Loans for Benefits

Jamyywils

Hi, i am a single mum and am on benefits. I need a car as mine is always breaking. I want a newish car as they are less likely to break and it would save me money in the long run. I was just wondering if there was any company that would give me a loan. I don't have bad credit history either.

Vikipollard

I'd be surprised if any mainstream lender would be prepared to offer a loan as you have no means to repay it if you are unemployed.

Prepared to be proven wrong though!

Mara69

I echo the above advice. Sell the car you have, save money on tax, insurance, MOT and repair bills an save like crazy

*Sits back and waits for the OP to tell us that they cannot possibly live without a car as there is NO public transport available EVER*

marleyboy

Unscrupulous places like Moneytree would be happy to give you a loan, particularly with their interest rates for someone in your position. I would strongly advise reconsidering the idea of a loan, your not really in the position to be able to afford one.

DCFC79

Maybe invest in a bus pass is a solution.

27col

I do not think that state benefits are intended to enable recipients to run a car.

maginot

I wouldn't even try if I was you, as the firms that pretend to help will either charge a fee and never hear from them or they will be doorstep lenders who charge huge APRs and cause difficulty if you default.

Remember benefits aren't guaranteed long term income and could change depending on the government policies at the time.

If you have spare cash at the moment try putting some away every week, before you know it there will be a nice sum to pay for a second hand car (I doubt you would be able to buy a new one though)

DCFC79

Dont think we are against you OP, the advice is honest. Cant see a loan forthcoming when you dont have a job, maybe step up your search for a job and buy a second hand car.

jonesMUFCforever

Sorry OP there is no way in this world you will get a loan to buy a car (or anything else) whilst you are on benefits.

jonathon01

I used to work with Barclays and Santander motor loans and they were both completely happy to lend to someone whose sole source of income was benefits so long as your credit score is good, your income is greater than your outgoings and you have enough spare income to cover your repayments (they will also take into account other debts you have). They didn't even increase the rate if they accepted you.

jonesMUFCforever

jonathon01 wrote: »

I used to work with Barclays and Santander motor loans and they were both completely happy to lend to someone whose sole source of income was benefits so long as your credit score is good, your income is greater than your outgoings and you have enough spare income to cover your repayments (they will also take into account other debts you have). They didn't even increase the rate if they accepted you.

Would this be before the credit crunch by any way/