Can I Apply for Car Finance with Low Income?

Tim Carpenter
Written by Tim Carpenter

As your income is going to be used to repay any car finance you are approved for, the lender will always want to know what kind and amount of income you will be relying on to do just that.

There is no absolute minimum amount of income making you eligible for car finance, since different lenders take into account a whole range of factors when deciding whether or not to advance you a loan. Some of our lenders will need to see bank statements or payslips, while others will not.

A declaration of income, supported by documentary evidence of its regularity and amount, is typically required by any lender advancing the finance for you to buy a car – or van or motorcycle for that matter.

That income does not have to come from full-time employment alone, and could be from your own business if you are self-employed, from your pension if you are retired or even from your benefits.

With a large panel of lenders on board, we can even consider car finance applications if you are in receipt of benefits such as tax credits, child benefits, jobseekers allowance, disability living allowance (DLA) etc, if you do not have a bank account or if you have a student overdraft.

Regardless of whether your income is high or low, we have finance options available to suit all financial and credit circumstances – and, in most cases, we don’t require a deposit.

If you have good credit, you may be eligible for some of our lowest rates. We have great finance options for those with less than perfect credit histories too, including for those with CCJs, defaults or ex-bankrupts.

At CarFinance 247, you can choose a vehicle from any reputable dealership in the UK. This doesn’t have to be a car either, as we can offer finance deals on vans, motorbikes, motorhomes and taxis too!

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No impact on your credit score
Rates from 7.9% APR. Representative APR 21.9%

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Tim Carpenter
Tim Carpenter Car Finance Expert
5 years
Total cost of credit £ 2000
Total repayment £ 2000
48 monthly
payments of
£ 245 98

Rates from 7.9%: the exact rate you will be offered will be based on your circumstances, subject to status.

Representative example: borrowing £6,500 over 5 years with a representative APR of 21.9%, an annual interest rate of 21.9% (Fixed) and a deposit of £0.00, the amount payable would be £172.09 per month, with a total cost of credit of £3,825.54 and a total amount payable of £10,325.54.

We look to find the best rate from our panel of lenders and will offer you the best deal that you’re eligible for. We don’t charge a fee for our service, but we do earn a commission. This does not influence the interest rate you’re offered in any way.

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* The UK's number one online car finance broker by unique users to the website. Based on Hitwise data – 1,746,657 to CarFinance 247 vs. 666,020 for nearest competitor. January to December 2019.

96% of our customers recommend us: † Based on feedback left on independent review site Reviewcentre. May 2019.

CarFinance 247 is a trading name of CarFinance 247 Limited. Registered office: Universal Square, Devonshire Street North, Manchester, M12 6JH. Registered in England. (Registration Number 06035525).

CarFinance 247 is authorised and regulated by the Financial Conduct Authority for insurance distribution and credit broking (Firm Reference Number: 653019). CarFinance 247 is registered with the ICO (Registration Number Z1897658).

Finance is subject to status and is only available to UK residents aged 18 and over. Written quotations are available on request.

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