-month term with 0% APR and requires a £3,653 deposit. A 48-month option is available too with the same deposit. This comes with a 6.9% APR and a £1750 deposit contribution, making monthly payments £204.15.

Skoda Fabia SE Edition 1.0 80PS 0% APR offer
Price: £20,515 or £270.99 a month
Annual mileage limit: 10,000
Deposit: £3,692.83
Monthly payments: 23 x £270.99 (£6,232.77)
Optional final payment: £10,589.40
Total payable: £20,515
APR representative: 0%
Length of agreement: 24 months
Offer available until: 30th June 2025
See this deal

Read our used Skoda Fabia review here

Volkswagen ID.3 0% APR finance deal

The deal Volkswagen ID.3 Pure Match 52kWh 170PS from £286 a month on a 36-month PCP at 0% APR, with a £2,500 deposit contribution

The Volkswagen ID.3 is a solid entry point into the EV world, especially since it had a mid-life facelift that brought more user-friendliness to the car's infotainment system, and tidied up the looks. This deal is 0% APR PCP over 36 months, and includes £2,500 towards your deposit, leaving a customer deposit to pay of £6,444.20.

If you're looking for a lower deposit option, the same car can be had on a 48-month deal at 7.9% APR. This includes a £6,000 deposit contribution and a lower £4,833 deposit, bringing the monthly payments to £308.

Volkswagen ID.3 Pure Match 52kWh 170PS 0% APR offer
Price: £32,220 or £286.02 a month
Annual mileage limit: 10,000
Deposit:£6,444.20
Monthly payments: 35 x £286.02 (£10,010.70)
Optional final payment: £13,265.10
Total payable: £32,220
APR representative: 0%
Length of agreement: 36 months
Offer available until: 30th June 2025
See this deal

Read our Volkswagen ID.3 review here

Are there any drawbacks to 0% APR car finance deals?

Before you dive into the list of new cars available with 0% APR finance, it's worth taking a moment to consider your other options in case there's a better way to get behind the wheel of your chosen car for less. 

For a start, getting this rock-bottom rate often requires a large deposit, so you may need to spend a chunk of your savings to access a 0% APR deals. Interest-free agreements aren't usually available with no-deposit finance.

0% finance offers may not include savings available with other finance deals (like deposit contribution discounts), so you could end up paying more overall. To find out which offers you the best value, get like-for-like quotes with the same deposit, contract length and mileage allowance to see which has the lowest monthly payments and costs you less overall.

0% APR car finance is generally only available for new cars. Where it is available on used cars, this typically means you'll be paying an artificially high cash price, as dealers often inflate the price to cover what they lose by not charging interest. Consequently, 0% APR used car finance can actually be more expensive than equivalent finance deals on similar cars that charge interest but offer much lower cash prices. Once again, remember to get like-for-like finance quotes to find out which offers you the best value.

What types of finance are available with 0% APR?

It’s possible to find deals on multiple types of finance with 0% APR. The most common is Personal Contract Purchase (PCP). This offers affordable monthly payments, as these only cover the amount of value the car is expected to lose over the contract, rather than its whole price. At the end of the contract, you can either return the car to the finance company, or buy it for a pre-agreed optional final payment.

Another potential option is Hire Purchase (HP), which ends in you owning the car once you've made all the monthly payments. Because there is no large optional final payment, monthly payments are a little higher with HP than with PCP, since you have to pay for the entire value of the car through the monthly payments.

This also means that you don't need to find many thousands of pounds to pay off that large final payment if you want to take ownership, though you are able to refinance this into another finance contract, should you wish. Do bear in mind that you are very unlikely to be able to refinance a PCP deal with 0% APR, so you are likely to have to pay interest on the money borrowed on the second finance contract if you choose this option.

Meanwhile, if you're after the best value option and are happy to consider a nearly new or used model, you can kickstart your car finance journey with BuyaCar to see how much you can afford to borrow and find a great deal among thousands of used cars currently available now on our search pages.

How do 0% APR finance deals work?

APR stands for annual percentage rate. It’s a standard way of calculating the full cost of finance and takes into account the interest charged on borrowing, as well as any fees. This makes it easy to compare the cost of finance between different providers.

If finance is advertised as 0% APR, then it means you won’t be charged any interest or fees. This should mean that the overall amount you pay is no greater than if you had bought the car you’re considering outright in cash.

A 0% APR offer often doesn’t take into account the discounts available in other forms of new car deals, however. For example, a manufacturer 0% APR offer may not include a deposit contribution or other discount incentive, so you’ll repay the full retail price of the car as advertised in the brochure.

If you’re buying in cash, you might be able to get a discount off the price, making the car cheaper, but bigger discounts are typically available if you opt for a finance deal that charges interest. If you are able to keep the contract length short, then this can work out to be the cheapest option overall.

What do I need to get a 0% APR finance deal?

Many 0% APR deals require a large deposit. This is to give the lender a greater chance of getting their money back if the customer misses payments close to the start of the agreement.

Lenders increase interest rates for customers with poor credit ratings, as they are seen to be at higher risk of missing their payments.

This means that the lowest 0% APR rates are often only available to drivers with a good credit score.

 

Can you get used cars with 0% finance?

Used cars aren't generally available with 0% finance because they don't benefit from the same manufacturer finance discounts that new cars do. However, the used car finance industry is competitive, which helps to keep interest rates low.

Some retailers, including BuyaCar, work with several lenders to ensure that you get a competitive quote for your circumstances, along with a good value cash price to begin with - which means you might be able to get more car for your monthly budget than you might expect.

So while you can't typically get 0% APR with used cars - and where you can, it's likely the cash price has been inflated to cover the fact no interest is charged - going for a nearly new or pre-registered car, is typically far cheaper than going for a new car.

That can be the case even where there is a really good new car finance deal on offer, so as always, it's worth getting a couple of like-for-like quotes to find the best car you can get for your budget.