Is my Credit Score Good for Car Finance?

mr.mat21

Hi,

I'm new here so first of all -: Hello to everyone!

I am 21, have 2 credit cards nothing owing on them, one was 0% balance transfers for 14 months paid it off etc 5 months before it was due to finish, not missed any payments. Always paid full amount on time etc.

I did have one before when i had an offer for buy now pay later for 9 months 0% interest.

I just moved home so not on electoral at my new address but was on previous address and my local authority said as elections/voting is now finished i cannot register or go in and register and have to wait until September when i will be sent a form to go on the electoral register.

I used creditexpert.co.uk part of exprian and all payments show green etc like they should do etc.

My score was Fair category -: 828 points.

Do you think this is enough to get finance for a car? i am considering Hyundai. Total amount to be finance will be between £6000 - £7700.

It says my only let down is i am not on electoral at new address althou i was told this should be fine as the system will detect i was on it at previous address and only just moved and the other thing is to many searches on my file.

apart from 3 the rest are just insurance quotes and on creditexpert.co.uk it says unrecorded enquires, insuranc quotes etc won't show to a lender as they are just checks.

So just wanted to know do you think i will be accepted for car finance?

If i do i am concerned i may get hight interest rate which will make monthly payments to high for me to afford.

Thank you,
Mat

CLAPTON

better to buy a much cheaper car.

mr.mat21

Hi,

I understand what your saying but i want a new car. Hence why i asked what people thought of my score and what apr i probably be offered approximately.

Thankys,
Mat

lucky_me_2

Hi Mat,

The only thing you can do is try..but do remember that credit is not as easilly available as it was say two years ago and these companies will be very wary of who they lend their money to. Sometimes they prefer to lend to people with more credit...

I have finance on my car now which i got 2 years ago and I needed payment protection + a guarantor (parent) before the company would consider me, I also pay quite hight interest and the fact that I have to keep the car until the finance is up is a bit of a put off - especially when the car will not be worth half of what I paid for it!

I think that you really should consider all of the options before choosing finance, maybe save some before - even if you saved for 6 months you may find that the credit companies are offering lower rates and are prepared to lend to more people in 6 months time plus you will not have as much money to pay out on the car - you will still need to put a deposit down for the car..

My advice really would be to wait a while if you can or even to save to put a couple of thousand down so you do not need to borrow as much

P.S when I got my car on finance we had just moved and this did not affect the finance - although as I said before I think that possibly for your age you may need a gaurantor

I hope that this has helped

vicshippers

No-one can tell you whether you're going to pass the credit check or not - the lender will have specific criteria that you need to meet. If their criteria decides that credit score isn't as important as say length of employment - then you could be refused while someone with a worse credit score but 50 years in the same job passes.

Try and see what happens...if you fail, then you have to save (which people would generally recommend anyway) so all is not lost!

Grovester_2

what do hyundai say?

mr.mat21

Grovester wrote: »

what do hyundai say?

Thanks for the replies.

Hyundai said it is all down to there system when it does the check and therefore cannot say whether i would pass or not althou he said it probably be fine.

Thank you,
Mat

robin_banks

A car is singularly the worst buy you can ever make on credit. If you need to borrow £7,000 ish chances are you cannot afford it.

Why do you feel the need to have a new car?.

mr.mat21

With my quote i got i would be happy with the finance if my car applied under scrappage scheme. Also £7000 is hardly breaking the bank considering people are riddeled in debt.

Thanks,
Mat

robin_banks

7,000 is a lot of money to be in debt at 21 esp as you're in debt having purchased a depreciating item that will of course need ongoing expenses such as insurance, road tax etc.

mr.mat21

I pay my insurance full each year not monthly, tax only £35 per year quite healthy with is nice to say as sadly allot of people are struggling.