Are you searching for bad credit car finance? We can help you get car finance with bad credit in a few easy steps.
Soft credit checks Bad credit accepted CCJs, Defaults, Self-Employed
Representative APR of 24.9%
You can apply with confidence, a bad credit car loan application won’t affect your credit score.
Our team is friendly and approachable and we understand that everybody’s credit history and circumstances are different.
Use our bad credit car finance calculator
Our bad credit car finance calculator helps you see how much your repayments will be on a monthly basis.
Simply select how much you are looking to borrow and for how long. We are bad credit car finance specialists.
Representative Finance Example:
Borrowing £7,500 over 4 years with a representative APR of 24.9%, an annual interest rate of 24.9% (Fixed) and no deposit, the amount repayable would be £238.10 per month, and total cost of credit would be £3,928.80 and the total amount payable would be £11,428.80*
*Your rate may differ from the above illustration due to your individual circumstances. All credit is subject to status.
We are a broker, not a lender.
By working with an extensive panel of lenders, we are able to consider car finance applications from people with different financial circumstances. If you’ve had bad credit in the past, you are self-employed or a young driver, we may be able to help.
Use our car finance calculator to find out how much you will be paying a month for your car loan.
What Is Bad Credit Car Finance?
For those looking to buy a car, there are specialized loans available that are referred to as “bad credit car finance” or “poor credit car finance“.
These loans are specifically designed to provide customers who have bad credit with a finance option.
What does bad credit really mean?
Often a bad credit score will be the result of failing to adhere to a credit agreement.
For instance, if you fail to repay a mortgage, loan, or credit arrangement, as stipulated in your loan agreement, you risk damaging your credit score.
Having a bad credit score means that it will become increasingly difficult to secure funds for future purchases such as cars, vans or motorcycles.
How Can We Help?
At Carvine, we specialize in providing bad credit car financing, helping those would-be car owners that cannot get car finance elsewhere.
Being refused credit can be disheartening at the best of times, but when you need a car, being refused credit can be completely shattering.
The truth is that many people who are refused car credit are responsible, trustworthy individuals, who have the means and intention to pay on time, every time.
We Can Help Where Others Often Can’t
We know how easy it is to become downcast when you’ve been refused car finance due to bad credit.
Often this situation occurs through no fault of your own. You may be self-employed or you may have no credit history at all.
Often you may have simply been a little bit late paying bills.
We Have Car Finance Options For All Credit Histories
We are able to help people with all kinds of credit histories, including those with the following problems:
- Low credit score
- Bad Credit
- Poor Credit
- CCJs or defaults
- Self Employed
- No credit history
- Discharged Bankruptcy
How To Get Accepted For Car Finance With Bad Credit?
If you have bad credit, a way to help you secure the finance you need is to offer the lender a small deposit on the car.
While this can be challenging for some people to achieve, it shows the lender that you are able to save money, and that you are willing to put your own money into a vehicle.
This means that you are going to borrow a smaller amount on a more valuable vehicle.
Representative APR of 24.9%
Get Approved For Bad Credit Car Finance in 3 Simple Steps
At Carvine, we make the bad credit car finance application a breeze. We search and compare your finance options to get you the best price available without any hard searches. This means your credit score will not be affected.
We put you behind the wheel in 3 easy steps:
Step 1 – Apply
Apply using our quick finance application form. This is where you will complete sections such as name, date of birth, address, employer etc.
When you apply, we will carry out a soft credit search. Our finance application will not have an impact on your credit score, so you can apply with full confidence.
Step 2 – Get Approved
We regularly obtain decisions in a matter of minutes. From this point to actually paying for the car can be done very quickly so your wait is nearly over.
Step 3 – Buy your car from any reputable dealer
The most exciting part is when you pick up your new car. We can put you in touch with pre-checked, quality dealerships that have great service and aftercare.
When purchasing your new car having that peace of mind is important with a large purchase.
Bad Credit Car Finance FAQs
What is bad credit car finance?
Bad credit car finance is designed for people with bad credit.
Even if you have a poor or bad credit score there is still a good possibility of being approved for car finance.
Can I buy my car from any dealer?
Yes. You can choose your new or used car from any reputable and qualifying dealer.
If you’re struggling to find your perfect car we have car sourcing teams on hand to help find the car that’s right for you.
We can even deliver the car to you.
Do you do a credit check when I apply?
We carry out a soft search on your credit report which doesn’t have any effect on your credit score as at this stage no footprint is left.
This will also provide us with your proof of address and income validation, most of our decision-making processes are made from proving the affordability to make the repayments and not your credit history.
I’m self-employed, can I get car finance?
We can usually help in any instance as long as you bank your income we can usually obtain a great finance deal for you.
Will I be considered If I’m in an IVA or TRUST DEED?
Yes, we can help, if it is running satisfactorily, we will be required to show authority from your administrator to allow you to take finance out, this is usually a formality.
Can I apply if I’m in the Armed Forces?
We welcome this. We pride ourselves on helping all of our service personnel.
What documents do I need to provide?
Usually, we automatically approve your application with minimal paperwork as long as you bank your income, in most cases, our automated checks can validate this for you.
All you’ll need to send is a copy of your photocard driving license, we’ll send a unique link to our secure portal for you to upload this.
We’ll check to ensure we have the correct details from your application such as name, address, and date of birth.
At this point, your full approval is in place and you’re ready to start looking for your new / used vehicle.
My earnings are irregular will I need to provide proof of this?
You might be asked to provide further details of income if our systems can’t validate this for you, such documents include (if self-employed) either last year’s tax return or your latest three months bank statements.
If employed you might be asked to provide up to 2 months’ payslips.
What’s the minimum I can borrow?
Usually, the minimum lend is £4,000.00
What’s the maximum I can borrow?
This is set by your affordability we automatically check your income against your expenditure to give us your maximum monthly available installment amount.
When we have your full acceptance this will be sent to you by email.
Do you charge any fees?
No, there are no admin fees charged by us.
Can I use my part exchange as a deposit?
Yes, you can. The selling dealer can offer you a price on this however, we can also tell you the recommended trade-in price for your car in order to make sure you get the best price.
What should I do when I have found the car I want?
Simply call or email a link to the car you’re looking at and we can check the recommended sales price for the car, send you the repayment details and HPI checks the vehicle.
If you are happy we can email you the documents and arrange the payout for you.
Will I own the car at the end?
Yes. Once all of your repayments have been made you will be the legal owner of the vehicle.
Sometimes there is an option to purchase fee which will vary but usually, this will be no more than £10.00 to £20.00 which is charged on your last month’s payment.
I have been rejected already by another finance company, should I still apply?
Yes. We approve the majority of cases sent to us, as long as we can see you are able to afford the repayments we can generally find an appropriate finance option to suit you.
I am on benefits, can I apply?
As long as you can demonstrate you can afford to make the repayments we can usually help as there are some funders that do not require employment income.
Is this guaranteed car finance?
Nobody can offer this. You must demonstrate you have the affordability to make the repayments comfortably, however, we have lending options that can usually help no matter what your circumstances.
There is no obligation to take the finance offer so why not see how we can help you?
Do I need a guarantor?
Carvine we will never offer you a guarantor loan product, why would a guarantor pay the high rates when they could take out a low APR rate loan in their own name?
Remember they are ultimately responsible for repaying the loan anyway.
Worried About Credit Searches?
At first, we’ll only carry out what’s called a “soft search” to enable us to get an understanding of your financial situation.
Don’t worry – although this is visible to you, other lenders can’t see the search.
Be assured that we work hard to gain you that acceptance if it can be done, we will do it.
We can usually get you approved as long as you are keeping up with your current debt levels, credit score isn’t always a factor.
Representative APR of 24.9%
Simple Steps To Improve Your Credit Score
Your credit score will affect the interest rate you’re offered or the probability of getting accepted when you apply for car finance.
If your credit score is not so great, you may still be offered a car finance deal, but the interest rate you pay will be higher and this will make your monthly payments more expensive.
By working to improve your credit score, in the future, you can take advantage of better rates.
What exactly is a credit score?
A credit score is a way lenders judge how reliable you are when borrowing. Lenders will usually investigate your past borrowing and repayment records and use them to determine whether you are a risk or not.
Bad signs, for example, are any instances of late payments, missed payments, and unpaid bills.
The higher your score, the better your credit rating will be and this improves your chances of being accepted for finance.
Find out your credit score
You can find out your credit score through a credit reference agency such as Experian, Equifax, and Trans Union.
You can apply for a 30-day free trial where you can read your report online but make sure you cancel your trial once it’s ended, otherwise you will end up paying for it.
Alternatively, you can apply for a £2 statutory report.
When checking your credit report, make sure all of your details are correct. If they are not, get them corrected by contacting the credit reference agency.
If you have a valid reason for missing a repayment in the past – perhaps you were suddenly taken ill, for example – you can add a 200-word statement explaining why.
This is called a Notice of Correction. Again you can ask the credit reference agency to add this for you. It’s worth doing because the lender may look more favorably on you when you apply for credit.
Your credit rating will also be impacted by any serious debt problems you have had in the past. The worst are County Court Judgments (CCJs) and Bankruptcies.
If you have never had credit in the past, this can also go against you will have no credit history.
Therefore the lender has nothing to go on as to whether you’re a reliable borrower or not.
How to improve your credit
There are a number of steps you can take to improve your credit rating. The first should be getting on the electoral roll if you’re not already on it.
You should also limit the applications you make for any kind of credit – whether this is a loan or credit card – as each application may leave a footprint on your credit score.
Lenders will then see this and think you’re overstretching yourself financially.
If you already have some form of credit, always make your monthly payments on time and make sure you don’t miss any. It’s a good idea to set up a monthly direct debit so you don’t forget.
Also, close down any accounts you are no longer using.
Representative APR of 24.9%