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Am I able to close a finance deal after a month and pay off the balance in whole or would there be any penalties?

I'd like to buy a car on 0% finance. Am I able to close the deal after a month and pay off the balance in whole or would there be any penalties? Both Skoda dealers I have asked have said this is fine.

Asked on 10 February 2017 by Peter

Answered by Honest John
It's dishonest, using finance regulations that are supposed to protect you to breach a contract. The manufacturer supports sales of cars with low cost finance and 'deposit contributions' that effectively discount the car. If someone cancels the finance deal after the benefit of the 'deposit contribution' the manufacturer loses what it would have made on the finance.

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