Car Loans

Loans are available for the purchase of cars by the following staff:

  • Car users doing 1,000 or more business miles per annum
  • Individuals who are forced to change their place of work during the last four years due to internal reorganisations whose expected additional travel to work mileage per annum is 1,000 miles or more

The vehicle acquired must be registered in the name of the applicant and used by him/her in his/her employment with the Council.

A sales invoice from a garage or private seller must accompany the car loan application form giving the seller’s name and address, the buyer’s name and address and full details of the vehicle being purchased, including make and model, cubic capacity, date of 1st registration, registration number, chassis number and the agreed sale price (with the value of a part-exchange vehicle being included as part of the transaction). The amount of car loan cannot exceed the value of the vehicle being purchased.

The Corporate Lead Officer for Finance and Procurement of Ceredigion County Council is responsible for determining the rate of interest charged on loans and repayment is effected by monthly deductions from your salary. Any Officer purchasing a car by means of a car loan must undertake to keep the car for his/her official use and ensure that the vehicle is properly maintained, serviced and covered by a Comprehensive Policy of Insurance, which includes cover for business use. The car may not be changed before the loan is repaid without the Council’s approval and this will only be given if the new car exceeds the value of the vehicle originally purchased.

An indemnity insurance premium will be charged on loans issued. This insurance will fund the cost of repaying the loan if the employee’s death in service with an outstanding balance on his/her car loan. Details of the premium will be provided in advance if required.

Limitations Of Loans

The amount of any loan will be limited in accordance with the following criteria:

  • The repayments include interest at 9% and the internal insurance premium.
  • Employees must contribute £1,000 towards the cost of the vehicle. The value of any vehicle sold in part exchange will count towards this £1,000 contribution.
  • Employees may not take out a loan which exceeds the remaining length of their contract.
  • The loan will be limited to a maximum of 10,000 or 50% of the employees annual salary if lower. e.g if an employee earns £8,000 p.a the loans will be limited to £4,000 (50% of £8,000).

Existing Loans

Amount of a new loan cannot exceed the cost of the vehicle purchased (less own contribution of £1000) minus the outstanding balance of the current loan.

How To Obtain A Loan

If you require further information please contact the Financial Services on (01970) 633111 & (01545) 572194 internal extension 3111/2194.

Once you have chosen the vehicle to be purchased by a Council car loan, the application form must be completed and forwarded to the Accountancy Section, Financial Services, Canolfan Rheidol, Rhodfa Padarn, Llanbadarn Fawr, Aberystwyth SY23 3UE. This must be accompanied by the Sales Invoice.

Payment is to be made by BACS or Cheque and will be issued on Thursdays and Mondays ONLY.  The loan is made payable to the applicant unless otherwise requested. The application form and supporting documents must be submitted to the Accountancy Section by 11.00 a.m. 3 working days BEFORE the loan is required.

Upon acceptance of your application, you will be required to sign a car loan agreement confirming your acceptance of the terms and conditions of the loan. This document will be provided by the Financial Services.


Loan Calculations

Monthly Repayments
Amount of Loan  12 Months  24 Months  36 Months
£ 1,000  £ 88.28  £ 46.51  £ 32.63
£ 2,000  £176.57  £ 93.04  £ 65.27
£ 3,000  £264.85  £139.55  £ 97.90
£ 4,000  £353.14  £186.07  £130.53
£ 5,000  £441.43  £232.59  £163.17
£ 6,000  £529.71  £279.11  £195.80
£ 7,000  £617.99  £325.62  £228.43
£ 8,000  £706.28  £372.15  £261.07
£ 9,000  £794.56  £418.66  £293.70
£10,000  £882.84  £465.18  £326.33


Car Loan Application Form

Loan Agreement