Chances?

James131994

Hi all,

We’re about to be submitting a mortgage application to extend our ownership of a shared ownership house. Everything seems good with the mortgage.

Based on the below, I’d like to know if it’s likely we’ll be approved for £10k car finance immediately once the mortgage has completed. I have told our lender about the car finance too which was fine.

Household NET income: £3,500
ALL expenses: £2,350 (literally everything we spend, and updated with the new mortgage figures)
Credit file has no issues or missed payments and rated excellent. Will just be the mortgage application on there that could cause an issue and what I’m worried about.

We could save for 9 months and buy the car which would work fine but I need a reliable car now as mine is completely knackered and I don’t want to buy one now and then another in a year or so, I’d rather just pay the finance off in a year with savings and pay the interest for a year.

Thanks all

Ben8282

It is impossible to answer this.
However, a new mortgage is usually regarded as a large new financial commitment and therefore having a new mortgage showing on your credit files will not normally be beneficial in the short term when it comes to obtaining new credit.

[Deleted User]

Hopefully your net income is a monthly figure? Affordability may be a little tight.

You'll probably struggle for a while, given the new mortgage, address, ER, but you can always try.

DCFC79

So do you have any savings ?


Not necessary to spend £10k, cars can be had for less, and cars that last for years.

James131994

We do have some savings for emergencies.

How long should I leave it after completing the mortgage before applying for car finance? I saw in another similar thread someone said the best chances of getting approved is by applying straight after it completes rather than waiting a month or so.

foxy-stoat

I would buy a reliable car for £3000 and save for another year and get the one you want then.

No way of knowing if you will get accepted for £10,000 of car finance, you may find that you only get offered high rates of interest.