HP: You pay a £1,500 deposit and borrow £13,500 at 19.9% APR over 60 months. The monthly payment is around £357 and the total repayable is about £22,915, including the deposit.
Car Finance
eligibility check
Compare finance options from trusted UK lenders and see what your next car could look like.
Quick decision Buy from any reputable dealer No broker fees
Quick decision Buy from any reputable dealer No broker fees Car Finance Eligibility
What Is Car Finance Eligibility?
Deciding on the perfect car is a big decision to make and is a challenge in itself. Then, you have to choose which finance deal is best suited to your needs, and that can make it even trickier. There are several routes you need to consider and at Car Loans UK, we are here to make it as smooth a ride as possible. With our smart technology, we help you shop around for the best deals, so you can choose the right one for you.
But first, we need to explore what car finance methods exist and learn about the options available to you.
Eligibility
Who can apply?
Every lender has their own eligibility criteria, but you may be able to apply if you:
Are aged 18 or over
Live permanently within the UK*
Have a regular source of income*
Can demonstrate affordability
Have an existing vehicle finance agreement approaching completion or requiring refinancing
*Applications are assessed individually, meaning finance approval will always depend on your personal circumstances and lender criteria.
Why choose us?
Why choose Car Loans UK?
Financing your car should be simple, transparent and tailored to your circumstances. That's why Car Loans UK works with a panel of UK lenders, helping eligible customers explore finance options through one straightforward application rather than applying to lenders individually.
Whether you're looking for a new finance agreement on a used car or to refinance your PCP balloon payment and keep your current vehicle for longer, our team is here to support you from application through to completion.
Car Loans UK
Applying Directly to One Lender
One simple online application
Separate application for each lender
Access to a panel of UK lenders
One lender's products only
Apply in around 60 seconds
Individual application process
Experienced UK-based support
Varies by lender
Finance options for a wide range of credit profiles
Depends on the lender's criteria
Car Finance Broker
Worked cost example
To illustrate how monthly payments differ, consider a £15,000 car with a 10% deposit and a 60‑month term. We’ll use a representative APR of 19.9%. In this example:
PCP: You pay the same £1,500 deposit but only finance the depreciation. If the car’s guaranteed minimum future value (GMFV) after five years is £6,000, you borrow £7,500. At 19.9% APR the monthly payments are about £198. If you want to own the car at the end you pay the £6,000 balloon, bringing the total cost to around £19,397.
Personal loan: Borrow the full £15,000 at a typical 10.9% APR over 60 months. The monthly payment is about £325, and you’d pay £19,523 in total.
These figures are illustrative only; actual rates depend on your credit profile and the lender. A deposit reduces the amount you borrow, which in turn lowers monthly payments and total interest.
QUICK AND SIMPLE FINANCE TOOL
USE OUR FINANCE
CALCULATOR
Discover how much you could borrow
before you apply
Car Loans UK is a credit broker, not a lender. Rates from 10.9% APR. Representative 21.6% APR (fixed).
Representative Example (Hire Purchase): Borrow £6,000 with £0 deposit over 60 months with a representative 21.6% APR (fixed). 60 monthly payments of £157.92. Final Option to Purchase Fee: £10. Total cost of credit: £3,485.20. Total amount payable: £9,485.20. Car Loans UK is a credit broker, not a lender. This is an example only; all finance is subject to status. Lender fees may apply.
CAR LOANS UK: HOW DOES IT WORK?
A step by step guide:
Our aim at Car Loans UK is to find you the perfect vehicle and finance plan. Our experienced consultants do the hard work,
saving you the time and effort. We will actively source you the ideal used car and finance package from our panel of lenders.
STEP 01 ⸺
FILL IN
DETAILS
Fill in your details using the form above or click here to begin the process.
STEP 02 ⸺
WE FIND YOUR
PERFECT CAR
We find you the perfect used car. Whether you have a specific make or model in mind, or just want a 5-door family car with air conditioning, our team will find the right car for your needs.
STEP 03 ⸺
SOURCE
FINANCE
We work with a panel of UK lenders to try and find you a finance agreement and payment plan that suits your budget. We carry out the relevant checks and keep you informed every step of the way.
So, let Car Loans UK take the strain of searching for a new car and finance plan away, and begin your journey today.
FAQs
If you have any further questions about car finance, our friendly team is here to help. Speak to an expert today for free support and guidance.
CONTACT USCar finance is essentially a loan that you can take out to pay for a new or used car. When buying a car, nearly every dealership will offer you a finance arrangement. This is because car finance is a major source of profit for them and, for you, it can be the ideal way to cover the cost of a new car.
However, there are several types of car finance out there. We take a further look.
If your credit limit allows, you can buy a car on a credit card.
Consider: the APR could be higher and not all dealerships accept credit cards. Those who do may levy additional fees as the card provider will charge them a percentage of the transaction.
Borrow the amount you need to purchase the car outright and then pay it back to the bank or lender. The APR on the loan might be high, but there isn’t a requirement for a deposit, and you will own the car from the start.
Consider: you’ll need a good credit rating in order to secure good loan terms and there could be penalties for paying the loan back early.
As dealerships and lenders carry out a credit check as part of the car finance application process, it’s always best to check if your credit score is good first and foremost. If it is, it’s likely you will be accepted for car finance.
Yet, there are a few things to consider before you apply that could help your car finance eligibility. For example, you need to ask yourself how much do you need to borrow, how much can you afford to repay each month and whether there will be any additional costs involved when leasing or buying the car? And not forgetting the ongoing costs of fuel, insurance and so forth once you get the keys.
Once you are comfortable with your expenditure and know whether you have a good credit rating or not, you may have a better idea about your car finance eligibility.
Finding car finance is quick and easy with CarLoansUK. All you need to do is enter your details and our smart technology will get to work instantly. We’ll find you quotes in seconds, so you can see which is right for you and apply, meaning all the paperwork will be down to us. Rest assured that our team will find the perfect car for you.
Our smart technology enables you to make the right financial decisions on all major car finance products. We have access to the best deals, 24/7 and our secure website means your personal and financial data will always be safeguarded.
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