What loan amount can I borrow?

If you’re hoping to buy a car (or a motorbike, van, motorhome or more), one of your first questions is likely to be, how much can I borrow? 

The answer? Well, that depends. The amount you can borrow is influenced by a number of different things that lenders consider before approving your finance in principle.  

Here are three of the factors that can influence how much you can borrow:

1. Financial Considerations 

We work with a panel of lenders and they each take a number of different things into account when determining how much they’re happy to lend you. These include your credit score, your financial history (and how you’ve managed any existing credit), your income, and your deposit (if you have one.) 

Will my credit history affect how much I can borrow?  

The short answer is yes. However, thanks our wide panel of lenders, we can look to find finance for people with a variety of different circumstances. Whether you have good credit, bad credit, are self-employed, retired, or have been refused elsewhere – all circumstances are considered.  

If approved in principle, you can choose a vehicle from any reputable dealership.  

Why not use our car finance calculator now to get an idea of what your repayments could look like?

2. Budget Considerations 

While you might have your heart set on your dream car, it’s important to consider your budget and how much you can afford to spend.  

Firstly, think about your current monthly outgoings and whether adding a car payment might overstretch you. It’s easy to underestimate how much disposable income you need, especially if your circumstances have changed. Affordability – how much you can comfortably afford to spend – is something that almost all lenders take into account.  

You may need to provide bank statements or payslips to prove your income - your account manager will let you know.  

3. Knowing What You Want 

Our dream set of wheels might not be the best fit for our budget or our lifestyle. Rather than fixating on a certain make or model, knowing what you want from your car and what you can afford to spend can help you find the right vehicle and finance for you.  

And don’t just think about the purchase price. The costs of running a car can add up. Insurance, tax, servicing and fuel can vary a lot between different vehicles and should all be included in your monthly budget.

What's next? Get a car finance quote 

With all this in mind, the next step is our online car finance calculator. You can use this handy tool to get an estimate of your rates and repayments. Once you’ve found an amount you feel comfortable with, click get a quote to find out more.  

If you're approved in principle, your account manager will give you a call to talk through your options. No strings attached. They can answer any questions you have and grant you access to our car search - a treasure trove of over 100,000 used cars ready and waiting to find a home. Found a car somewhere else? We can still help - just let your account manager know. 

And remember, if you need any further help on how much you could borrow, we’re always here to help.