Can I guarantee I get car finance?

If we’re being honest, there isn’t actually any way you can 100% guarantee that you’ll get car finance. However, this isn’t an article filled with doom and gloom because there are ways that you can increase your chances of getting a car finance application approved.

You may be feeling a little bit apprehensive about your chances of getting approved for car finance for a number of reasons. These include, but certainly aren’t limited to:

  • If you’ve been declared bankrupt
  • You’re claiming benefits
  • You have a low income
  • You’re a student
  • You don’t have a deposit
  • You know you have a poor credit score

However, some finance companies are willing to work with you if you are in a less than ideal financial situation. There are some specialist car finance companies who will work hard to help you if you have poor or damaged credit, in order to secure you a car finance deal with is affordable, sustainable and suits your individual situation.

It’s possible that if you use one of these solutions you may have to put down a larger deposit in order to get car finance. This is due to the fact that specialist funders will look at whether they can clear the debt should you miss any monthly payments. For example, if you miss your first monthly payment, then they will repossess the car though they will also need to be able to clear the debt so they don’t lose money. Therefore, they prefer a larger deposit.

If you don’t want to put a deposit down, or can’t, then we also have some information about that for you.

While there are circumstances that will weaken your chances of getting car finance, there are things you can do to boost your situation. In this article, we’re looking at how you can improve your chances of getting car finance.

Need a new car? Get in touch with us and get started on your journey to a new vehicle. We can help.

Can I get car finance if I’m on benefits?

If you’re on benefits but you are in employment, then you still have a good chance of getting approved for car finance.

Lenders need to be sure that you’ll be able to make the payments, so if your benefits don’t cover your existing budget then you’ll find it harder to secure finance.

But, it’s not impossible.

guarantee car finance - image of a person taking a basket from their car

Lenders will want to look at your income and expenditure as well as your credit score. If you have a good credit score then this will definitely improve your chances of getting approved for car finance. If, when the Finance House looks at your information, your spending doesn’t corroborate there’s a chance they will turn you down.

It’s important to note that before you put yourself through lots of credit checks, that you talk to an expert before doing so. This is because multiple credit checks can affect your credit rating. So there is a chance you can get car finance whilst on benefits.

Can I get car finance if I’ve been declared bankrupt?

There is no denying it, bankruptcy is something that definitely doesn’t look good on your credit history. However, there are some lenders who aren’t so concerned with your past.

What the lender is concerned with is your present and your future, and whether you will be able to make the payments. You will still have to do some shopping around though. This is because some funders will base their entire decision on whether to give you finance on your current credit score.

There are some, however, that will allow you to discuss your current situation and give you a chance to explain your bankruptcy. The finance house may need to ask questions or get permission from your Insolvency Practitioner before approving any credit.

However, it’s vitally important that you are honest from the outset. You need to make sure that you talk to an experienced broker who has access to specialist finance houses.

Can I get car finance if I’m on a low income?

If you’re on a low income, you still have a chance of getting approved for car finance.

Funders look at a variety of factors, but one of the main things that they want to confirm is that you can afford to meet the payments you are agreeing to. If you are on low income but you have no other financial obligations, the finance company may be satisfied that you will be able to meet the monthly payments. They will want to assess your incomings and outgoings before making a decision.

Some funders also work on credit score alone. So, if you have a strong credit score then they may not even ask you about your salary. The other option is that you ask someone to act as your Guarantor.

Can I get car finance if I’m a student?

Finance companies tend to consider students a higher risk. This is due to the fact that as a student you don’t tend to have a credit history. Because they tend to have no credit history, the finance company can’t be sure that they will be able to rely on a student to make their payments.

Image of Job Centre Plus building

However, they have one thing in their favour, a student tends to have few if any, financial commitments. This puts them in a position that means they are more likely to be able to make their monthly payments. They will be in an even stronger position if they use a guarantor. Again, we’ll come onto that in a minute.

Can I get car finance with no deposit?

Most forms of car finance do require a deposit. However, if you take out a personal loan to pay for your car, you won’t need to put down a deposit first.

You can get a personal loan from the bank, an online lender or your local building society. You agree to a series of terms and conditions, and you make a series of monthly payments until the loan is paid off. These payments do gain interest, however.

But, you can use it to put a deposit down on your car. You can find out more about that by reading our article on getting a car without a deposit.

Can I get finance with a Guarantor?

We’ve mentioned a few times above that you can increase your chances of getting car finance if you use a Guarantor.

A guarantor is someone who will take on the responsibility for making your payments in the event that you miss them. They must be someone who:

  • Has a strong credit rating
  • Is not financially linked to you
  • Is 21 years old or over
  • A Guarantor is usually a family member or a close friend, but it can also be your work colleague.

Should you miss a payment on your car, then your guarantor will be expected to pay it. Being a guarantor is not a decision that should be taken lightly; it comes with a lot of responsibility so it’s something that you should consider carefully.

If you’d like to find out more about being a Guarantor, or what to look for when thinking about getting a Guarantor, we have an article that will provide you with more information.

There is nothing you can do to guarantee you’ll get car finance, only improve your chances. However, as you can see from the sections above, there are still ways to get car finance, regardless of your situation, though it’s worth doing your research. It is also very important to remember that you should get your car through an experienced broker, one that has access to specialised funders who will be able to help you get car finance.


We can help…call us on 01903 538835, or request a callback

Fed up with looking for your next vehicle?

Need advice from an experienced Vehicle Specialist on what vehicle is right for you?

Book your FREE consultation now