No Guarantor Car Finance To Suit Your Budget

Car Finance

Rates from 10.9% APR. Representative APR 19.9%

Rates from 10.9% APR. Representative APR  19.9% Representative Example: Borrow £6,000 with £1,000 deposit over 48 months with a representative APR of 19.9%, the monthly payment would be £182.26, with a total cost of credit of £2,748.61 and a total amount payable of £8,748.61. Car Loans UK is a broker not a lender. This is an example only, all finance subject to status. Lender fees may apply.

What Is No Guarantor Finance?

Need car finance with no guarantor? Look no further, because Car Loans UK is here to help.

Buying a new car is, for many, the first major purchase they make as an adult. Because whether buying new or second-hand, most people don’t have the lump sum required to buy outright. Furthermore this means that a loan or financing is likely to be needed in order to make the purchase.

If you do not have anyone who is able to act as your guarantor on a car loan, you will probably decide to consider a loan without a guarantor. Simply put, this means that the loan would be entirely your responsibility from start to finish. Car Loans UK could help you get car finance, no guarantor needed.

Car Finance

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Find out how much you could borrow

Rates from 10.9% APR. Representative APR  19.9% Representative Example: Borrow £6,000 with £1,000 deposit over 48 months with a representative APR of 19.9%, the monthly payment would be £182.26, with a total cost of credit of £2,748.61 and a total amount payable of £8,748.61. Car Loans UK is a broker not a lender. This is an example only, all finance subject to status. Lender fees may apply.

How Does Car Finance Work?

Car Finance

The Initial Deposit

This step isn’t always required. Although, placing down a deposit when completing a car finance agreement is highly recommended.

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Repayment Plans

Depending on the agreement that has been put in place for example HP, PCP & CS, your repayment plan may vary.

Car Finance

Contract Completion

Upon completion of your contract, you will then have a number of different options available to you. Which we will state below.

No Guarantor Finance In More Detail

At Car Loans UK we have a multitude of FCA-regulated car finance lenders on our panel. This, therefore, means you are in safe hands and safe from any dodgy dealers when you choose us to assist you on your car finance journey. All of our no-guarantor car finance experts have years of experience within the car finance industry. Because of this, we could help you find the car of your dreams in a timely and streamlined manner from start to finish.

As a reputable car finance broker, we remain completely impartial regarding which no guarantor car finance deal to choose. Because of this, we will always ensure that you get the best financial deal possible.

The Advantages
There is a reason why no guarantor car finance tends to be a popular option. That is because there are several advantages to choosing this type of finance.
  1. No guarantor car finance is usually fairly simple and quick to set up. This is because only you are involved so there is no need to rely on anyone else providing information. The required checks and verifications can be carried out very quickly, so a decision is likely to be made in a short space of time.
  2. As loans that do not require a guarantor are so popular, there is usually a wide choice available. Then this means that when you compare no guarantor car finance products, more options to suit your particular circumstances and requirements are likely.
  3. Because it is only you involved in taking out the loan, you retain your independence.
The Disadvantages

Whilst there are undeniable advantages to taking out a car loan without a guarantor, there are also disadvantages that need to be considered too.

  1. Car finance lenders are less keen on providing loans without a guarantor to those with limited or poor credit histories. Because it increases their potential risk as they know that if you can’t keep up repayments, they could lose their money. This means that the criteria they apply to applicants may be stricter than if a guarantor was available.
  2. If you are unable to easily evidence your level of income or your income is irregular, the options for no guarantor car finance are likely to be fewer.
  3. If you are unable to keep up repayments on a loan without a guarantor it is likely that the lender will take steps to recover their money. This could result in your credit rating being adversely affected and even court proceedings being instigated.
The Loan Process

We understand that working out which loan is the best and making sure you complete the process correctly can be daunting. Because at Car Loans UK, we help to make the process easy for you.

Instead of completing the application process numerous times, you can just enter your details once on our site and allow our smart technology to search for the loans for you. Then quotes are usually available in seconds for you to review. Then once you have made a decision, you can apply and we will take on the form filling for you. Not to mention your personal and financial data is always protected. We make sure of this. Because we take your security seriously.

We’re Here To Help

There are several reasons people can be nervous about applying for a loan without a guarantor, including:

  • Having a bad credit rating
  • Not having a credit rating at all yet
  • Never having had a loan previously
  • Being on benefits or self-employed

Furthermore, the good news is that we may be able to help. Because even if you have been refused a loan previously, we may have access to lenders who will assess your suitability differently.

It is important to prepare ahead of your guarantor finance application. Because your credit score will go through a detailed review, s it will help to be as honest and as cooperative as possible. Also, you should have documents such as payslips and bank statements at hand.

Then make sure that all of the information that you give is up to date and correct to the best of your knowledge. Also, you should get an up-to-date credit report from a leading finance agency to have an in-depth understanding of your finances ahead of your application.

Requirements

Every lender’s requirements will differ slightly. However, there are some rules which are generally applied across the board for obtaining finance.

  1. You must be at least 18 years old to take out a loan in the UK
  2. Generally, you must have been resident in the UK for at least 3 years
  3. You must not currently be registered as bankrupt

It is also likely to improve the options available to you if you have a full UK driving licence, have a good credit score or one which is improving and can easily provide proof that you can afford the loan. Also being registered on the electoral roll can also increase the number of lenders likely to offer financing.

Taking out loans without a guarantor can be more difficult if you are on benefits, have a poor credit rating, are self-employed or do not have a regular income. However, whilst options may be reduced, there are lenders who will provide loans without a guarantor in those circumstances.

How To Compare

When you take out car finance, you are making a long-term commitment, so it makes sense to compare no-guarantor car finance options carefully to ensure that you get the best product for you.

  1. It is important to look at the APR, (annual percentage rate) when comparing loans. Because this tells you the interest rate you will pay over the term of the agreement.
  2. The length of the loan is another important consideration. Although a loan over a longer-term may allow you to pay every month, but may also cost you more overall once you finish paying it off.
  3. Compare finance options from different lenders. Because it may be easy to go to your bank, they will probably be tied to only offering you their products. This could mean that they can’t offer the best deal for you. An independent broker such as Car Loans UK is not tied and can therefore offer the opportunity to compare deals across the market.

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Car Loans UK is a trading style of BMG FG (UK) LTD, a company registered in England and Wales. (Company number: 12382512, Registered Address: 4th Floor, Kingsgate, Wellington Road North, Stockport, Cheshire, SK4 1LW. We act as a credit broker and not a lender and are authorised and regulated by the Financial Conduct Authority for consumer credit FCA no.928674. Car Loans UK can introduce customers to a limited number of finance providers based on overall credit profile and we receive a commission for such introductions, this will not impact the rate you are provided. We do not charge a fee to the customer for arranging the finance. This is a fixed payment or percentage, but can vary by lender. Further information is available on request. Written quotations on request. All finance subject to terms and status Data Protection Registration No.ZA766848.

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