APPLY NOW CALCULATOR

Bad Credit Car Finance

Rates from 28.5% APR
39.7% Representative APR -
Subject to status and affordability

Can I get car finance if I have bad credit?

Yes, if you have bad credit, it is possible to get car finance to help purchase your next car.

We offer a specialist form of Hire Purchase car finance, our criteria could help you get approved for car finance even if you are struggling to get other forms of credit such as a personal loan.

It is a convenient way to pay for a vehicle based on budget and credit profile, so you can get affordable monthly payments.

Go Car Credit was founded in September 2017, and up to September 2021, we have helped over 19,000 people who may have been refused elsewhere, to get car finance.

car finance calculator

application tracker

Representative example – Total amount of credit £8000, annual interest rate 20% (fixed), charge for credit £6711.44 (£6406.44 interest, £295 admin fee and £10 option to purchase fee), total amount payable £14711.44. Loan term of 48 monthly instalments, 47 payments of £306.28 and 1 final instalment of £316.28. 39.7% Representative APR – Subject to status and affordability

bad-credit

How does Bad Credit Car Finance work?

We use a Payment Reminder System also known as “Black Box Car Finance” which allows us to provide loans to those who other lenders may have rejected.

If you do have bad credit you may have been looking for instant decision car finance with no credit check, we could help you as we are specialists in bad credit car finance.

After you have made an application and once passing initial checks, applications we receive are reviewed by the employees themselves and not just a computer program.

This approach allows us to consider any extenuating circumstances such as a poor credit history, self-employment or income from benefits.

bad-credit

How to get car finance with bad credit

A good start would be to focus on improving your credit score, but there are other ways of boosting your chances of getting car finance with poor credit. For example, while a deposit is not required for our bad credit car loans, offering one would contribute towards reducing your monthly repayment. As a result, your overall affordability may increase and allow you to choose from a wider selection of vehicles.

We will only lend what you can safely afford to repay based on our affordability checks as well as the length of term you have agreed to pay back. We calculate the car finance for bad credit we can offer you by comparing your current monthly income to your monthly expenditure. By working out your own income and expenditure and using our poor credit car finance calculator, you can get an idea of what you will be able to afford before you apply with us.

Choice of vehicle is an important part of the car finance application if you have below average credit. It is suggested you think about the costs associated with your choice of car such as fuel, insurance, tax, MOT, servicing and maintenance costs, as these will all have an influence on the affordability of the vehicle.

car-percentage
cross-tick-circles

What affects being approved for car finance with poor credit?

We are happy to consider providing car finance to people who have missed payments or have a less than perfect credit history. However, if you have fallen behind on repayments with other credit agreements, it would be in your interest to do everything you can to get the repayments up to date quickly. Doing so may in improve your chances of car finance application being accepted.

Do you currently have an IVA (Individual Voluntary Arrangement)? If so, we will need written confirmation from your Insolvency Practitioner that they are happy for you to borrow again. If you have had an IVA in the past which has been settled, then you are welcome to apply for our car finance. If you are currently in bankruptcy, unfortunately, we are unable to help at the present time.

Our car finance blog features articles on how to manage debt, helpful tips to improve your credit rating and general information about the poor credit used car buying process. Keep an eye out for these articles, which may be of help to your current financial situation.

If your bankruptcy has been discharged, then we will be happy to consider you when you apply for car finance. If you have an outstanding CCJ, that does not mean it is the end of the road when it comes to applying for bad credit car finance as you can still apply for car finance with us, and we can review the application.

cross-tick-circles

How Go Car Credit can help customers with bad credit

Here at Go Car Credit, we are finance specialists in helping people who may have had bad credit in the past and are now experiencing borrowing issues from mainstream lenders. We want to make sure your experience is straightforward, stress-free and efficient, from making your application to driving away in your new car.

Our goal is to fully understand your financial circumstances and help make vehicle shopping easier. We could help you get the car finance you need even though you have been previously refused by another direct lender or have reduced finance options.

We firmly believe that the success of your application for car finance should not rest only on your credit history. We take many factors into account, which is why we are able to help more people access the funds they need. The below are just some examples of the type of people we can help:

Car finance for those with bad credit

Even if you don’t have an ideal credit history, we may be able to help you. With bad credit car finance, you could still be eligible to receive the assistance you need to get the car you’ve been dreaming of.

Car finance for unemployed and people on benefits

If you’re struggling to find work and are receiving help from the government, that doesn’t mean you should automatically be refused when you apply. We want to help as many people as possible, which is why we offer car finance on benefits.

Self-employed car finance

The flexibility of being your own boss is something many people aspire towards. However, if your income stream is not always predictable then some lenders may be hesitant to approve your application. That is where self-employed car finance can provide the solution.

Bad credit car finance with no guarantor

A guarantor is someone who is liable to repay the money you owe if you cannot, and many lenders may require you to provide a guarantor when you apply. However, all our car finance is with no guarantor, which allows us to focus on helping those with poor credit.

tick
hand-point-choose

How we work

We have created a straightforward 4 step car finance process that means you can be in your new car quickly.

1. Apply for finance via our website. It takes less than 2 minutes

2. We will review your application and come back with a decision in less than 30 minutes

3. Choose your perfect car from one of our approved dealers

4. Sign the paperwork online and drive home your new set of wheels

hand-point-choose

What paperwork will I need to provide?

Before deciding on your car finance application, we’ll first need to confirm your source of financial income. This means if you are employed, self-employed or your income is primarily from benefits, your car finance application paperwork may be different.

If you are employed, you may be required to supply 3 months’ worth of payslips.

If you are self-employed, you may be required to supply 3 months’ worth of bank statements.

For all car finance and loan applications, we are unable to accept tax returns or cash in hand payments as proof of income. All income of the car finance applicant must go into a UK bank account in their own name. However, We can accept proof of income into the bank of your spouse or partner, but they’ll need to be added to the car finance application.

If your income is made up of some benefits you will be required to provide proof of these through your bank statements or confirmation letters from your benefits provider.

speech-bubble-question
car-hire-purchase

Types of car finance for bad credit

We provide Hire Purchase car finance. This means when you come to Go Car Credit for this type of finance, you’ll be hiring your car from us, and your purchase will be secured against the vehicle itself. The car is legally owned by us, and you will be the registered keeper while you make fixed monthly payments across a set period of time, usually around 36 or 48 months.

Once you have paid the car’s value in full, plus an amount of interest together with the option to purchase fee, the car will be yours.

Hire Purchase could be an ideal product if you have bad credit or don’t want to pay the full price of a car upfront. This lets you spread the cost with affordable monthly payments based on your realistic budget and affordability. Keeping up with your repayments could help you build your credit score – and boost your chances of being approved for other lines of credit in the future.

car-hire-purchase

What can cause bad credit?

There are many reasons you could be refused car finance and lenders may not tell you why you have been rejected. This could be due to having a poor credit history:

  • Missing payments on utilities or previous loans or credit
  • Making less than the agreed monthly repayments on credit commitments
  • Paying only the minimum each month on a credit card
  • County Court Judgements
  • Defaults on previous loans or credit agreements
  • Declaring bankruptcy
  • Currently in an Individual Voluntary Arrangement (IVA)
  • Having no credit history at all
no-car-finance
speech-bubble-question

Does Go Car Credit consider everyone?

Some lenders may decline your application if you have a less-than-perfect credit history, but here at Go Car Credit we see the bigger picture. We aim to make car finance accessible for as many people as possible we always lend in a responsible manner, only offering what you can afford to repay.

While we can’t guarantee you’ll be accepted for car finance with us, we do have criteria that does need to be met, we will then work with you to see if it’s possible to approve your application. We look at your whole story, as we understand that there are plenty of reasons why someone might have a less than ideal rating.

Let’s take this example of the situation you might currently be in: if you’re looking for car loans and have a history of bad credit, ideally with no guarantor required, or if you are on benefits, once you have passed our initial checks, we will review your financial circumstances to see if we can help you get car finance.

speech-bubble-question

How much does bad credit car finance cost?

That will depend on a number of factors, such as the amount you wish to borrow and the length of the repayment period, so there is no set answer to this question. To give you an idea, check out our bad credit car finance calculator to work out what your monthly repayments might look like.

If you have a bad credit history and experienced issues with getting other forms of credit, you may be paying a higher interest rate.

Our interest rate may be perceived as high compared to other finance providers, but we would like you to consider that we serve a specific sector of the motor finance market in the UK who are usually excluded from getting finance elsewhere.

We have provided these customers with the opportunity to get behind the wheel and be independent.

There are no hidden fees or other small print, and we never try to sell anything else alongside the finance package.

Your circumstances may be different to someone else who’s trying to get a car with a bad credit score, so how much you pay, and the repayment plan will depend on your own financial situation.

In a lot of cases, you’ll hear from our experienced team members who will assess your application and create a repayment plan that’s unique to you. This will look at your income and outgoings, so you have a personalised plan that suits your finances.

From there, you can take a look around one of our approved dealerships that will provide the vehicle to you. It’s important to note that your repayment plan will also look at the car you choose. The price of the car, along with the cost of insurance and fuel along with road tax and MOT will all affect how affordable it is.

car-worth
hand-point-apply-button

How to apply for bad credit car finance

Don’t let having a bad credit rating put you off applying for car finance if you really think you can afford the monthly payments and are in need of a new car. If you’ve checked your file, and it’s not where you want it to be, it’s still possible for you to speak to us about your options. Our aim is to make it possible for motorists to get a car, even with a bad credit history.

It takes just a few moments to apply for car finance online with us. All you have to do is enter a few details about yourself and once that part is done, you can keep an eye on your application’s progress via our tracker. If you are approved, we’ll need the details of the vehicle you would like to finance before everything can be completed. However, even if we do give the green light for your application, there is absolutely no pressure to proceed – that decision is entirely yours.

hand-point-apply-button

Which cars do Go Car Credit finance?

Many people looking for car finance before they buy a car, want to know if the car they want can be financed by the finance companies approved car dealers.

While we can’t list all the cars from the dealers we work with, we can show you some of the brands and models we have financed for our existing customers.

We have included the most popular models of each car make our customers chose in 2021 below.

Audi

Audi

Top model financed:
The Audi A3

Other models financed include:
The A1, A4, A5, A6, A7, Q2, Q3, Q5 and TT.

BMW

BMW

Top model financed:
The BMW 1 series

Other models financed include:
The 2 series, 3 series, 4 series, 5 series, X1, X3 and X6.

Citroen

Citroen

Top model financed:
The Citroen C4

Other models financed include:
The Berlingo, C1, C3, DS3, DS4 and DS5.

Fiat

Fiat

Top model financed:
The Fiat 500

Other models financed include:
The Punto, Tipo, and Panda.

Ford

Ford

Top model financed:
The Ford Focus

Other models financed include:
The B-Max, C-Max, S-Max, Fiesta, Kuga, Ka and Mondeo.

Honda

Honda

Top model financed:
The Honda Civic

Other models financed include:
The CR-V and Jazz.

Hyundai

Hyundai

Top model financed:
The Hyundai IX35

Other models financed include:
I10, I20, I30, I40, Santa Fe and Tucson.

Mercedes-Benz

Mercedes-Benz

Top model financed:
The Mercedes-Benz C class

Other models financed include:
The A class, B class, E class, Vito, SLK and GLA.

Mini

Mini

Top model financed:
The Mini Cooper

Other models financed include:
A tie with the Mini Countryman.

Nissan

Nissan

Top model financed:
The Nissan Qashqai

Other models financed include:
The Juke, Micra, Note, Pulsar and X-Trail.

Peugeot

Peugeot

Top model financed:
The Peugeot 308

Other models financed include:
The 108, 208, 308, 508, 2008, 3008 and 5008.

Renault

Renault

Top model financed:
The Renault Clio

Other models financed include:
The Captur, Grand Scenic, Kadjar, Megane and Twingo.

Skoda

Skoda

Top model financed:
The Skoda Fabia

Other models financed include:
The Citigo, Octavia and Yeti.

Vauxhall

Vauxhall

Top model financed:
The Vauxhall Astra

Other models financed include:
The Adam, Antara, Corsa, Insignia, Mokka and Zafira.

Volkswagen

Volkswagen

Top model financed:
The Volkswagen Golf

Other models financed include:
The Passat, Polo, Tiguan and Touran.

Volvo

Volvo

Top model financed:
The Volvo V40

Other models financed include:
The C30, S60 and V60.

Bad Credit Car Finance FAQ's

Are there any preparations I can make to help my credit application?

We would suggest making sure any outstanding payments are settled and up to date where possible. Any recently missed payments could impact your ability to get a loan.

Determine what you can realistically afford to commit to each month with a car loan. Our finance agreements mean you are going to be committed to the vehicle repayment for 36 months at least.

It's also worth considering the type of vehicle that would be suitable long-term as well as any changing circumstances that may affect this. For example, if you are thinking about starting a family, a 3-door car might not be the most appropriate choice.

Can I buy a brand-new car with poor bad credit?

Yes, you could buy a brand new car if the chosen vehicle price does not exceed the loan amount set by ourselves upon reviewing your affordability. You can also add a deposit to the loan amount if the car you want costs more than what we can lend to you.

Can a larger deposit improve my credit score?

Whilst a larger deposit will not improve your credit score the lender may view a larger deposit as demonstrating your commitment to the car loan agreement, plus you are making the value of the vehicle compared to the size of the loan ratio much smaller, which could have an impact on your risk assessment by the lender.

How can I improve my credit score?

There are a number of ways to repair your credit score and improve the chances of getting accepted for car finance.

We would suggest registering on the electoral roll. This shows that you’re settled in the area you live in.

Also, try to make sure you keep all outstanding payments up to date and on time. This will demonstrate your commitment to repaying debt.

Can you guarantee me a car loan?

Unfortunately, no, we cannot guarantee you will be approved for car finance with us. We need to carry out checks to ensure you can afford to repay the car loan and it is responsible to lend to you.

We would advise you to be careful when considering using a car finance company that promises guaranteed car finance to anyone in any circumstances. All lenders have approval criteria that have to be met before they can approve a customer for bad car finance.

Do I need a guarantor?

We do not offer car finance with a guarantor. This allows us to concentrate on helping those who have bad credit and may not be able to get a loan due to not having anyone to act as a guarantor.

We do offer joint car finance for those who may fall short of our lending criteria. Having a joint applicant on your application is different to having a guarantor, as you will both be equally liable for the full repayment of the loan.

Back to top