Eligibility for car loan

Deva2005

Hi all

Just seeing if anyone has any experience/guidance to offer..

Recently needed to repair my car, and unexpected, Bumper offered credit. Initially about £ 1,700, then yesterday, shot up to £ 4,800.

I know this is based on a soft search, but can anyone offer an comment about how this level of credit on a soft search only could transfer to a proper loan application?

Many thanks

David

Grumpy_chap

https://forums.moneysavingexpert.com/discussion/6656384/eligibility-for-car-loan

Are you saying you need credit to pay for the car repairs that have already been carried out?

OR, are you saying that, having incurred the costs of the unexpected repair, you now wish to change your car for a newer one and that will require credit?

What was the nature of the car repair required?

Deva2005

Sorry, I wasn't clear at all..

Bumper have offered my £ 4,800 credit limit via a soft search.

I will use this to repair my car.

But, I am thinking I probably need to get a newer car now, this one is starting to get tired.

So, if I get £ 4,800 via a soft search, I was wondering how this might translate into a loan opportunity from a lender via a hard search and application.

Does the fact I have been offered this much from Bumper mean I could get offered the same, or more, via a lender for buying a new car?

Hope that might make a bit more sense?

David

retiredbanker1

I had a quick look at Bumper's website.

Can you clear this debt within the 6 months interest free??

I would be worried that they do not mention what happens after 6 months if you still have an outstanding balance and at what rate will they be charging you (It won't be cheap!).

Have you had a look at MSE site's loan eligibility section?

This would give you an idea of what is available to you.

Deva2005

I have a 9no month arrangement with Bumper interest free to pay off the repair

I have looked at the eligibility section, seems there are loans with a 90/100 people in my position getting accepted.

Would it be getting ahead of myself to think it would be a 'slam dunk' to get the loan I'm needing to get a new car?

retiredbanker1

https://forums.moneysavingexpert.com/discussion/comment/81894018#Comment_81894018

IMO V ery ahead of yourself.

What do your credit files show about you?

Deva2005

Score is quite high, I don't have any arrears, but not had a loan or any type for a number of years.

I was assuming that the good payment history with Bumper would help any lending decision?

I have been using Bumper since last September and yesterday was my third time I have used them and paid it off without issues

Grumpy_chap

OP - do you need nearly £5k to repair your car?

What age, mileage, value is the car?

What is the fault with the car that needs repairing?

Deva2005

I don't need the 5k, the repair needed is about 2.5k. Leaking diff on BMW 5 Series. It's a 2010 with 160k mileage.

Not sure of the value, but as it's the main car, I want to repair it and then look to sell it and get a newer one

Grumpy_chap

Looking on Autotrader, 2009 - 2011 BMW 5-series 125k miles or more are listed from £1.7k.

If yours truly needs a repair costing £2.5k it might be time to cut your losses and get that car scrapped.

Is there something about your car that makes it worth considerably more?

What value does WBAC indicate for your current car in working condition?

Deva2005

Not sure about values, it was from my late father's estate when he suddenly passed away a few years ago, so has some sentimental value. The engine is in excellent condition, just the blooming diff showed up with a leak yesterday....leaving me in a very difficult situation.

If I do want to go for a newer car, I don't have any deposit, so thought it would be an idea to at least get this to a point where I can get a px from a garage rather than £ 100 for scrap?