<Buy Now Pay Later Finance / Countdown Interest Bearing Credit Example>
Buy now pay later with payments deferred for up to <12> months
Spread the cost with our buy now pay later finance available online and in store.
This finance option allows you to spread the cost of your purchase over <48> months with an agreed deferral period of <6, 10, or 12> months.
Your agreement will start after < signing your finance agreement / delivery of your goods >. At which point your <6, 10, or 12> month deferral period will begin and interest will start accumulating on the balance owing. If the loan amount is voluntarily paid in full before the deferral period ends, interest will be waived but an early settlement fee up to £29.00 will apply. Unless the balance is cleared before the end of the deferral period, the monthly Direct Debit payments will start.
All you need to do is:
- Spend a minimum <£280> and above
- Place a minimum <10%> deposit
- Minimum finance amount after deposit <£250> and above
These <3> simple buy now pay later finance options help you spread the cost of your purchases.
- <48> months buy now pay later finance, with the first payment deferred for <6> months on orders of <£280> and above
- <48> months buy now pay later finance, with the first payment deferred for <10> months on orders of <£280> and above
- <48> months buy now pay later finance, with the first payment deferred for <12> months on orders of <£280> and above
The table below shows you how much monthly repayments will be based on the total order value.
| Order Value | Total Term (Months) | Defer Term (Months) | Deposit (10%) | Monthly Payments |
|---|---|---|---|---|
| <£1000 | 48 | 12 | £100 | £31.39 |
| £2000 | 48 | 12 | £200 | £62.77> |
Representative example:
Cash Price <£1,000>
Deposit <£100>
Loan Amount <£900>
APR representative <19.9% p.a. fixed>
Interest rate <29.8% p.a. fixed>
<48> monthly repayments of <£31.39>
Total term of loan agreement <60> months, with the first payment deferred for <12> months
Total Amount Payable <£1,606.72>
Early Settlement Fee £29
No interest is payable on any payments made within the deferral period however will apply from day 1 once the deferral period ends
Interest Bearing Finance Example
Up to <60> months <5.9%> APR representative interest bearing finance.
Spread the cost with our interest bearing finance available online and in store.
Our simple finance options allow you to spread the cost of your purchase over <12, 24, 36, 48 or 60> months.
All you need to do is:
- Spend a minimum <£560> and above
- Place a <10%> deposit
- Minimum finance amount after deposit <£500> and above
These <5> simple finance options help you spread the cost of your purchases.
- <12> months interest bearing finance on orders of <£560> and above
- <24> months interest bearing finance on orders of <£560> and above
- <36> months interest bearing finance on orders of <£560> and above
- <48> months interest bearing finance on orders of <£560> and above
- <60> months interest bearing finance on orders of <£560> and above
The table below shows you how much the monthly repayments will be based on the total order value.
| Order Value | Term (Months) | Deposit (10%) | Monthly Payments |
|---|---|---|---|
| <£350 | 12 | £35 | £27.08 |
| £700 | 24 | £70 | £27.85 |
| £1,200 | 36 | £120 | £32.74 |
| £2,000 | 60 | £200 | £34.59> |
Representative example:
Cash Price <£700>
Deposit <£70>
Loan Amount <£630>
APR Representative <19.9%>
Interest Rate <19.9% p.a. fixed>
<36> Monthly Repayments of <£22.87>
Total term of loan agreement <36 months>
Total Amount Payable <£893.32>
Interest Free Finance Example
Up to <48> months 0% APR representative interest free finance.
Spread the cost with our interest free finance available online and in store.
Our simple finance options allow you to spread the cost of your purchase over <6, 9, 12, 18, 24, 36 or 48> months.
All you need to do is:
- Spend a minimum <£280> and above
- Place a <10%> deposit
- Minimum finance amount after deposit <£250> and above
These <8> simple finance options help you spread the cost of your purchases.
- <6> months interest free finance on orders of <£280> and above
- <9> months interest free finance on orders of <£280> and above
- <10> months interest free finance on orders of <£280> and above
- <12> months interest free finance on orders of <£280> and above
- <18> months interest free finance on orders of <£280> and above
- <24> months interest free finance on orders of <£280> and above
- <36> months interest free finance on orders of <£350> and above
- <48> months interest free finance on orders of <£280> and above
The table below shows you how much the monthly repayments will be based on the total order value.
| Order Value | Term (Months) | Deposit (10%) | Monthly Payments |
|---|---|---|---|
| <£350 | 6 | £35 | £52.50 |
| £700 | 10 | £70 | £63.00 |
| £1,200 | 36 | £120 | £30.00 |
| £2,000 | 48 | £200 | £37.50> |
If you require any further information about finance please call < insert company number >
Finance FAQ
< PLEASE DELETE AFTER READING: The following information should be personalised and used on your Finance FAQs or Finance Options page: >
How do I choose to PaybyFinance?
Just select the finance option on the checkout page or let the sales consultant know if you're buying in our <showroom / store>.
Who is eligible to apply for online finance?
To apply for online finance, you must be over the age of 18, work at least 16 hours a week, or be retired with an income. You must also be a resident of the United Kingdom and have lived in the UK for the last 12 months or more.
Unfortunately, we are unable to offer online finance to residents of Eire. Homemakers aren't excluded from applying under their own names; however the employment details of your spouse / partner will be required in order to process your application.
When do my repayments start?
Your monthly repayments will begin one month after your purchase has been delivered. <For buy now pay later agreements the monthly repayments will start 12 months after delivery.>
Are there any arrangement fees or hidden extras for credit?
No. There are no arrangement fees or hidden extras.
Applying for online finance
Applying for online finance couldn't be easier or more convenient. When you buy online from <{Retailer Name as appears on FCA register} trading as {Trading Name}> you have the choice of applying for finance by adding your purchase to the shopping basket, selecting the finance option, and completing an online application form. Just follow the simple instructions, entering your personal details as required and we'll do the rest.
The whole process only takes a few minutes and is simple and secure. Once your finance application is approved, you will then be advised of how to sign the finance agreement and you will also receive an email confirming these details.
Please read the agreement carefully checking that all the details are correct, then either electronically sign the agreement or print and sign the agreement in both boxes. Post the signed agreement to the address shown on the covering letter of the agreement.
Following receipt of your finance agreement and a few additional checks, your goods will be dispatched.
Your questions answered
Here's some of the most commonly asked questions regarding online finance.
Once my application is approved, what happens next?
Within minutes of your application being approved, you will be presented with the options to either e-sign or print and return your finance agreement.
If you choose to e-sign your agreement, a PDF of your agreement will be displayed on screen. You should read the agreement carefully before clicking all the relevant sections agreeing to its terms.
Once you have agreed to the terms of the finance agreement <{Retailer Name as appears on FCA register} trading as {Trading Name}> will be notified and you need do nothing more.
If you choose to print and return your agreement you should print the agreement, read it carefully and then sign the document following the instructions on the covering letter. This signed document should then be posted to the address shown on the covering letter of the finance agreement.
Note that products will not be allocated to your order until your completed and signed agreement is returned and received by Novuna Personal Finance. Shipment of your goods will follow soon after your agreement has been returned and received.
Will you credit score me and if so, what does this mean?
Credit scoring is the process used by financial services companies to evaluate the credit risk of new applicants. This technique will be applied to your application for online finance. Credit scoring works by awarding points for each answer given on the application form such as age, income and occupation, together with information obtained from credit reference agencies.
This information allows consistent decisions to be provided, ensuring all applicants are treated fairly. Credit scoring does not discriminate on the grounds of sex, race, religion or disability.
If you decline my application, what is the reason?
In addition to credit scoring, Novuna also takes into account confirmation of your identity, validation of certain application details, existing commitments and information held at the credit reference agencies. Though Novuna is unable to provide you with a main reason for declining your application, it is usually based on one, or a combination of the following:
Your credit score (please note that every finance company will score you differently)
Adverse credit reference agency information
You are considered to be overcommitted
You are aged under 18
Your existing account performance with other lenders
What type of information do credit reference agencies hold about me?
Some of the information is public information, for example electoral roll, County Court Judgments and bankruptcies. Other lenders may also file information about accounts you hold with them for instance this could include your payment history and outstanding balance on these accounts. Any requests for credit, where a credit reference search has been undertaken, will also be filed, although the result of the request is not recorded.
How do I obtain a copy of this information?
Send a request to the relevant credit reference agency, together with details of all addresses at which you have lived over the last 6 years:
Experian Limited, Customer Support Centre, PO Box 9000, Nottingham, NG80 7WF
Equifax Ltd., Customer Service Centre, PO Box 10036, Leicester, LE3 4FS
TransUnion International UK Limited, Consumer Services, PO Box 491, Leeds, LS3 1WZ
The above listed agencies will provide details of information relating to these addresses. If you believe that the information is incorrect, you can ask the agency to correct it.
If my application is not successful, can I re-apply?
Yes. We acknowledge that circumstances change and just because a previous application has been refused, it does not mean that a further request will automatically be turned down. We do suggest however, that you leave at least 6 months between applications.
Can I request delivery to an address other than my home?
In order to safeguard against fraudulent applications, we regret that we're able only to deliver goods to the home address of the applicant.
FAQs
What financial statements would Natalie need in order to evaluate whether Biscuits will have enough cash to meet its current liabilities? ›
In order to evaluate whether Biscuits would be able to meet its interest and debt payments on any debts it has, Natalie will also be needing the balance sheet and the statement of cash flows as solvency ratios can be determine in these financial statements.
What financial statement would natalie need in order to evaluate Biscuits profitability? ›Financial Statements to Examine Information on Dividends
In order to determine whether Biscuits can pay any dividends, Natalie should examine the statement of cash flows and balance sheet.
Cash flow statements report a company's inflows and outflows of cash. This is important because a company needs to have enough cash on hand to pay its expenses and purchase assets.
Which financial statement will you want to see in order to help you determine whether the company is earning or not? ›An income statement is a financial statement that shows you the company's income and expenditures. It also shows whether a company is making profit or loss for a given period. The income statement, along with balance sheet and cash flow statement, helps you understand the financial health of your business.
Which financial statement should you look at to determine whether a business has been profitable? ›The income statement shows a company's financial position and performance over a period by looking at revenue, expenses, and profits earned.
Which financial statement is best used to answer the question how profitable is the business? ›The most important financial statement for the majority of users is likely to be the income statement, since it reveals the ability of a business to generate a profit.
Which financial statement would I typically look at to establish the profitability of the company? ›Statement #1: The income statement
The income statement is read from top to bottom, starting with revenues, sometimes called the "top line." Expenses and costs are subtracted, followed by taxes. The end result is the company's net income—or profit—before paying any dividends.
A cash flow statement tells you how much cash is entering and leaving your business in a given period. Along with balance sheets and income statements, it's one of the three most important financial statements for managing your small business accounting and making sure you have enough cash to keep operating.
Which financial statement do you think is the most important one and why? ›Typically considered the most important of the financial statements, an income statement shows how much money a company made and spent over a specific period of time.
Which financial statement would be most useful for determining what the firm owns and what money it owes to others? ›In short, the balance sheet is a financial statement that provides a snapshot of what a company owns and owes, as well as the amount invested by shareholders. Balance sheets can be used with other important financial statements to conduct fundamental analysis or calculate financial ratios.
Which financial statement would you look at to determine whether a company will be able to pay for the goods when payment is due in 30 days? ›
Answer and Explanation: You would look to ) the balance sheet to determine whether a company will be able to pay liabilities that are due in 30 days.
Which financial statements would you find most helpful to determine the creditworthiness of the supplier? ›Balance Sheet
The Balance Sheet can be used to identify trends and make more informed financial accounting decisions. It is also important to lenders, as they will use it to determine a company's creditworthiness.
In assessing whether misstatements are material, the auditors need to consider both the size and the nature of those misstatements. In terms of the size of misstatements, this means considering whether the quantitative amounts of those misstatements exceed overall materiality (or lower specific materiality).
Which financial statement is most likely to be used to determine if a business is able to meet its short term obligations? ›Cash flow statement
Using the information in a cash flow statement, users are able to see whether a business is generating sufficient cash to meet both its debt obligations and its operating expenses.
An income statement shows a company's revenues, expenses and profitability over a period of time. It is also sometimes called a profit-and-loss (P&L) statement or an earnings statement.
Which of the financial statement should I look through to know about how well the company is doing and why? ›The Balance sheet contains information on assets like goodwill, inventories, intangibles, accounts receivable, PP&E (property, plant & equipment), etc. and liabilities like tax information, accounts payable, financing, etc.
How do you know if your business is profitable? ›To calculate, divide net income by net sales, then multiply that number by 100 to create a ratio. Each industry has a different average net profit margin ratio, so business owners should compare their business's net profit margin ratio to the industry average to assess yearly performance.
What is the most important financial statement interview question? ›Interview Answer
“The most important financial statement is the Cash Flow Statement. It tells us how much cash is coming in and going out of the company.
A balance sheet (also known as a “statement of financial situation”) is the single most important financial report for a small business because it provides a snapshot of a company's overall finances. On a balance sheet, liabilities and owner equity are combined to equal all assets.
How do you know if a company is profitable on a balance sheet? ›- Check Net Profit Margin. Net profit is key to determining your company's profitability. ...
- Calculate Gross Profit Margin. ...
- Analyze Your Operating Expenses. ...
- Check Profit per Client. ...
- List Upcoming Prospects. ...
- Return on Equity (ROE) ...
- Return on Assets (ROA) ...
- Return on Assets (ROA)
How do you evaluate financial performance of a company? ›
- Gross Profit Margin. The gross profit margin is a ratio that measures the remaining amount of revenue that is left after deducting the cost of sales. ...
- Working Capital. ...
- Current Ratio. ...
- Inventory Turnover Ratio. ...
- Leverage. ...
- Return on Assets. ...
- Return on Equity.
The balance sheet, income statement, and cash flow statement each offer unique details with information that is all interconnected. Together the three statements give a comprehensive portrayal of the company's operating activities.
Which financial statement is used to make cash decisions? ›The statement of cash flows is one of the most important financial reports to understand because it provides detailed insights into how a company spends and makes its cash. By learning how to create and analyze cash flow statements, you can make better, more informed decisions, regardless of your position.
What is the financial statement to measure cash? ›The cash flow statement or statement of cash flows measures the sources of a company's cash and its uses of cash over a specific period of time.
What is the financial statement that you need to check to know how much cash came out from the business to the suppliers? ›A cash flow statement is a summary of your business's cash transactions over a certain time period — the money coming in and going out. It's like checking your bank statements, but with insights into patterns and/or problems.
In what financial statement should we look for a company's cash? ›Statement #3: The statement of cash flows
As with an income statement, the statement of cash flows reflects a company's financial activity over a period of time. It shows where a company's cash comes from and how it's used to pay for operations and/or to invest in the future.
The correct answer to the given question is option c. provide information about the cash receipts and cash payments during a period. The primary purpose of a cash flow statement is to give information about the total cash receipts and total cash payments during a given period.
Which financial statement summarizes the sources and uses of cash? ›Cash flow statements report a company's inflows and outflows of cash. This is important because a company needs to have enough cash on hand to pay its expenses and purchase assets.
What is the only financial statement based on cash transactions? ›A cash flow statement is a financial statement that summarizes the inflows and outflows of cash transactions during a given period of business operations.
How do you measure cash to cash? ›Cash-to-cash cycle time is a metric that is made up of three analytics: days sales outstanding (DSO), days inventory outstanding (DIO) and days payable outstanding (DPO). Adding DSO and DIO, then subtracting DPO calculates cash-to-cash cycle.
What are the 3 types of cash flow statement? ›
There are three cash flow types that companies should track and analyze to determine the liquidity and solvency of the business: cash flow from operating activities, cash flow from investing activities and cash flow from financing activities. All three are included on a company's cash flow statement.
What is the financial statement that describes the cash in and out of the organization? ›The statement of cash flows is one of the financial statements issued by a business, and describes the cash flows into and out of the organization.
How do you determine how much cash was collected from customers? ›Cash Received from Customers = Sales + Decrease (or - Increase) in Accounts Receivable. Cash Paid for Operating Expenses (Includes Research and Development) = Operating Expenses + Increase (or - decrease) in prepaid expenses + decrease (or - increase) in accrued liabilities.
How do financial managers determine the amount of cash needed? ›Financial managers must track how money is flowing into and out of the firm (see (Figure)). They work with the firm's other department managers to determine how available funds will be used and how much money is needed. Then they choose the best sources to obtain the required funding.
What would a credit balance of $600 in the cash column of the cash book mean? ›If the bank column of the cash book shows a credit balance, it means that there is an overdraft or amount due to the bank.
How do you know if a company has enough cash? ›Investors use free cash flow to measure whether a company has enough cash (after capital expenditures and funding operations) to pay investors through share buybacks and dividends. FCF is calculated from the cash flow statement using the figure in the “cash flow from operations” section.
How do I know if my financial statements are correct? ›Big Profit / Small Cash Flow - One way to get a good view is to look at the Income statement along with the cash flow statement to be sure the profit you're seeing is supported by the cash coming in. Big profits on an income statement while small on the cash flow statement may indicate a red flag in earnings.
How do I know if my cash flow statement is correct? ›- Pretend the transaction is the only transaction for the year.
- Determine how much cash was received for that transaction, if any.
- Determine whether the amount in question is operating, investing, or financing.