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I have poor credit and a default but i need a new car for business

Hi Edwin, I have been offered a new job with a car allowance so need to borrow around £6,000 for a new diesel car for work. However, I have a poor credit score and a default on a credit card so am finding finance difficult. I have a car allowance of £300 per month so can afford a loan but am finding it impossible. I am concerned I will have to give up the chance of my dream job unless I cam secure finance. I have no deposit and no car to trade in as I currently have a company car. Please help!! Regards, Steve

Posted by Stephen Alcock on 06/09/2011 @ 19:49

Hi Stephen, we are experts in securing car finance for customers who have had a few issues in the past. We have many lenders who provide bad credit car loans and i'm positive we can help. Don't worry about having no deposit or part ex as we have a lender who will let you finance the whole amount for the car but we obviously need to try and get you approved first. The budget that you have seems to stack up fine and getting a Ford Focus for around £6000 won't be a problem. Where have you applied for car finance already and what has been the outcome. Are you also aware that we provide the car and finance as a package and we have access to hundreds of quality vehicles? Just one last question, how much was the default for on your credit card? If it's over £5k there might be a problem but if not we should be able to help. Kind Regards, Edwin

Posted by Edwin Miles on 07/09/2011 @ 09:09

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I too have a balloon payment of £5,300 in March for my Golf. I've always paid the payments on my car and a few other debts, but most of my debt is in a DMP which I set up a year ago and have been paying into successfully. The DMP company have even said they would write me a reference. Will I be able to part ex my car next March. I'm really worrying about finance, as I'm not sure how asset finance is stacked up for people in a DMP. I need to have a car for work as it's a 50 mile round journey.

Posted by Karen P on 07/09/2011 @ 13:42

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Hi Karen, Thanks for your further comments. I understand your position and we can help. i need to know whether it's a lease deal you have or not. If it's a lease deal you'd have to wait to hand the car back in March to the leasing company. If it's not a lease then we can take the part exchange of you, settle the finance and get you into a new car and a new finance agreement. Are you looking to get a new car loan asap and if so how much are you looking at borrowing and over how long? It's great that you've kept the payments up to date on your car as this will look good on your credit profile. Regarding your other credit history don't worry as we have many lenders who help people that need bad credit car finance. Kind Regards, Edwin

Posted by Edwin Miles on 07/09/2011 @ 14:18

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Thanks for your response Edwin, it doesn't really say on my agreement, just that on the 48th month a final payment of £5,350 is due. I'm assuming, I can part ex it, it doesn't say anything about having to give the car back. Its a pretty rubbish agreement to be honest through Fortis Lease. I'm trying to pay off as much as possible, as I have the Golf will be worth more than £5.3k next March, possibly £7k. I might get my credit report and take a look at it. Is it worth asking Fortis Lease whether they would lend against another car, do you have any dealings with them? Do you have an email address I can contact you direct on? Thanks.

Posted by Karen P on 07/09/2011 @ 17:39

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Hi Karen, i know of Fortis Lease but we don't deal directly with them to be honest. From what you've said we would be able to take the car in part exchange and settle the existing finance with Fortis no problem. Yes it would be worth asking Fortis lease to see whether they would consider financing you again and see what they say. They may be able to get you a good rate but you won't know until you apply with us or ask Fortis the question. Hope that helps. Kind Regards, Edwin

Posted by Edwin Miles on 07/09/2011 @ 18:32

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Hi Edwin, since my last post, I've called Fortis Lease and they cannot re-finance as they are closing that side of the business. Thinking about it, I'd like to finance the balloon payment only which is £5,300. In the economic climate, I think I'd have more chance doing that, than going for a new car with part ex etc. Do you think I would be successful at financing the £5k. Would be able to afford £300 to £350 a month.

Posted by Karen P on 13/10/2011 @ 14:26

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Hi Karen, thanks for coming back to me. It's a shame Fortis can't re-finance the baloon but i suppose you'll have to look elsewhere as we couln't offer the £5k finance as you already own the car and we don't do personal loans. Have you tried your bank or local high street lender? If your credit history is ok you should be able to get approved at a half decent rate. Kind Regards, Edwin

Posted by Edwin Miles on 13/10/2011 @ 14:50

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Hmm I can't see me getting a personal loan, as that's more risk for the lender, as opposed to asset finance. I may have to trade in the car then. It'll definitely be worth more than £5,300, at least £7k I reckon. So if the figures are right. I'd like to spend £250 a month if poss, I could be in a position to have another car. We'll look into more nearer the time. Thanks anyway.

Posted by Karen P on 14/10/2011 @ 14:05

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Hi, 2 years ago I was self employed and I got into a little financial difficulty. I have 2 defaults (one is settled and paid) the other I am paying per month fine. I have an arrangement to pay loan that will be settled in 6 months (£80 a month). And then 2 credit cards (Barclaycard) in arrangement to pay (both being paid off per month at £45 a month.) Other than that I have 2 overdrafts that are cleared every month (250 each on a joint and sole account with Santander.)And a LLoyds credit card in normal measures paid per month at £50.Can I still get car finance with you guys? Daniel

Posted by Daniel on 24/10/2011 @ 18:20

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Hi Daniel, it's a tricky one to answer without looking at your credit profile. We do specialise in helping people with an impaired credit history and i'd love to help. But we need you to apply so that we can see your credit profile and assess whether any of our lenders would take a chance with you. Hopefully they will as we do have strong relationships with them. Edwin

Posted by Edwin Miles on 24/10/2011 @ 18:23

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Hi, i have two defaults on my credit score, one for £81 and one for £400. both are now satisified but i know this stays on your account for 6 years? how badly will this affect my chances?

Posted by Louise Henry on 10/01/2012 @ 16:20

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Hi Louise - as your defaults are only for small amounts the chances of getting you approved for finance are quite high. Do you have a full uk licence and are you employed? If so, your chances are even greater. How much money are you looking at borrowing and over how long? Do you need the car for work or for social purposes only? Thanks, Edwin

Posted by Edwin Miles on 10/01/2012 @ 19:31

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Yes i work full time, and have a full license. I'm not sure on the amount, not expensive its just my current car is on it's last legs. i use my car for everything i work somewhere where there is not a very good bus route so without a car it would be hard for me to get there. Thanks

Posted by Louise on 11/01/2012 @ 08:08

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Thanks for the response Louise. Please make an application and we'll try our best to get you approved.

Posted by Edwin Miles on 11/01/2012 @ 08:15

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Hi I was accepted by another car finance company a few months back but lost their details! Anyhow I had 6 defaults totalling £32k following redundancy a few years back but thet were all settled 10 months ago. Since then I've had 2 cash builder credit cards which I use and pay regularly although I went over the limit by a few pound twice. I am a home owner (mortgaged) work full time with an annual income of approx £30k and have a part ex passat tdi s reg worth about £1k do you think you could help pls and what would the interest likely be? Also what amount do you think I would be allowed to lend please? I would like a 2006 Audi Quattro diesel convertible - dream car! Thank you!!

Posted by Anna on 18/01/2012 @ 23:04

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Hi Anna, it'll be difficult to tell you how much we can lend you until we've seen your credit report and got you approved with on eof our lenders. We can't guarantee an acceptance but we'll certainly try and get you approved. How much are you looking to finance? If you have a poor credit history and want to finance a significant then it always helps to have a 15% deposit. Is this the case? Are you on the electoral roll and can you provide proof of income and a proof of address? Kind Regards, Edwin

Posted by Edwin Miles on 20/01/2012 @ 10:33

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Thank you for being honest. My credit score is 592 I am on the electoral role have 6 months pay slips and can provide bank statements etc my car is worth around £1k which I could sell and add some to but on basis of a £6k car yes just about lol! I can also provide proof of address (which I rent) but I also co-own a mortgaged property if that helps? Thanks again!

Posted by Anna on 20/01/2012 @ 23:19

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Hi Anna, your credit score isn't the lowest we've seen by a long way. I'm confident that we may be able to get you approved and it's great that you can get all the relevant documents. £6000 wouldn't be an issue and a £1000 part ex can be taken as full deposit. Please make an application and we'll see what we can do. Good luck ;-). Edwin

Posted by Edwin Miles on 22/01/2012 @ 14:01

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Hi there, i applied online to see my credit profile and there were 2 defaults on there. One for a mobile bill back in 2007 for £300 and a catologue bill for £1,143. I have a credit card which i pay every month so what are my chances of getting a loan?

Posted by Tayyibah on 06/04/2012 @ 07:49

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Hi Tayyibah, as your defaults are under £5000 and one was way back in 2007 i think there's a good chance that we can help. Have you paid back your catalogue debt or not? If so, that's good news. Do you work and if so can you prove your income with payslips, are you on the electoral roll and do you have a full UK driving licence in your current address? Lastly, do you have a deposit or part ex and how much are you looking to finance? Regards, Edwin

Posted by Edwin Miles on 06/04/2012 @ 12:59

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I need to get a new car for a new job I am starting as don't like the company cars on offer. I will be putting down deposit of around £5400 and my work supply me with £550 per month to put towards a car. I had bad credit in the past but I have repaid everything and have got myself a mobile phone and credit card to build up my credit score. However, i still can't get a prime lender loan. Can you help?

Posted by Bill Clint on 19/05/2012 @ 12:20

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Hello, i'm looking to purchase a car for work but I have a poor credit rating (713). I am too scared to apply for finance incase I get rejected. I am looking to buy a car for about £10,000 (with £3,000 deposit). I need this car for work so it has to be relaible. What are my chances?

Posted by Tolu Williams on 19/05/2012 @ 12:27

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Hi Bill, as you've had bad credit in the past we wouldn't be able to get you accepted with a prime lender. However, we do have lenders on our panel that may be able to help get you into a new car. The fact that you have a large deposit is obviously good news too. The rates you'll pay are between 12 and 15% approx. What cars are you interested in? Edwin

Posted by Edwin Miles on 19/05/2012 @ 12:45

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Hi Tolu, with a credit score of 713 and a £3000 deposit i'm more than confident that we'll be able to get you approved for car finance. Do you have a UK driving licence and UK passport? Regards, Edwin

Posted by Edwin Miles on 19/05/2012 @ 12:47

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I am looking for an Audi A4 or A5. I can also stretch my deposit to £6000.

Posted by Bill Clint on 19/05/2012 @ 15:08

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Thanks Bill, please apply and we'll see which one of our lenders we can get you approved with to obtain the best rates to meet your circumstances. Regards, Edwin

Posted by Edwin Miles on 21/05/2012 @ 08:27

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