Car Finance & Loans have been soaring for many months, certainly longer than 12 months! PCP, Hire Purchase and Lease Purchase have been doing very well - with many people getting newer cars that they couldn't previously afford due to the low cost of PCP and other options. Whilst some are concerned that the level of funding is soaring and out of control - the actual car finance lenders take on the risk with PCP, as consumers can simply hand the car back half way through the deal, sell the car or hand it back at the end. Surely car finance, when there is an asset you can hand back, isn't treated the same as debt on a credit card! Its actually backed by an asset. If you can afford to repay your car finance and keep up with repayments then its a great way to have an excellent vehicle and very cost effecitve.