Car Finance on Benefits
Can I get car finance if I’m on benefits?
At Car Finance 247, we believe that being on benefits shouldn’t prevent you from finding and financing a car. We know how vital it is to have access to your own transport, whether it’s for attending medical appointments, running errands, or maintaining your independence.
That’s why our panel of trusted lenders includes specialists in car finance for people on benefits, regardless of your circumstances. Whether you’re temporarily unemployed, managing a disability, or taking on caregiving responsibilities, we’ll do our best to help you get behind the wheel.
We accept the following benefits as sources of income when you apply for car finance:
Universal Credit
Housing benefits
Disability allowance (DLA)
Personal Independent Payment (PIP)
Carers allowance
Ready to find out more? Get a quote today or give us a call.
I’m on benefits and have bad credit. Can you help?
Yes, we can! We know that having a bad credit score can make finding finance more challenging, but we’re here to help. Your current financial circumstances or past credit issues don’t define your ability to secure finance now.
We work with a panel of lenders who offer bad credit car finance even if you’re on benefits, meaning we can help people in a variety of situations. So, even if your credit history isn’t perfect, we’ll work hard to find a deal that suits you.
Can I get car finance on Universal Credit?
Yes, you can. If you’re receiving Universal Credit, you might think that securing car finance is out of reach, but that’s not the case. We work with lenders who consider a variety of income sources, including Universal Credit, when assessing applications.
Whether you’re using it to supplement your income during tough times or it's your main source of money, we'll help you navigate car finance on Universal Credit.
How to get Universal Credit car finance
Prove affordability: Lenders will want to see that you can comfortably manage your monthly repayments. This could include showing a stable income stream from Universal Credit and any extra earnings.
Consider a guarantor: A guarantor is someone with a good credit history who supports your loan. Having one can improve your chances of getting approved.
Explore your options: We’ll search our trusted panel of lenders to find car finance deals for people on Universal Credit, even if you have bad credit.
Do you offer car finance for unemployed people?
We understand that being unemployed can make it harder to secure car finance. But being out of work shouldn’t stop you from getting a vehicle, especially when you may need it for a job or interview.
We work with lenders who can offer car finance for unemployed people, provided you can show you can keep up with repayments. A good credit score or having a guarantor could improve your chances of approval, as it will show lenders you're less of a risk to lend to.
Your dedicated account manager will guide you through the process, talk to lenders, and help with paperwork to make securing finance as straightforward as possible.
Car Finance on disability benefits
If you live with a disability or care for a disabled person having access to a vehicle can be essential. That's why we work with lenders who can help people claiming DLA, carers allowance, and PIP find car finance.
Can I get car finance on disability benefits?
Yes, you can. Our lenders include specialists who finance cars for those on disability benefits, including DLA and PIP. They will check your overall financial situation, factoring in these benefits and any extra income, to determine if you can afford the repayments.
Different lenders have their own rules for looking at applications from people on benefits, and the amount of benefit income you get might change the terms of car finance deal you’re offered.
If you’re ready to explore your options, our team is here to guide you through the process and find a deal that works for you.
Can I get car finance on PIP?
Yes, if you’re receiving Personal Independence Payment (PIP), you may be eligible for car finance.
When applying for PIP car finance, lenders will consider your benefits as part of your overall income. This ensures they get a clear picture of your ability to meet monthly repayments.
If you have a limited or poor credit history, don’t worry – we have lenders who specialise in helping people in similar situations.
What can help my application for car finance on benefits?
Securing car finance while on benefits is possible, but taking a few proactive steps can improve your chances of approval.
Here’s what can help:
Provide proof of income: Make sure to have documents to verify your benefits or other income. This includes award letters for Universal Credit, PIP, or Disability Living Allowance. Providing this upfront shows lenders you have a steady and reliable income.
Check your credit report: Reviewing your credit report before applying can help you identify and address any inaccuracies or areas of concern. While bad credit doesn’t necessarily prevent you from getting finance, a stronger credit score can improve your options.
Consider a guarantor: If you’re struggling to meet loan requirements, using a guarantor can increase your chances of approval. A guarantor with a strong credit history acts as a backup, providing lenders with added confidence.
Opt for a realistic loan amount: Applying for a smaller loan or a more affordable car can make lenders more willing to approve your application, as the repayments will be easier to manage.
Work with specialist lenders: Specialist lenders like ours cater specifically to people on benefits and could help you find a great deal tailored to you.
Provide a deposit: If possible, offering a deposit can reduce the loan amount and show lenders you’re committed. A deposit can also make your application more attractive by lowering their perceived risk. Not an option? Don’t worry, we offer no deposit car finance options too.
Taking these steps can help show your ability to manage a car finance agreement and increase the likelihood of finding a deal that fits your needs.
Why choose us for car finance on benefits?
A helping hand At Car Finance 247, we’re dedicated to helping people improve their everyday lives. Whether you’re searching for bad credit car finance on benefits or simply need guidance through the process, we’re here to help.
Dedicated account manager Our expert team will assign you a dedicated account manager to support you every step of the way, ensuring a smooth and stress-free experience.
Finding you the best deal Whether you need a reliable car for the school run, a practical vehicle for errands, or something more suited to your needs, we’ll search our panel of lenders to find the best deal – even if you have a history of bad credit.