Bad Credit Car Finance

There are a number of reasons why you could have been declined elsewhere. In most cases it is because of adverse credit also known as a bad or poor credit file. Do not despair though, very few organisations have as many lenders as we do. We often speak with customers who have been rejected at car dealerships only to get a number of approvals from our panel of lenders. A key consideration is if the lender or panel of lenders you apply through use soft search we use soft search to protect your credit score in the first place so why not Apply here today.

Use our free car finance calculator which you can find below in order to see what your monthly payments will work out to. If you have poor credit then its best to put this into the calculator to get a realistic, ballpark estimation of your monthly payment but our customers often get better rates than they were expecting because of our huge panel of specialist lenders.

Generally speaking, people who have a poor credit history or a low credit score will find it harder to secure a more traditional car loan. Bad credit can be caused by a range of factors, ranging from missed payments to high credit card balances or, in more extreme cases, bankruptcies. 

Checking your eligibility can be a highly invasive process, with the majority of lenders opting to use a hard search tool. Many people aren’t aware that each hard check is recorded on their credit report and can be detrimental to their credit score, lowering their ability to get approved for credit in the future.

We know the system like the back of our hands and are dedicated to making car finance an accessible option for all. When you apply through We Finance Any Car, your credit will be reviewed via a soft credit check. We offer this service to ensure our customers are protected, giving you peace of mind throughout the application process. 

If you have been struggling to get approval for car finance, you’re in the right place. Our bad credit car finance service is designed to support people who are facing a wide range of credit issues.

Yes! Although your credit score is a significant factor, it does not dictate your ability to get car finance. Even with very poor credit, you can still find a deal that suits you and your budget.

For the vast majority, finance applications with bad credit are met with an endless sea of headshakes and firm no’s. We know how frustrating this can be. 

If you have a bad credit history, it can be hard to secure a car finance deal with favourable interest rates. But there are still options available and the first step is talking to the right lender. Specialising in bad credit car finance, our panel of lenders is primed to give every individual the chance to get a loan.

If you’re 18 and looking for your first car, or you’re new to the UK, it is possible that you have a thin or no credit history. Those who have not used credit for an extended period of time may also find themselves without a credit history. For instance, if you have paid off all your debts and closed your credit account. 

Don’t despair! While you may notice higher interest rates, you can still be successful with your car finance application. To improve your chances of getting accepted, you have the option to add a trustworthy guarantor to your finance agreement. They will need to have a good credit rating and be in employment. This can also help if you have no employment history.

Consider a smaller loan. Applying for used car finance can often be a more achievable route to securing a new set of wheels. From the legendary Ford to the likes of Land Rover and BMW, there’s a wide range of quality cars currently available on the second-hand market. With our handy car search portal, you can easily find a vehicle that ticks all your boxes. 

Did you know that car finance can help you improve your credit score over time? As long as you stay on top of your monthly payments, you are able to build a good credit report.

Applying for anything related to finance, such as loans, can be a daunting and time-consuming experience. Your personal Account Manager will be able to support you every step of the way. 

The information required can vary depending on the lender, but there are some general guidelines. With our simple online form, you can complete your application in a matter of minutes, all from the comfort of your own home – provided you have the relevant documents ready to go.

Let’s begin with the basics.

Our team has put together a quick overview of everything you need to get started:

• All the usuals: You will need to fill out some personal information, including your name, address, and contact information.

• Proof of identity: You will also be asked to provide a form of government-issued identification, like a driving licence (provisional or full) or a passport. If you don’t have your licence to hand, we can request a DVLA mandate instead. Make sure you’re camera ready – you may be asked to pose with your ID as an anti-fraud measure. 

• Proof of address: This can include an electric, water, or council tax bill received within the last 60 days. If you’re struggling to find one of the outlined documents, you can also prove your residency by requesting a statement from your bank. 

• Proof of earnings: If you are employed, you may be asked to provide your payslips for the last two months (if your income cannot be validated digitally). Alternatively, if you are self-employed you will need to show evidence of your income through open banking or a bank statement. Any benefits or pension plans will also help the lender. 

Top tip – Any documentation will need to be photographed on a flat surface to ensure every detail is clear and readable.

There are no set rules when it comes to minimum credit score eligibility. With this being said, your credit score will impact the likelihood of you being accepted for car finance, as well as determining the cost. 

To put it simply: the lower the score, the more difficult the process.

As well as being a potential barrier to securing a car loan, a sudden drop in your credit score can cause a great deal of anxiety.

There are a variety of factors that can contribute to this. Sometimes it can be as simple as having a mistake on your reports or closing a credit card. Understanding why your score has changed is key. In less serious cases, you may be able to rectify the issue or take steps to improve your credit score, allowing you to explore alternative car finance options.

Yes, you can still get car finance with a CCJ on your file. We recognise that unpredictable life events can impact your financial circumstances, but this shouldn’t hold you back from the opportunity to buy a car. 

That’s why we work with specialist lenders who have a wealth of experience when it comes to bad credit car finance. Thanks to our open-minded and inclusive approach, we get many, many customers affected by CCJs on the road. 

Ready to kickstart your journey with We Finance Any Car? Apply now.

Although being in an IVA can make the process of securing car finance a little trickier, it should not prevent you from submitting an application. There are still options available to you and, with an expert team by your side, we will help you make your dream car a reality.

If you are already in the process of repaying your debt, many traditional lenders will be hesitant to consider you for car finance. In fact, you will likely be turned away. At We Finance Any Car, we offer IVA car finance as part of our bad credit car finance options. Whether you have just completed your agreement and are being held back by your credit report or you are currently in an IVA, our service is designed to support a wide range of individual circumstances. 

As specialists in bad credit car finance, our lenders are not deterred by applicants who have a poor or bad credit history. In fact, having an IVA on your credit report can help to show that your finances are managed, as long as you are successfully meeting the payment deadlines. 

There are a few more rules and regulations when it comes to IVA car finance. If you are still repaying your debt, you will need to request written permission from your insolvency practitioner to borrow anything over £500. This can be a complex process but your dedicated Account Manager will be there to support you with anything you need. To make sure you can successfully meet your monthly repayments, the lender will also review your employment status and current income. Concerned that being self-employed will affect your chances? Don’t be! Our commitment to treat every customer equally ensures that each application is reviewed with an open-minded approach.

The hustle and bustle of daily life makes having a reliable mode of transport more important than ever. With our experience and specialist panel of lenders, you are one step closer to securing your next car.

A credit check is there to ensure the protection of the applicant as well as the lender. To support you with purchasing your new car, finance providers need to be confident that you can afford to meet the monthly payments. Credit checks provide a snapshot of your financial history and current situation, flagging any potential areas of risk. This can be a daunting process, especially if you are struggling with your finances. However, it’s important to remember that these checks are there to ensure you receive a deal that suits your situation and not something to fear. Although we cannot offer car finance without a credit score or credit history check, we do provide soft credit checks at the beginning of every application. Compared to a hard search, this is a less rigorous risk assessment that will not have any long-lasting impacts on your credit rating.

We recognise that individual circumstances can vary greatly and your ability to purchase a new car should not be based solely on your financial history. Good news! If you have a poor or limited credit history, or if you have previously been declined for a loan due to your credit score, you can still secure car finance. Although bad credit solutions may come with higher interest rates or a shorter loan term, we are here to ensure you get the best deal possible.

Along with a soft search, the lender will use a range of criteria to assess your ability to repay the loan. This can include your employment history and stability, bank statements, and current income – the specific criteria may differ slightly depending on the lender. 

There can be a wide variety of reasons for poor or limited credit history. You may have entered into an Individual Voluntary Arrangement (IVA) or have a Country Court Judgement (CCJ) on your credit report. In both instances, your credit score will be significantly damaged and you will likely be dismissed by a traditional lender. You could also be a young driver who hasn’t had the opportunity to build up a solid credit profile. The ability to buy a new car should not be impacted by circumstances that are beyond your control, no matter how severe. So, while credit checks are a critical part of car finance, our process is set up to ensure that each applicant is considered.

With us, you can still secure car finance with a default. It may just be a little more complex.

Our bad credit car finance is a more specialist approach that covers a wide range of circumstances. One of which is having a default on your credit file. 

Put simply, a default occurs when you have frequently missed payments on a credit agreement. This will be marked on your report and remain there for up to 6 years. Unfortunately, it can significantly lower your score as well as your chances of approval, especially with mainstream lenders.

At We Finance Any Car, you’ll find flexible car financing that accommodates all kinds of applicants. We take the time to review your entire situation, rather than focus solely on your default. After all, you’re not just a credit score…

Absolutely! Although eligibility may vary depending on the lender’s criteria, benefits can still be accepted as a form of income. 

It’s important to note that being on benefits does not automatically give you a bad credit rating. However, you may need to seek a more flexible financing solution.  

Our car finance on benefits service is feasible for a range of applicants, covering a variety of benefit types. And it doesn’t matter whether benefits are your sole source of income or they are used alongside other earnings, we can help.

The ability to purchase a car through finance will all depend on which stage of bankruptcy you are in. 

For instance, if you have recently filed for bankruptcy, it will be extremely difficult to get approval for a car finance loan (even with us). This is due to various legal implications and because the risk level is too high. Also, the strain that comes with active bankruptcy makes it nearly impossible to take on another financial obligation.

However, if you apply for car finance after a bankruptcy discharge, you are more likely to be successful. The main reason for this is that you are no longer restricted by the terms of your bankruptcy. You should also be in a better position to meet the monthly payment deadlines. 

Choosing a more specialist financing option is the way to go. You’ll only face more disappointment with mainstream lenders…

There are a few things you can do to improve your chances:

• Focus on rebuilding your credit and managing your finances responsibly
• Demonstrate that you have a stable source of income
• Although a deposit isn’t essential, it can sometimes help to make your application more attractive
• Choose a vehicle that is reliable and, importantly, within your budget
• Last but not least, ensure you apply through us 

Our bad credit finance solution is there to support you, even when you’ve been rejected elsewhere. Explore your options today.