Block Discounting Facility Example
A car dealer operating its own car finance sells a car for £12,000 with the customer putting down a £2,000 deposit leaving £10,000 to be financed over 36 months at 10% flat rate p.a.
This results in income stream of £13,000 over three years with a monthly rental of £361.11.
SCAF would pay out £8,000 and match the period over 36 months, creating a monthly repayment of £254.40 leaving a cash surplus of over £100 each month and over £3,800 for the 36 month period. This gives a 48.76% return on the original £2,000 finance company investment.
For further information,
please contact our Block Discounting Specialist:
Paul Tagg on 01306 647 159
Further information