Getting another car on finance with Bad credit ?

Hi. I am new to this forum and this is my first post. I have an appointment with citizens advice about my debt management, but i feel i want to post this as i am getting anxiety due to how close it is to the end of my PCP contract with my car and would rather some advice ASAP rather then later.
So in a nutshell, i have had cars one on finance and my latest car on PCP with the same garage/ finance company. the past year and a half, my credit rating has plummeted due the the fact that i had to leave work due to having to take care of my dad, taking care of my ex partner, and due to personal health reasons. At first i struggled paying bills due to having hardly having any savings and no money coming through. this caused my credit rating to plummet.I cant afford the balloon payment at the end of this PCP.
Because having a car is my number one priority due to not only it being a massive help for my day to day as well as my own mental wellbeing of having the freedom to go where i need to go, i also need it to help take care of my dad, I.E, go to hospital appointments/ shopping/ pick up meds ect.

I asked the financed company i am currently with if they would refinance the car, but they said that is something they just do not offer. I am trying to think of other ways i can get/ keep a car. My next step is to ask either the dealership or the finance company if i would be able to get another car on PCP with my bad credit rating, or because i have been a loyal customer for so long, that it wont have that much impact with them personally, but i dont know who to ring first?
i guess i am asking this question as it is embarrassing that i dont know who to ring first. also, i wanted ask, because somebody said to me a long time ago.. that getting a car on PCP is one of the easiest forms of finance to get, as they will easily/ happily take the car from you if you don't meet payments therefore it being low risk for them anyway, and that it it is infact harder to get other finances like a pone contract then it is to get car PCP/Finance. Is this true? i am just worried and embarrassed to ask these questions to the car garage/ finance company and would rather go in with as much information as possible before i try and get a car with bad credit, IF that is even possible to.

This is longer then i expected it to be, thank you for your time and reading this. any help/info would be usefull.

Comments

  • MattMattMattUK
    MattMattMattUK Posts: 8,218
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    Hi. I am new to this forum and this is my first post. I have an appointment with citizens advice about my debt management, but i feel i want to post this as i am getting anxiety due to how close it is to the end of my PCP contract with my car and would rather some advice ASAP rather then later.
    So in a nutshell, i have had cars one on finance and my latest car on PCP with the same garage/ finance company. the past year and a half, my credit rating has plummeted due the the fact that i had to leave work due to having to take care of my dad, taking care of my ex partner, and due to personal health reasons. At first i struggled paying bills due to having hardly having any savings and no money coming through. this caused my credit rating to plummet.I cant afford the balloon payment at the end of this PCP.
    Because having a car is my number one priority due to not only it being a massive help for my day to day as well as my own mental wellbeing of having the freedom to go where i need to go, i also need it to help take care of my dad, I.E, go to hospital appointments/ shopping/ pick up meds ect.

    I asked the financed company i am currently with if they would refinance the car, but they said that is something they just do not offer. I am trying to think of other ways i can get/ keep a car. My next step is to ask either the dealership or the finance company if i would be able to get another car on PCP with my bad credit rating, or because i have been a loyal customer for so long, that it wont have that much impact with them personally, but i dont know who to ring first?
    i guess i am asking this question as it is embarrassing that i dont know who to ring first. also, i wanted ask, because somebody said to me a long time ago.. that getting a car on PCP is one of the easiest forms of finance to get, as they will easily/ happily take the car from you if you don't meet payments therefore it being low risk for them anyway, and that it it is infact harder to get other finances like a pone contract then it is to get car PCP/Finance. Is this true? i am just worried and embarrassed to ask these questions to the car garage/ finance company and would rather go in with as much information as possible before i try and get a car with bad credit, IF that is even possible to.

    This is longer then i expected it to be, thank you for your time and reading this. any help/info would be usefull.
    I suspect the poor credit will be less of an issue than affordability, from the sound of it you cannot afford another car on finance. You need to do a full budget and work out what you can potentially afford and then look at options, but getting a car on finance/lease is likely to be the most expensive option, you would be better off buying a small second hand car and running that. 

    It would be a good idea to complete an SOA and post it to the Debt Free Wanabee section of the forum. 
    https://www.lemonfool.co.uk/financecalculators/soa.php
  • swingaloo
    swingaloo Posts: 2,645
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    You say that having a car is a priority for your own mental wellbeing.  But if you cannot afford the payments then its going to be added stress for you. 

    Having a meeting arranged about your debt is the first step to sorting yourself out. Please dont take on more finance that you cant afford even if you find a way to get it offered to you. 
  • born_again
    born_again Posts: 13,599
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    My next step is to ask either the dealership or the finance company if i would be able to get another car on PCP with my bad credit rating, or because i have been a loyal customer for so long, that it wont have that much impact with them personally


    Do not do anything till you have spoken to CA. You could be making things lot worse. Being a long standing customer means nothing, where credit is concerned. If they lent to you & you could not afford it. They run the risk of fines from FCA for not following affordable lending policy....

    Given your situation, any credit will be at a higher interest rate. If they even offer any. 

     they will easily/ happily take the car from you if you don't meet payments therefore it being low risk for them anyway,

    It is a big risk. That car will not be worth what they expected, loss of interest. Cost of going to court to reclaim.



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