Joint and Guarantor Car Finance

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If you’re struggling to secure finance on your own, joint or guarantor car finance may be the solution for you.

Desperately need a car but finding it tough to get past the approval stage? At We Finance Any Car, our panel of lenders will consider both joint and guarantor car finance to help get you approved or to bag you a better rate, whatever your personal circumstances.  

If you’re a young driver, a first-time buyer, or someone who has had their confidence knocked by financial issues, the dream of owning a car can feel out of reach, especially if you’ve faced rejection in the past. Having a limited credit history or less-than-perfect credit rating carries an element of risk and lenders may be less inclined to give you a deal. 

That’s where joint and guarantor car finance comes in.

By sharing the responsibility of repaying the loan with someone else or having a guarantor vouch for you, you are more likely to get approval and secure the car you deserve.

Your needs are our priority, always. That’s why we offer a range of car finance solutions for a range of drivers and desired budgets.

You may feel like you have a long road ahead of you, but with our quick online process, you’ll be driving off into the sunset sooner than you think. 

Apply for joint or guarantor car finance today.

What you can expect:

  • Joint and guarantor finance options available
  • Support from industry experts
  • Specialist lenders
  • All applications reviewed
  • First stage soft search checks to protect your credit score
  • Reputable car dealers
  • Transparency from the get-go
  • No faff 

How guarantor car finance works:

This type of car finance agreement works a bit like a personal loan, the only difference being that you have the additional security of a guarantor. 

The process remains the same: you will make monthly payments to the lender over a set period of time until the loan is fully repaid. With guarantor car finance, this isn’t your sole responsibility and you will need to nominate someone as a backup. 

Once you and your guarantor are happy with the agreement, all you need to do is fill out our online application and our team will take care of the rest. We understand that delays can slow the process and leave you anxiously tapping your feet. When you choose We Finance Any Car, we work closely with our panel of lenders and you won’t have to wait long until you receive a response.

With us, there’s no need for any upfront deposits, unless requested by the lender.

Although you will have the support of a guarantor, always check your funds first. 

What about joint car finance?

At We Finance Any Car, we also offer joint car finance solutions. This is great if you are looking to share the financial responsibility of purchasing a car. Alternatively, if you have difficulty qualifying for car finance on your own as a result of your credit background, this might be the way to go. 

In joint car finance, the co-signer is usually a family member living under the same roof. Firstly, the fact that you already share household expenses can demonstrate a more stable financial situation to the lender. Secondly, it helps you to better manage your finances and meet the monthly deadlines. With joint finance, you may be able to afford a higher-quality or more expensive car – if you have the budget, of course. 

The main user of the vehicle will be the designated keeper of the car and is the main point of contact for things like parking tickets and speeding fines. 

If you don’t have great credit and are approved, then you can use the option of a joint agreement to get a better APR. 

When you choose We Finance Any Car, you can turn your dream ride into a reality, without having to break the bank. 

Help the ones you love get the car they need

Guarantoor Car Finance

Guarantor car finance - what does it all mean?

You may have stumbled across the term before or know someone who has recently completed a guarantor car finance agreement. Perhaps you’ve needed a guarantor in the past to take out a mortgage or sign for a student house…

Car finance can be difficult to get to grips with – add another person to the mix and things just got a whole lot more complicated. With multiple factors to consider, such as interest rates and loan terms, many people can be put off from even considering guarantor car finance as an option.

Guarantor finance can help people from all backgrounds and financial circumstances to get their hands on a new car. Being held back by a limited credit history can be frustrating. A guarantor acts as a safety net and can help to make your application more appealing to a lender.

Guarantor Car Finance is sometimes confused with Guaranteed Car Finance. The two are very different beasts and you should be very wary of any company offering Guaranteed Car Finance as it simply does not exist and the FCA take a very dim view of companies promoting this phantom form of car finance.

At We Finance Any Car, we are dedicated to helping you navigate the complexities of car finance – from the application process to the minute you get in the driver’s seat. With us, you will find the best possible solution to suit your needs.

Guarantor car finance is a type of loan that involves another person (usually a family member or close friend). Your guarantor is essentially agreeing to take on the responsibility of your car loan if you are unable to make the monthly payments.

If a lender views you as a higher-risk applicant, having a guarantor with a good credit score and financial stability can help to increase your chances of securing car finance.

Relying on your guarantor to pay your car loan should always be a last resort. If you are struggling financially and have been unable to make the payments, we would always advise reaching out to your lender first. They will usually be able to give you some options to help manage your payments and avoid defaulting on your loan.

The main difference is the level of responsibility involved. A joint agreement is when you and another person apply for car finance together, meaning you are equally responsible for the loan. In comparison, a guarantor is only responsible for making the payments if you are no longer able to. 

Guarantor car finance tends to use the person with the worst credit rating to set the APR level. APR, short for Annual Percentage Rate, is a fancy way of saying how much extra you will have to pay on top of the borrowing amount.

On the other hand, joint car finance tends to use the credit rating of the best applicant to set or influence the APR level positively. At We Finance Any Car, we would always recommend opting for a joint finance agreement over guarantor car finance if you have a poor credit rating.

There’s a whole host of reasons that people apply for joint or guarantor car finance. Maybe you’ve been rejected elsewhere due to a bad credit rating. You might have a limited income and a new car seems out of your reach. Perhaps this is your first big purchase and you need a little extra support…

Taking the leap to buy a new car can be daunting, especially if you are struggling to get accepted by yourself. With us, your individual circumstances will no longer be a barrier to securing car finance. Having a co-signer or guarantor can increase your chances of approval.

Do you have a poor credit history?

Applying for car finance with another person can be a good idea if you have a poor credit history. Alone, the lender may view you as a risk and you may even be rejected altogether. With the additional support of a co-signer who has a good credit history, you are more likely to qualify. 

Due to the way the APR is calculated, we prefer to supply joint car finance in this instance.

Are you a young driver?

If you’re a young driver, you may not have had the opportunity to establish credit. In other words, you will have minimal information on your file. This is completely normal! 

As you need to be at least 18 years old to gain access to credit, anyone under this age won’t have had the chance to build up a solid credit score. Unfortunately, this leaves you with a limited or no credit history and you will likely struggle to get car finance, even if you aren’t experiencing financial hardship. 

If you’ve just passed your test and are ready to get on the road, a guarantor will help you to provide a stronger loan application. 

The process of finding and financing the perfect vehicle can be intimidating. Cars aren’t cheap and, for many young drivers, bagging a brand new model is out of the question. A used car may be better suited to your budget. Don’t be put off by a few marks here or there. With tonnes of quality, preloved vehicles on the market, some with an impressive selection of features that would put newer models to shame, you’re sure to find a car you love.  

Are you self-employed?

When you apply for car finance, lenders tend to base your ability to repay the loan on your income and credit history. You may be in a strong position financially and ready to commit to a car loan, but being self-employed can make it more challenging to demonstrate a consistent income. Being in this type of employment means you might have limited documents available – this can act as another barrier. Sadly, this leads to a large percentage of self-employed applicants being turned away. 

Guarantor car finance is one way around this obstacle. If your guarantor can provide evidence to demonstrate a strong credit history and a reliable source of income, it can help to offset any concerns the lender may have. 

If you’re unsure how your personal situation might impact your ability to secure a car finance agreement, reach out to our friendly team of experts today.

The requirements for guarantor car finance can differ depending on the lender, however, there are a few must-haves:

  • Your guarantor needs to be between the ages of 21 and 75, although some lenders will accept a minimum of 18 years old
  • They must have a good credit history and rating, with a track record of making payments on time
  • Having a close relationship with your guarantor is important, just avoid choosing anyone you have a financial link with
  • They need to have access to a variety of documents, including bank details and proof of address
  • Ideally, they are a homeowner and consistently keep on top of their mortgage payments
  • They should have a full understanding of their responsibilities – you need to be able to trust your guarantor

Don’t rush into anything! It’s important to be 110% sure that your guarantor is reliable and would be happy to step in if you are facing financial difficulties.

In a guarantor car loan, it’s not just your situation that is assessed. It takes two to tango and the lender needs to be confident that your guarantor also has the means to meet the monthly repayments.

Always make sure that your guarantor is aware of this screening process and is comfortable sharing the required information before they enter into the agreement. They will be asked to provide several documents. These can include:


  • A valid form of ID, usually a driving license or passport
  • Proof of income, such as bank statements, payslips, or open banking
  • Proof of address, in the form of a household bill or bank statement
  • Their credit report, along with a complete history of debt management
  • Any other guarantor loan they are involved with

Once approved, your guarantor will need to sign a guarantor agreement. This is essentially a contract that outlines all the relevant t’s and c’s, the loan amount, the interest rate, and the repayment schedule.

Not in the first instance. We Finance Any Car use soft search to see if you are approved and then the joint applicant. At this point there is no impact to your credit file. If you then go onto going through with the deal (like all finance deals) this will then turn into a hard search. This is important because you and the joint co-signature are jointly responsible for the loan. It also means that once an agreement is made under a joint agreement then the commitment will show on both signatories credit files.

Joint car finance is almost exclusively based around Hire Purchase (HP) as the type of finance used so in this case, neither of you own the car till the car is paid off. The main user is the “keeper” of the car but you only own the car when all of the payments are made or the car finance has been settled.

Being a guarantor for car finance - some things to consider

Being a guarantor is no small undertaking. To put it simply, you are taking on the responsibility for another person’s debt if a payment is missed. If you have been asked to be a guarantor, it means that the person looking to buy a car may not meet the necessary requirements or has an unstable financial history. As long as you are on good terms and understand the potential risks involved, this can be a great way to help someone close to you secure the car they desperately need.

Ultimately, being a guarantor comes with a lot of responsibility. It’s down to the borrower to make all their repayments on time and in full, but life can be unpredictable and financial setbacks mean they may not be able to hold up their end of the bargain. In this instance, you are legally obligated to cover the missed payments, plus any associated fees or charges.  

Before signing on the dotted line, you need to be confident that you have enough funds to meet the loan deadlines. 

It’s important to maintain a close relationship with the borrower – contact is key. You’ll want to stay informed about any changes or issues that may arise during the repayment period.

In an ideal world, your guarantor agreement will be smooth sailing. There are, however, some risks involved:

  • The legal responsibility of repaying any outstanding debt
  • Failing to fulfil the loan repayment will negatively impact your own credit rating
  • You will be required to make the payments until the end of the agreement, this can be especially difficult if the relationship becomes strained or turns sour
  • Being financially associated with someone who has a bad credit history can affect your credit score

What happens if you can’t cover the payments? Falling out with a close friend or family member is never fun… Conversations about money can be tricky but it’s important to have a discussion with the borrower and make sure you are both comfortable with the risks involved.

If you have unanswered questions or stumble across any hurdles along the way, we will be able to help!

Yes, being added as a guarantor to somebody’s car finance application can impact your credit score. If the borrower continues to miss the monthly payments and you are unable to cover them, your score will be damaged and you may find it difficult to obtain credit yourself in the future. 

Then there’s the application itself. With traditional lenders, you will likely be screened using a hard credit search, which can lower your score by a few points. 

At We Finance Any Car, we do things a little differently. 

To make the process as simple and stress-free as possible, we work with lenders who use a soft credit search in the initial stages. This is to protect both your own credit score and the credit score of the borrower, which can help if they have a bad credit history. 

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


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About Us

If you are looking for car finance, you are in the right place!

We have years of experience in car finance, a very extensive lending panel & a team set up to get you the car you want at the best finance rate possible. If you have already found a car and just need the finance – great! If you need help finding a car then we are there for you as well – in fact, we have access to over 300,000 cars.

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