Help & Advice

Get a Car Loan While In Bankruptcy

Hi Rachel, i'm currently into my 5th month of my bankruptcy.

I have just ordered a cashplus prepaid MasterCard mainly for the credit builder facility. Should i activate the credit builder option now while bankrupt or wait until i'm discharged in 7 months?

I know it's a little early but i will be looking for car finance in about a year if possible, so trying to prove myself to potential lenders as early as possible.

Mark


Answer

Hi Mark, thank you for your question.

Unfortunately you can't apply for any credit until you have been discharged from your bankruptcy. However, when this day comes activate the credit card and its builder facility as soon as you possible can.

After you have been discharged from bankruptcy the more credit you can re-build before you apply for car finance the better. Please try and keep ALL payments up to date and setting direct debits up for all your outgoings is a good habit to get into so that you never forget to make payments.

As long as you have a UK licence and are employed we have a chance of getting you accepted. Please apply when you are ready to do so and once approved we provide a no obligation quote and you can choose a car from any dealer nationwide. Kind Regards, Rachel

Answer correct as of September 2016

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Best available rate
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Total cost of credit

Best available rate

Total repayment

Total cost of credit

We compare products from 18 of the UK's top lenders to get you the best deal.

Representative example. Excellent Credit

Borrowing £7,500 over 48 months with a representative APR of 16.8%, an annual interest rate of 16.8% and a deposit of £0.00, the amount payable would be: £211.25 a month, with a total cost of credit of £2,640 and a total amount payable of £10,140.

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More related questions

Hi, I was bankrupt over 6 years ago and subsequently discharged after a year - but yet even now nobody will give me a loan. I've been accepted for an Aqua credit card with no problems, but otherwise nobody will touch me, despite being a 'good boy' 5 years after discharge. Please Help!

Answer

Hi Duncan, Thank you for your question!

Good news, we do have lenders that help people that have previously experienced bankruptcy - provided that it has now been discharged. Are you paying your current bills on time? If so then great! We can certainly try our best to help.

Please make an application when you're ready and if approved you can choose a car from any reputable dealer and we also provide a no obligation quote. Kind Regards, Rachel

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Rachel Wilson, Underwriting manager

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Rachel Wilson, Underwriting Manager

Best available rate
Total repayment
Total cost of credit

Best available rate

Total repayment

Total cost of credit

We compare products from 18 of the UK's top lenders to get you the best deal.

Representative example. Excellent Credit

Borrowing £7,500 over 48 months with a representative APR of 16.8%, an annual interest rate of 16.8% and a deposit of £0.00, the amount payable would be: £211.25 a month, with a total cost of credit of £2,640 and a total amount payable of £10,140.

CarFinance 247 is a broker and not a lender