Check if you are eligible for Car Finance
At Car Finance Plus, we make it our mission to allow as many people as possible to be approved for car finance. We make it as easy as possible for people in all sorts of financial situations to apply for loans and discover their car finance eligibility in the process.
To get started, we require the following information: your name, age, address, contact details, and financial statements that prove your income. We then assess the price of the vehicle you’d like to buy and the amount you can repay each month in just a few minutes after you complete our online application form. We then perform a soft credit check, which won’t affect your credit score, to establish the nature of the loan they can offer you, for example: a hire purchase (HP), a personal contract purchase (PCP), or a personal loan.
The credit check
At Car Finance Plus, we initially conduct a ‘soft search’ or ‘quotation search’ This takes place before passing your application onto any lender for formal approval. This search establishes key information such as your monthly income, outgoing expenditure, type of employment circumstances and any current credit commitments. This significantly reduces the risk of your application being rejected by a lender which can adversely affect your credit rating.
Following this, the Financial Conduct Authority (FCA) requires that a formal credit check be performed by lenders to evaluate the likelihood of borrowers repaying loans on time. A credit check reveals your history of loan repayments and lines of credit to prospective lenders, and they use it to decide whether to accept your application for a loan.
It is important to note that credit scores don’t follow a universal scale, and the scores you’ll receive will differ from one agency to another. Lenders typically use Experian or Equifax to perform their credit checks, and, for instance, a credit score of 500 with Experian is classed as ‘Very Poor’, whereas 500 with Equifax is ‘Excellent’. Be sure to check what your score means relative to the specific credit agency’s scale.
Your employment status and income
It should come as no surprise that your employment status and monthly income are two of the most significant factors when considering your eligibility for car finance.
We help those who are:
- Full-time employed,
- Part-time or agency workers,
- Taxi drivers
We have a range of loans to meet almost any financial situation, and while we cannot guarantee the success of any application, we can promise you the best chances of receiving car finance.
How much can I borrow?
Our loans range from £2,000 to £200,000 and our repayment time ranges from 18 to 60 months. Our panel of lenders consider the following criteria when making their offers:
- the price of the car you want to buy;
- the size of the deposit you can put down, or the value of any vehicle offered in part exchange — the bigger the deposit, the
- less you need to borrow and typically the cheaper your loan;
- the type of car — whether it is new or second hand, and if the latter, the age of the vehicle;
- your age;
- your current employment status;
- your average monthly income;
- the affordability of your loan — i.e. how plausible it is for you to meet repayments based on your income and other financial commitments; and
- your creditworthiness — based on the findings of your credit check.
If you are successful following this assessment, you’ll be offered a car finance deal tailored to your particular situation.