Assuming your credit profile is
|Car finance rate||XX% APR|
|Cost of credit||£ XXX|
|Total repayment||£ XX,XX.XX|
|48 monthly payments of||
£ 245 /mo
Representative example - Borrowing £5,500 over 4 years with a representative APR of 19.8%, and a deposit of £0, the amount payable would be £162 per month, with a total cost of credit of £2,282 and a total amount payable of £7,782.
There are a number of reasons as to why you may have been refused car finance in the past. Each lender uses a different eligibility-checking system, so the specific reasons will vary. However, here are the most common:
Each finance company has their own vehicle credit lending criteria, it could have been anything from your credit score being too low, to not being able to prove your monthly income.
Perhaps your address history couldn't be verified or it could simply be that the amount you're trying to borrow was considered too high compared to your income. In this case, it’s a good idea to check your credit file. You may even spot a few mistakes you can correct. Being declined by one lender doesn’t necessarily mean that you will be declined everywhere and it only takes a few minutes to find out whether you could be approved with Carplus. Make a refused bad credit car finance application today to get an instant decision.
We specialise in helping with car finance for people who have been refused previously, and we can offer you a range of car loan options.
Once you’ve filled in our online application form, we’ll perform a soft credit check. This allows us to assess your likelihood of being accepted before you are passed onto our panel of lenders. If it’s unlikely that you’ll be accepted, we won’t pass you on to receive a formal credit check. Failing a formal credit check will further hinder your credit score, as such we are careful only to pass on applications that we are confident will be approved.
While we pride ourselves on being able to help people who have been refused car finance in the past, we cannot guarantee that your application will be successful. As such, we recommend that you do the following in order to help your application.
Absolutely not. We perform soft searches rather than hard searches initially, which don’t affect your credit score in any way. Not all companies do soft searches initially, opting to perform hard searches instead, but we know that these searches can have an impact that can be avoided. Too many hard searches can reduce your ability to borrow credit in the future. Applying for a car loan online on Carplus won’t affect your credit rating unless we do a full credit search on your car finance application. We aim to provide a second chance for our customers, which allows them to build their credit score through monthly repayments. Apply today for a same day decision vehicle credit.
Get in touch with us today at 0333 050 8103 to find out how we can help you.