Help Needed Please - Lived Abroad, No Credit History

Wileecoyote11

Hi Everyone, 

I have just returned after living in Australia from 2009-24. I've got a job with car allowance, property in Aus still and no bad credit history in either country.
I have approx £2-3k in cash and am currently unable to access assets. I've tried getting car loans for around 15k but no-one will touch me unless I've got 3 years credit history (1 was 12 months).

My Mam and Dad have offered their house as security, but apparently to do that it needs a mortgage in order to get a second mortgage, which it hasn't.
My bank who I've been with since around 14 can't offer me loans yet.

I'm stumped as to what else to do, apart from get a car for £3k which isn't ideal for my job.

As I said, I am unable to access any of my current assets, any suggestions please?

marcia_

 How about leasing instead until you can get finance. 

Wileecoyote11

marcia_ said:

 How about leasing instead until you can get finance. 

Hadn't thought of that, would it require similar credit credentials?

CliveOfIndia

As above, leasing may be one option.  Alternatively, is there any chance that your employer may offer you a loan?  It's not that common for car purchase (they'll often offer loans for public transport season tickets), but there's no harm in asking.

CliveOfIndia

Wileecoyote11 said:

marcia_ said:

 How about leasing instead until you can get finance. 

Hadn't thought of that, would it require similar credit credentials?

Broadly speaking yes.  But with a lease, the lender can simply repossess the car if you fail to maintain payments, so there's a slightly better chance of being accepted than a standard unsecured loan.

marcia_

Wileecoyote11 said:

marcia_ said:

 How about leasing instead until you can get finance. 

Hadn't thought of that, would it require similar credit credentials?

 You will need to be on the electoral register and show income. You will still probably be credit checked but much more likely to be approved imao because its not for £15k 

Wileecoyote11

marcia_ said:

Wileecoyote11 said:

marcia_ said:

 How about leasing instead until you can get finance. 

Hadn't thought of that, would it require similar credit credentials?

 You will need to be on the electoral register and show income. You will still probably be credit checked but much more likely to be approved imao because its not for £15k 

I can do both, been here 6 months now.

I have tried PCH, is that the same as you and @CliveOfIndia are talking about?

CliveOfIndia

Wileecoyote11 said:

marcia_ said:

Wileecoyote11 said:

marcia_ said:

 How about leasing instead until you can get finance. 

Hadn't thought of that, would it require similar credit credentials?

 You will need to be on the electoral register and show income. You will still probably be credit checked but much more likely to be approved imao because its not for £15k 

I have tried PCH, is that the same as you and @CliveOfIndia are talking about?

Yes, PCH is just another name for leasing.  Note that it's different from a PCP inasmuch as you don't have the option to purchase the car at the end of the term by paying a balloon payment - which you can do with a PCP if you want.  You are effectively just renting the car for a fixed period of time.

MEM62

Wileecoyote11 said:

Hi Everyone, 

I have just returned after living in Australia from 2009-24. I've got a job with car allowance, property in Aus still and no bad credit history in either country.
Returned for the better weather no doubt  :-)

I have approx £2-3k in cash and am currently unable to access assets. I've tried getting car loans for around 15k but no-one will touch me unless I've got 3 years credit history (1 was 12 months).
You will have to rebuild your history as it is effectively wiped out after six years.   

My Mam and Dad have offered their house as security, but apparently to do that it needs a mortgage in order to get a second mortgage, which it hasn't.
Frankly, it would have been madness to put your parents house at risk to secure a car loan.   

My bank who I've been with since around 14 can't offer me loans yet.
Again, because you have no credit history.

I'm stumped as to what else to do, apart from get a car for £3k which isn't ideal for my job.
Borrowing money to buy cars is not the most sensible option.  You add interest to the cost of buying an asset with a value that falls like a stone.  It makes no sense but, sadly, many just don't get it.  Buy what you can afford to pay for with your cash.  Older does not automatically mean more problematic or unreliable.   

As I said, I am unable to access any of my current assets, any suggestions please?

If is is that important to your employer that you have an expensive or newer car then they should provide it. 

Wileecoyote11

MEM62 said:

Wileecoyote11 said:

Hi Everyone, 

I have just returned after living in Australia from 2009-24. I've got a job with car allowance, property in Aus still and no bad credit history in either country.
Returned for the better weather no doubt  :-)

I have approx £2-3k in cash and am currently unable to access assets. I've tried getting car loans for around 15k but no-one will touch me unless I've got 3 years credit history (1 was 12 months).
You will have to rebuild your history as it is effectively wiped out after six years.   

My Mam and Dad have offered their house as security, but apparently to do that it needs a mortgage in order to get a second mortgage, which it hasn't.
Frankly, it would have been madness to put your parents house at risk to secure a car loan.   

My bank who I've been with since around 14 can't offer me loans yet.
Again, because you have no credit history.

I'm stumped as to what else to do, apart from get a car for £3k which isn't ideal for my job.
Borrowing money to buy cars is not the most sensible option.  You add interest to the cost of buying an asset with a value that falls like a stone.  It makes no sense but, sadly, many just don't get it.  Buy what you can afford to pay for with your cash.  Older does not automatically mean more problematic or unreliable.   

As I said, I am unable to access any of my current assets, any suggestions please?

If is is that important to your employer that you have an expensive or newer car then they should provide it. 

A lot of companies provide car allowances, this is a small, family-owned company so cannot manage the overheads of company cars.
I'm not looking for an expensive car, just something that will be good for a lot miles and has decent tech to enable me to take and make calls.

Wileecoyote11

CliveOfIndia said:

Wileecoyote11 said:

marcia_ said:

Wileecoyote11 said:

marcia_ said:

 How about leasing instead until you can get finance. 

Hadn't thought of that, would it require similar credit credentials?

 You will need to be on the electoral register and show income. You will still probably be credit checked but much more likely to be approved imao because its not for £15k 

I have tried PCH, is that the same as you and @CliveOfIndia are talking about?

Yes, PCH is just another name for leasing.  Note that it's different from a PCP inasmuch as you don't have the option to purchase the car at the end of the term by paying a balloon payment - which you can do with a PCP if you want.  You are effectively just renting the car for a fixed period of time.

Yeah, I did try this, will have another shot but I think the lack of credit history will kill it. Thanks.