Can you lease a car with bad credit?

Yes, you may be able to lease a car with bad credit. Specialist lenders often consider applicants with poor credit histories, though you may face higher upfront payments, stricter terms, or limited vehicle options.

How can I improve my chances of leasing a car with bad credit?

To try and boost your chances of approval, you may want to consider saving for a larger deposit, choosing a lower-cost vehicle, applying through a specialist bad credit car leasing lender, being upfront about your financial situation, and adding a guarantor to your application.

Does leasing a car affect your credit score?

Yes, leasing a car could impact your credit score. Making payments on time could improve your score, while missed or late payments could harm it.

What are the alternatives to car leasing with bad credit?

Alternatives include Hire Purchase (HP) and Personal Contract Purchase (PCP) car finance agreements. These options may be available through specialist lenders who work with people who have bad credit histories.

Can I lease a car with very bad credit?

It may still be possible to lease a car with very bad credit, but your options will likely be limited. You might need a specialist lender, a larger initial payment, or a guarantor to increase your chances of approval.

What is the lowest credit score needed to lease a car?

There isn't a universal minimum credit score, as each leasing provider sets their own criteria. However, most standard lenders prefer good or excellent credit scores, while specialist lenders may consider lower scores.

Can you lease a car with a bad credit history?

Q: Do you need good credit to lease a car?

Many leasing companies prefer applicants with good credit scores because leasing is a form of credit. However, some specialist lenders offer bad credit car leasing options, though terms may differ.

Q: Do car leasing companies do credit checks?

Yes, most car leasing companies carry out credit checks. A soft search may be done initially to provide a quote, while a hard credit check is usually required before final approval and may affect your score.

Written by Joe Achillies Updated 22 Oct 2025

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Leasing a car is a popular alternative to car finance. But, if you’ve had financial difficulties, can you lease a car with a bad credit history? The good news is yes – it is a possibility.

Even with past financial issues, leasing cars with bad credit history could still be an option, subject to status. While it may be more challenging, there are lenders that specialise in bad credit vehicle leasing and might be able to help. Here are some tips on how you could boost your chances of approval.

Do you need good credit to lease a car?

In many cases, you do need good credit to lease a car. That’s because leasing is a form of credit, and companies want to be confident that you’ll make payments on time. A higher credit score might help you get better lease deals.

However, having a poor score doesn’t necessarily mean you’re out of options. Some specialist lenders may consider applications from people with limited credit history or missed payments and might offer bad credit score car lease options with different terms. Acceptance is not guaranteed, and credit is subject to status.

Leasing a car with poor credit

Leasing a car with poor credit could be possible, but it often comes with stricter requirements. You might be asked for a larger initial payment or higher monthly fees to off-set the risk you pose. You might also be offered less favourable terms, like being limited to certain vehicle types or mileages. Credit is subject to status and eligibility criteria.

Leasing a car with no credit

While bad credit can get in the way of leasing a car, no credit score at all can also make things tricky.

If you’ve never taken out credit before, you may not have a chance to build up any credit score. And because lenders don’t have a payment history to assess, they can’t easily judge how risky you are to lend to. But that doesn’t always mean you won’t be approved. Using a guarantor who could pay your loan if you can’t may give lenders peace of mind and even help boost your chances of approval. Credit is subject to status.

How to lease a car with bad credit

While it’s not guaranteed you’ll be approved for a car lease with bad credit, there are some things you can do to try and boost your chances of approval:

Tips for improving your chances of approval

Save for a larger deposit to reduce the amount you borrow
Choose a lower-cost vehicle with cheaper monthly payments
Explore lenders who specialises in bad credit car leasing
Be honest and upfront about your financial situation
Consider adding a guarantor to support your application

All of these steps may make you seem more favourable to a lender as you’ll pose less of a risk to lend to.

How to improve your credit score

Before applying, it’s important to get your credit score in the best position possible, as this could help increase your chances of approval and get you more favourable terms.

A better score won’t guarantee approval, but it could help. There are a few things you can do to try and boost your credit score, including:

Make sure you’re on the electoral roll
Check your credit file for errors and correct them
Pay off any outstanding debts where possible
Set up direct debits to ensure bills are paid on time

Even small changes could make a difference when applying for a bad credit score car lease. Credit is subject to status.

Does car leasing affect credit score?

Yes, it could. If you lease a car and keep up with the repayments, it may help improve your credit score over time. On the other hand, missed or late payments could harm your score.

That’s why it’s important to make sure the lease fits your budget before signing an agreement, especially if you’re looking at bad credit vehicle leasing options with higher interest rates.

Do car leasing companies do credit checks?

Yes, many car leasing companies carry out credit checks as part of their application process. This helps them assess whether you’re likely to keep up with the monthly payments. A soft search may be done initially to give you a quote, which doesn’t impact your credit score or stay on your file. But, a hard credit check is then usually required before the agreement is finalised, and this could impact your credit score and is visible to other lenders. This process may vary however, so it is important to check with your broker or lender who will be able to explain what types of credit searches will be conducted.

Alternatives to car leasing

There could be other ways to get on the road, if you decide car leasing with bad credit isn’t the right option for you.

At Car Finance 247, we don’t offer leasing options, but we could help you explore different types of car finance instead. If you’re struggling with poor or limited credit history, we work with a trusted panel of lenders that specialise in bad credit car finance and may be able to offer finance options tailored to you, subject to status.

Our car finance options are:

Hire Purchase (HP) – With HP, you might pay a deposit upfront, then spread the cost of the car across fixed monthly payments, plus interest. Once the final payment is made, the car is yours. It can be a more straightforward option if you want to own the car at the end.

Personal Contract Purchase (PCP) – PCP may also involve a deposit and monthly payments plus interest. But, at the end of the term, you can either return the car, pay the “balloon payment” to buy it, or trade it in for a new deal. It can be a more flexible option if you’re not sure you want to own the car.

Ready to see your options? Get a free, no-obligation quote today. It only takes a few minutes.

Disclaimer: Car Finance 247 Limited is a credit broker, not a lender. Finance is subject to status and affordability. We work with a panel of lenders and may receive a commission for introducing you to them. We do not provide financial advice. Terms and conditions apply. There is no guarantee of approval.