Your credit score lets you know how likely you’ll be able to get credit.
All well and good if you already know your credit score. If you don’t, ask for one from Experian, Call Credit or Equifax. This should only cost you a few pounds and will confirm your previous and current address and your financial history dating back several years.
You can check to make sure that all the information is correct (such as any debts that you have repaid as being shown as cleared on your file) as well as get an idea of what your credit status is likely to be.
The lenders we deal with look at all the information you give and, even if this points to a bad credit score, we may generally help to get your application approved for car finance.
What are the bad credit indicators?
Things likely to count against you are county court judgements (CCJs), individual voluntary arrangements (IVAs), and if you’ve had finance or credit agreements before, whether you’ve failed to make payments when they’re due.
Can I get a guaranteed car loan if I’ve been bankrupt?
There is no such thing as ‘guaranteed car finance’. Until they’ve checked your credit history and checked that the information you’ve provided meets their criteria, no lender is able to guarantee that your application is going to be accepted.
Our chosen lenders are happy to consider you whatever your financial circumstances. You might still be given a car loan, even you have been bankrupt, have poor credit or are self-employed with no accounts to show.
What’s that likely to mean in practice? If you have fair or bad credit you are likely to pay about 19% APR. That means that if you are planning to buy a £10,000 used Ford Focus and you don’t have a deposit or part exchange vehicle, the repayment of a loan over 48 months would cost around £280 a month.
I have bad credit and I am on benefits, can I still get car finance?
If you not only have bad credit but are also on benefits, finance for your car is likely to be much more difficult to get.
But the lenders we deal with have more than 200 credit products – still giving you hope. If you have a less than perfect credit history and you are also unemployed or on benefits, you might still get credit but need a personal guarantee for the loan from someone who is a homeowner and has a good or excellent credit history. This person is known as a guarantor.
The best way of checking whether you qualify for car finance is simply to apply now for an obligation-free quote.
We specialise in helping customers who have:
anything from a good to bad credit history;
have a county court judgment (CCJ) against them;
have made an individual voluntary arrangement (IVA);
failed to make or keep up with payments on a previous loan;
have been declared bankrupt;
have just recently arrived in the UK; or
who are self-employed or students.
Apply for car finance with bad credit today and you could soon be driving your very own new or used vehicle.
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