Used car finance could help you spread the cost of a second-hand car through monthly payments. At Go Car Credit, we offer Hire Purchase as a direct lender. We may be able to consider you even if your credit history is less than perfect.
Your choice of car, income and current credit commitments all form part of our checks. All finance is subject to status and affordability. Approval is not guaranteed.
Used car finance is a way to pay for a second-hand car over time. Rather than pay the full price at once, you borrow towards the cost and make monthly payments. Interest and fees add to the cost of borrowing.
You may also see this called used car credit. The type of finance you choose affects your costs and when you own the car.
Step 1: Calculate your monthly repayments
Step 2: Apply and track your application online, in real time (No login or app needed!)
Representative example – Total amount of credit £10,500, annual interest rate 18.25% (fixed), charge for credit £9,886.25 (£9,581.25 interest, £295 admin fee and £10 option to purchase fee), total amount payable £20,386.25. Loan term of 60 monthly instalments, 59 payments of £339.60 and 1 final instalment of £349.60. 34.5% Representative APR – Subject to status and affordability.
With our Hire Purchase car finance, you make fixed monthly payments over an agreed term. A deposit may be needed, based on your application and the car you choose.
We own the car during the agreement. It becomes yours once you have made all payments and paid any required fees, including the option to purchase fee. There is no large balloon payment to buy the car at the end.
There is no annual limit on how far you drive. However, the car must meet our age and mileage rules when you buy it.
The finance is secured on the car. If you do not keep up with repayments, the car may be repossessed.
We may be able to finance a used car that fits your approved credit limit and meets our vehicle rules. We check the car’s price and the length of the finance agreement. The car must also meet our vehicle age and mileage limits.
Meeting these rules does not guarantee approval. If approved, you would choose a suitable car from one of our approved dealers.
If you have found a car already, speak to us before you commit to buying it. We would need to check both the car and the dealer.
Your monthly payment depends on the car price, the deposit, the amount borrowed, the term and the interest rate. Fees also affect the total cost. Check the full amount you would repay, as well as the monthly figure.
Our car finance calculator could help you estimate your payments. The result is a guide, not a finance offer.
Use the representative example on this page to see how the costs are set out. Check the terms of your own offer before you decide.
You could be considered for bad credit car finance even if you have had money problems in the past. We look at your credit history, income and spending. A credit score alone does not decide the outcome.
Past missed payments or a refusal elsewhere do not always rule out a new application. However, we would need to check whether the payments are affordable for you. We cannot promise approval.
Once an application meets our minimum criteria, we carry out a soft credit check, also called a soft quotation search. This does not affect your credit score.
If the agreement is later signed and the application is ready to proceed, we carry out a hard credit search. This is visible to other lenders and may affect your score. A soft search does not mean finance has been approved.
We may consider income from work, self-employment or certain benefits when we review your application. The source of your income is one part of our checks. We also look at your spending and whether you could afford the repayments.
You could be considered for car finance on benefits if you receive a type of income we accept. We would still need to check whether the payments fit your budget. Approval is not guaranteed.
If you work for yourself, you could be considered for self-employed car finance. We may ask for recent bank statements or other proof of income to help us assess your application.
No deposit car finance may be an option. This depends on your circumstances, your credit limit and the price of the car.
A deposit would reduce the amount you need to borrow. If the car costs more than your approved limit, you may need to pay the difference or choose a lower-priced car.
Hire Purchase, Personal Contract Purchase and a personal loan are different ways to fund a used car. Think about the full cost and when you want to own the car. Go Car Credit offers Hire Purchase only.
A comparison of three ways to finance a used car
| Finance type | How payments work | When you own the car |
|---|---|---|
| Hire Purchase (HP) | You pay off the amount borrowed, plus interest and fees, over an agreed term. A deposit may be needed. | After all payments and required fees have been paid. |
| Personal Contract Purchase (PCP) | Part of the cost is left until the end. You pay this final balloon payment if you choose to buy the car. | After you pay the balloon payment and any other sums due. You could instead return the car under the terms of the agreement. |
| Unsecured personal loan | You borrow money to buy the car, then repay the lender with interest over an agreed term. | You own the car from the point of purchase, but still owe the loan repayments. |
PCP may have lower monthly payments than HP on similar terms, as more is left to pay at the end. Mileage and condition charges may apply if you return a PCP car. Compare the full cost of each offer, including any deposit, fees and final payment.
Start with a budget that leaves room for your bills and the cost of running a car. Then follow these steps to explore whether we could offer finance.
Before you commit to a car, take time to check the used car you want to buy. Review its history and condition, and ask the dealer about anything that concerns you.
We assess applications and make our own lending decisions. You deal with us for the finance agreement.
Our customer reviews share people’s experiences of Go Car Credit. These may help you get a sense of our service as you weigh up your options.
If you would like us to review your circumstances, apply for used car finance through our online form.
All finance is subject to status and affordability. Applying does not guarantee approval. Only take on payments that fit your budget.
