Can you get a car Loan with Bad Credit?

Many people are put off from applying simply because of their credit history or previous situations. Even if you've had CCJs, mortgage arrears, council tax arrears or if you're self-employed or have no credit history, there are companies that will give you finance.

Where to find them

If you do have bad credit then you may be a little shy about going into a high street dealership. Luckily there is an easy solution to this. There are a vast array of bad credit car loan specialist online. The companies online are just as good as the high street ones. You simply fill in a form and you will receive a fast call back by a trained specialist in car finance.

Whats should i tell the company?

You can tell them about your bad credit problems and they will help you work around them. Most people have poor credit history and it nothing to be ashamed or embarrassed about. These companies exist for people with poor credit. Always remember that.

Sources of Finance

If you are looking to purchase a brand new car but don't have the funds available then you may need to turn to finance.

Where should you turn to finance your new car?

Here are some finance options for you:

Dealership

Pros: Convenient, fast to settle, competitive which will more than likely get you a good deal
Cons: Not worth it if your planning on paying up the loan early

Bank

Pros: Not as good as dealership to be honest, but you can receive good rates from a bank and know what your getting without pressure of ad ons
Cons: Not a personal service unlike dealership

Home equity loan:

Pros: competitive rates if you have equity
Cons: Home equity loans are always risky as you are securing your car against your home

Family member or friend

Pros: Flexible
Cons: May harm your friendship or relationship, money can come between people

In Summary

If you have to seek finance then go for a dealership. Dealers are trained in car finance and will make sure you have a competitive rate.

Dealership recommendation click-car-credit.co.uk

Which Finance Company

When choosing a car Finance Company it is easy to find yourself blown over by the friendly sales Representative, but remember this is their job!

So apart from friendly customer service which the majority of car credit companies will provide what other factors should you consider before getting car finance?

• Can you afford the repayments?
• How long will the loan last?
• Is there an option to pay it up early?
• Check out reviews and find out what previous customers thought of the company that you are dealing with
• Whats is the after sales service like
• What it the turnaround time for completion
• Do they abide by the 'cooling off period'

Should i get Car Finance?

In an ideal world the answer would be No to Car Finance, in an ideal world the basic rule of loans is never to take out a loan out for something that depreciates in value which would include Car Credit. But....... we are living in a far from ideal world and at some point in our lives we will all need to turn to credit.
The most important thing thing to consider when taking out Car Credit is can you afford the repayments?

It is very important that you calculate your finances carefully. Only take out Car Finance if you can afford the repayments.