Cheap van finance

Cheap van finance is here to help business owners

BuyaCar team
Apr 18, 2018

Is your small business on the up and up? Do you deserve to treat yourself to a new (ish) van? Or is your old Ford Escort van on its last legs, and you need a new one desperately to keep your customers happy?

Either way, running a van is a business decision and not one to be taken lightly. Buying is an obvious answer for the cash-rich, but finance makes getting a van more achievable. Plus, a van is more of an expense than it is an investment, so financing one in some cases is better because you don’t have to worry about the initial big outlay that can affect cash flow further down the line. Financing allows you to budget a fixed monthly cost too - good for your accountant or your Excel spreadsheet.

And of course, if you run your van through your business, it will qualify for VAT exemption. Remember Vehicle Excise Duty still needs to be paid though - a flat rate of £250 for all light commercial vehicles. This covers vans, pick-ups, and commercial SUVs up to 3.5 tonnes.

Lease purchase 

When we refer to van finance, specifically we're referring to lease purchase. Lease purchase, or LP, is one of the most popular ways of buying commercial vehicles. It offers monthly payments that are usually lower than Personal Contract Purchase (PCP) and Hire Purchase (HP) finance, but includes a large mandatory payment at the end.

It can be split into three different steps. 

1) Deposit: Often around 10 per cent, but can be up to 50 per cent. The more you pay now, the lower your monthly payments will be.

2) Monthly instalments, typically run for between two and four years. These are lower than some types of car finance, such as a bank loan or Hire Purchase (HP), because they only cover part of the cost of the car. Monthly payments may be a little lower than Personal Contract Purchase (PCP) finance because lenders charge slightly less interest.

3) At the end of the agreement you have the third type of payment to make: the final instalment, which is often called the balloon payment. 

Read more about lease purchase 

And then there’s the sheer selection of vans on the market. Citroen, Mercedes-Benz, Renault and Volkswagen all offer vans and the amount of choice can be confusing. But luckily, we’re here to help with that one.

                          
                 

Cheap van finance for £100-149 a month

Vauxhall Corsavan

2014 vans typically £125 per month
Loadspace 0.92m3 Payload 550kg Fuel economy 73mpg - 85.6mpg

Car derived vans have a lot going for them, and the Vauxhall Corsavan is one of the best.The Corsavan is pretty much the same as the excellent Vauxhall Corsa, except the rear seats have been ripped out. The chassis has also been strengthened to cope with the extra in the rear.

It has a flat-loading capacity of up to 920 litres, too. And it’s easier to live with day to day than bigger vans too.

            

                          

Ford Transit Courier

2014 vans typically £135 per month
Loadspace 1.01m3 Payload 660kg Fuel economy 70.6mg-76.3mpg

For sub £150 a month you’ll struggle to find a full fat Ford Transit, however you can get the smallest vehicle of the Transit range, the courier.

Essentially this uses the same underpinnings as the Ford Fiesta, but it’s bigger than the Ford Fiesta van. Because it’s Fiesta based, it’s one of the best-driving vans on the market and is genuinely car-like.
It has three turbocharged engines on offer - two diesels and a petrol - although there might not be many petrols floating around on the used market as they only made up around 5 per cent of the sales.

                      

                        

Nissan e-NV200

2017 vans typically £145 per month
Loadspace 4.2m3 Payload 728kg Fuel economy 106-174 miles per charge

An electric van for less than £150 a month? No your eyes don’t deceive you. There are some 2017 models knocking round for this magical figure.

And not only are electric vans better for the environment than their diesel counterparts, but they can also save you money. Primarily, because you’re not filling them up with diesel all the time.

Charging the Nissan from empty at night time outside your home would cost roughly £1.50, and would give you roughly 106 miles of range. You’d need to spend (roughly, again) ten times that to get £100 miles of diesel.

Pre-Nissan e-NV200s have an official range of 106 miles, however, post 2017 vans have a range of 174 miles.

Apart from the near silence you’ll be travelling in, there’s very little different to driving a normal van. It’s an automatic too, and because it has fewer parts than a diesel or petrol powered van, there’s less to go wrong too.

              

                                  

Peugeot Partner

2017 vans typically £149 per month
Loadspace 3.3m3 Payload 856kg Fuel economy 44mpg-69mpg

The partner costs pennies to run thanks to frugal engines, and there’s also a three-seat option.

Inside, the interior is flexible and has lots of little cubby holes, and importantly, it can do two years between services (or 12,500 miles.)

It’s pretty comfortable too, even on longer journeys. However, remember that if you regularly do travel longer journeys, it is noisy at motorway speeds.

Nearly-new vans on finance don’t come much cheaper.

                     

                            

Cheap van finance for £150-199 a month

Mercedes-Benz Citan

2015 vans typically £175 per month
Loadspace 3.1m3 Payload 512kg Fuel economy Up to 44.1mpg

Mercedes-Benz vans do hold a certain cache among drivers because of the extra quality in them in comparison to cheaper rivals. Inside, the materials are palpably better, and just feel more durable and less likely to split or break over time. It’s no Mercedes-Benz S-Class, it can’t hide its van underpinnings.

But the Citan does have three different lengths, a crew-van option, plus different seating layouts and styling trims. There’s a petrol engine on offer and even an automatic gearbox too.

                              

                        

Citroen Relay

 
2014 vans typically £190 per month
Loadspace 13m3 Payload 1525kg Fuel economy Combined 45.6mpg

The good news is that the Citroen Relay houses a massive payload of 1525kg. To put that into context, that’s nearly the weight of two very small cars.

To get one for less than £200 a month you’ll have to opt for an older model. 2014-registered vans regularly pop up in the price range, some of them with less than 30,000 miles on them.

The Relay does offer a great space per £ ratio, and the diesel engines are economical and mostly strong too. They are noisy though, and the van does does feel brittle when there’s not a load in the back.

                                  

                                

Ford Transit Custom

2017 vans typically £199 per month
Loadspace 5.95m3 Payload 1090kg Fuel economy 43mpg-46mpg

For £200 a month, you can get yourself a 2017-registered Ford Transit if you’re willing to put up with the more basic models.

Not that a basic model should put you off. The Transit is a brillant workhorse with two different wheelbases and powerful diesel-powered engines. If you’re after a cleaner Transit, there is a hybrid version in the works. But you’ll have to wait until 2019.

It’s one of the safest vans on the market, achieving a Euro NCAP rating of five out of five.

Tall drivers and passengers won’t love the lack of legroom though.

                  
       
                             

Cheap van finance for £200-299 a month

Nissan NV200

2018 vans typically £200 per month
Loadspace 4.2m3 Payload 728kg Fuel economy 53mpg-57mpg

Don’t adjust your screen, this is a different van from the Nissan e-NV200 up above. Essentially, this isn’t powered by an electric motor, but by a 1.5-litre diesel engine.

It does without the fancy electrical gubbins, but keeps the practicality and dependability. It’s also one of the cheapest finance deals on the market for vans. 2018 models are beginning to crop up at around the £200 a month mark for the most basic models.
 
It’s available in Panel Van, Crew Van (complete with occasional seating in the rear) and Combi (seats up to 7 people) formats too.  
Top spec Teka models come with alloy wheels, cruise control, and a colour reversing camera, but these can get pricey. If you want accessories, it might be better to look elsewhere. But if you want a cheap nearly-new van, this could be the one.

                     

                                                    

Volkswagen Transporter

2017 vans typically £250 per month
Loadspace 5.8m3 Payload 993kg Fuel economy 47.9mpg combined

The Transporter has been around in different guises for more than fifty years, and it’s become ubiquitous as a serious van offering.

People love its ruggedness and dependability, so much so that there are owners’ clubs dedicated to them.

For your £250 a month you’ll be able to get a 2016 model with less than 10,000 miles, with the lower powered diesel engine. And for £300 a month you’re looking at a high-specification 2017 model with most of the bells and whistles on it. Plus alloy wheels.

If you’re regularly in a rush plump for the fastest engine - the 204hp bi-turbo model. This gets the Transporter from 0-62mph in 8.6secs, rapid for a van.

Cab storage isn’t as big as some Peugeots and Citroens, but it’s a better product all-round.

                

                                            

Isuzu D-Max

2017 vans typically £299 per month
Loadspace N/A  Payload 1128kg Fuel economy up to 40.4mpg combined

If you like the idea of a van with a big open payload, then picking up an Isuzu D-Max is a good idea...

They’re generally aimed at people who want a cross between a van and an SUV, and the Isuzu blends these two aspects well.

Best of all, for less than £300 a month there are D-Maxs out there with less than 1,000 miles on the clock. Nearly new then.

At that price, you won’t get alloy wheels, but you also won’t need AdBlue. It looks and feels agricultural, but is that necessarily a bad thing?

               

Isuzu D-Max deals
                          

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