Being young driver isn’t great, not only do you have to spend a fortune on your car insurance. (The average car insurance quote for a 18 year old man is £900 per year!) but getting a loan to buy your first car can also be very difficult.
What are your finance options?
The main problem for new drivers is that you generally wont have much of a credit history as you’ve probably not taken out any loans or credit cards until this point. This means that lenders and banks have little credit information to go off when deciding if you are a “safe bet” when it comes to lending you money to buy a car.
Loans – No credit history Vs bad credit history
Lucky for you banks and lenders do treat you differently to those who have bad credit. While as a new driver and have little credit history you are still a higher risk you wont have to pay the same level of interest as someone who needs a car loan with a bad credit history. Lenders generally give you the benefit of the doubt and as new customers they also want you business in the hope you will get a car loan from them in the future!
Get a guarantor
One of the best options for you is to ask your mum, dad or friend to become a guarantor for your new car loan. This means they will be partly responsible for the loan if you were to default in the future. However, once you have demonstrated you can repay your loan within the terms and conditions, next time you would have build up a “credit history” and shoudn’t have any problems getting a car loan in the future on your own without the need for a guarantor. Not only that but you’ll find the rates of interest payable will be lower as you are less of a risk to the bank or lender.
What to do next?
If you are a young driver a new a car loan please speak with us as we have a huge network of lenders that are willing to lend to those with little credit history, either on a guarantored basis or not. Give us a call, what have you got to lose?
I think it is fair to assume that vans are used for work and business use by tradesmen only. Therefore if you have found it difficult to get a van loan with a mainstream lender, bank or building society then this can be very disappointing when your business and employment relies on it.
Therefore getting a van loan quickly and without having to pay over the odds in high rates of interest is essential to the success of your business.
What are the options?
There are many lenders who lend against vans and all types of commercial vans and vechiles. Like bad credit car loans, the same lenders offer van loans for bad credit also. The process and loan application criteria is very much the same for both. There is also the option to have a guarantor for your loan, this is popular with adverse credit applicants and young borrowers who have no or very little credit history to back them up, or for which a lender to base a decision upon.
What are the next steps?
Whatever you credit type or employment we can help find you a van loan. We deal with a range of different lenders who provide solutions for all applicants. Please give us a call to learn more or get a no obligation loan quote.
Bike loans have become more and more popular recently with many young riders coming to us who have been turned away by their bank or building society for the loan they need. Often we speak with riders who are young and have little or no credit history.
We work alongslide a number of leading lenders who offer loans for buying a new or used motorbike. As summer approaches the idea of owning a bike becomes more popular and we see the interest in bike loans start to increase around spring time going all the way through to around August.
Bike loans with a guarantor
We have a section of 2-3 motocycle lenders who will offer loans for buying a bike or motorcyle with a guarantor in place. This means if you are a young rider with little or no credit history, or a rider with a bad credit history you can still get a reasonably priced loan with the help of a guarantor.
These types of “guarantor” loans are more expensive, however do provide an option if you wish to borrow between £500 and £5000 over 12 – 42 months.
I need a bike loan what can I do?
We deal directly with the most popular bike loan lenders, and those who offer loans to adverse application also. If you are looking to buy a bike and need a loan then please give the office a call and we can provide you with a quote and loan offer within 2-3 hours during office times.
Most people nowadays require a car or some type of vechicle to get about and drive to work. Therefore not being able to get a loan to buy a car due to past financial problems can be a real worry to many people. Getting the right car loan quickly when you need it most is what counts.
Car Loan – Dont have a perfect credit history?
If you are one of the tens of thousands of people who need a car loan and who dont have a perfect credit history then there is hope. There are now more about more car finance lenders coming on the market who offer car loans to people with bad credit, or no credit at all. This includes people who have previously missed loan payment, who may have past CCJ’s or may be a discharged bankrupt. Most lenders now understand that there are many people with these types of credit files, but for whom have now soted out their finances and are back on track.
Our car loans partner: David Allan at Lending Expert say’s “We have almost 10 main stream lenders who are willing to borrow on an adverse credit basis. While these “bad credit loans” are more expensive and come with higher rates of interest, they do offer a lifeline to those who need a loan badly in order to get a car, and to get themselves back on track”. Lendingexpert.co.uk offer a huge loans and finance comparison service and we work with them to place some of our loan and finance customers who are out of our reach. You can visit their homepage here to search loans and find suitable car lenders.
Each car and vechicle lender is different
Each loan provider and lender has their own rules and retrictions, however if you find you have some CCJ’s or defaults on your credit file then you will find that there are many lenders who are willing to offer loans with this kind of credit history. Often young drivers who need a car loan can get one with the help of a guarantor. Guarantor loans have become very popular lately for low credit score applicants as it has made it easier for them to get a loan they would have otherwise have been refused for in the past.
Car loans are important – transport is essential!
Car loans are often treated differently than other personal loans. Lenders understand that often the borrower will need a car to get them to work and loans to buy a car are often less of a risk and repayments are made and defaults of these types of loans are less when compared with other generic loans that are used for other purposes.
How can I find out of I can get a car loan?
If you have bad credit on your file and now wish to buy a new car then please give the office a call. We’ll do a soft credit search and compare the lenders who can offer you a loan. This should take no longer than 1 hour and we’ll then be able to discuss what options are available to you. Even if you require a bike loan, or van loan we can help and it will be the same team who deals with your application.