Bad credit car finance is designed to cater to a wide range of people who may not otherwise qualify for conventional car loans. If you fit into any of the following categories, a bad credit car loan may be the best option for you:
Customers with defaults
Defaults on your credit file can cut off finance options from many of the bigger banks and can be difficult to overcome, as they stay imprinted in your history for five years. However, we partner with lenders who are willing and able to work with your situation. Our consultants know the product market, so we can help you find the right deal to fit with your profile.
Customers who want an older/used car
Because most car finance requires your car to be used as security to back up the loan, lenders can be picky when it comes to the types of cars they accept as collateral. Many major lenders will refuse to finance cars older than ten years. Our lenders are flexible, with some offering finance on vehicles up to 20 to 25 years old and others not capping their car age limit at all.
Customers with little to no borrowing history
To a lender, no credit history is about as good as having a bad one. Because they have no indication of how reliable you are as a borrower, most will swiftly reject your application. However, even if you haven’t borrowed before, our lenders can approve your car finance application if you can show us that your income is sufficient to comfortably handle repayments.
Customers who earn income via Centrelink
Borrowers whose Centrelink benefits make up a more substantial percentage of their income also struggle when it comes to getting approved for car finance. Our lenders are willing to work with customers who have alternative forms of income like Centrelink, especially those who derive up to, or more than, half of their income through benefit payments.
Casual employees and those under short-term employment
Most mainstream lenders will require applicants who work casually to have worked with the same employer for at least 12 months consistently, which isn’t always the case. Specialist lenders don’t impose the same restrictions on employment and are more open to accepting shorter-term employment in their car loan applications.
While part of conventional car loan application requirements typically involves supplying employment contracts and payslips, our specialist lenders can assist self-employed applicants, who may not have their financials up to date, explore their low doc finance options.
Customers who are ex-bankrupt or in a Part IX
Discharged bankrupts and those under a Part IX debt agreement face an uphill battle to access any sort of finance, including car loans. Our lenders are generally more interested in your current ability to service a loan than your past, so one of our consultants will lead you through the process and find the right finance deal to help you buy your car.