Fiesta

Car finance for bad credit.

  • No broker fees
  • We help all credit ratings
  • Buy from any reputable dealer
Start your application

Zuto is a credit broker, not a lender. Our rates start from 9.9% APR. The rate you are offered will depend on your individual circumstances.

Representative Example: Borrowing £5,500 over 48 months with a representative APR of 19.8%, the amount payable would be £163 a month, with a total cost of credit of £2,283 and a total amount payable of £7,783.

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1. Apply online

Tell us about yourself and how much you’re looking to borrow. You’ll get a quick decision and one of our Car Buying Experts will be in touch.

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2. Buy with confidence

Whether you’ve found your car or want some help in the search, we run a free vehicle and history check on anything you’re looking at.

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3. Get on the road

Once the lender has done their final checks and if you can proceed, we’ll pay the dealer so all you need to do is pick up the car.

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See how much you could borrow

Zuto is a credit broker, not a lender. Our rates start from 9.9% APR. The rate you are offered will depend on your individual circumstances.

Representative Example: Borrowing £5,500 over 48 months with a representative APR of 19.8%, the amount payable would be £163 a month, with a total cost of credit of £2,283 and a total amount payable of £7,783.

bad-car

Bad credit car finance with Zuto

If you don’t have a great credit score or have experienced problems getting credit before, you could still find car finance through Zuto’s panel of lenders. With over 10 years+ experience in car finance and car buying, Zuto is trusted by over 1.8 million customers and can help people who have had county court judgements, individual voluntary agreements or people who have been made bankrupt.

If you’re worried about being accepted for car finance, it’s useful to try and save a deposit (at least £500) towards your new vehicle, as this will reduce the monthly repayments of your overall borrowing and increase your affordability in the eyes of a potential lender. It may also help gain a better rate on your borrowing.

Here is some useful information to consider before applying for car finance if you’ve recently experienced money problems.

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Bankruptcy

Zuto can help people within six months of satisfying a bankruptcy order but before you apply, we’d recommend trying to rebuild your credit profile.

You can do this in a number of ways. For example, set up direct debits for your household bills to ensure you don’t miss any payments. Over a few months, this will indicate to a potential lender that you are up-to-date with your on-going monthly overheads. In addition, you could get a prepaid credit card where you preload money onto a card before using it to pay for things.

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County Court Judgements (CCJ)

A CCJ gets registered on the Register of Judgments, Orders and Fines for six years but it doesn’t rule you out of getting car finance.

If you’ve paid the full amount of a CCJ within a month you can get the judgment removed from the register. Meanwhile, if you paid after a month, you can get the record marked as ‘satisfied’ in the register. You need to contact the court to and prove payment to get the record changed and an administration fee will apply, typically £15.

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Late, missed or default payments

We can all forget to make payment on time or miss it with all the other demands of modern life. If you have accidentally missed a payment, we have lenders who will still offer finance.

To help your chances of approval, you can add a ‘notice of correction’, to your credit file. This is a statement of up to 200 words in which you can offer an explanation as to why you missed a repayment. Lenders may review this in determining whether to accept your credit application.

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Zuto customers would recommend us

Customers surveyed from 1st Sept 2016 to 28th Feb 2017

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Frequently asked questions

Our experts have the answers

What is ‘guaranteed car finance’?

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There is no such thing as guaranteed finance. No one can guarantee your application will be successful until they’ve taken your personal details, noted which car you want and checked your credit file. All these things will make a difference to your likelihood of being accepted or not, so if you see the words ‘guaranteed finance’, it’s usually a good reason to be cautious.

Will applying for a car loan affect my credit score?

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When we search for car finance options for you, we’ll perform a check on your credit profile. This is so we can try and match you with the most appropriate lender and best option available from our lending panel.

We’ll then contact the lender we think can offer the best finance option for your circumstances. They may choose to perform a full credit search, which will be noted on your credit history and can affect your credit profile. Or they may only perform a soft search, which can only be seen by you, not other lenders.

Which they decide will depend on individual circumstances. If you’re worried about getting credit, we’d recommend you have a look at your credit report before applying and see if there are any changes you can make to improve your credit score. You can access your credit report for free through one of our partners, Clear Score, click here.

Do Zuto charge any fees?

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Unlike other online brokers, Zuto will not charge any fees for checking vehicle history or helping arrange finance.

If you’re in need of a vehicle quickly, we do offer an express purchase service for some lenders. This guarantees payment for the vehicle within 24 hours and there’s a charge of £40 for this service, but it’s entirely optional.

In some cases, car dealers or lenders may charge an administration fee, but if this is the case, we’ll let you know.

I don’t have a job at the moment, can I still get car finance?

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Approval for car finance always depends on your personal circumstances and your ability to repay the loan. So, if you can show that you’re able to make the monthly payments, we’ll match you with a lender who’s happy to offer you the car finance you need.

Can I get car finance if I have bad credit?

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Zuto may be able to help regardless of your credit rating. We have helped thousands of people who have experienced credit problems in the past.

Can I still get car finance if I’ve been made bankrupt?

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If your bankruptcy has ended and you’ve been discharged, you can apply for finance again. Your bankruptcy usually lasts one year, and when it’s finished you’ll receive a letter which states that you are now ‘a discharged bankrupt’.

You may wish to wait a few months to try and rebuild your credit score before you start to apply for credit again, as it may be seen as negative if you start trying to get credit straight away. It’s also worth bearing in mind that if you’ve been made bankrupt, your credit score will have been severely damaged. This usually means you’ll be excluded from the best rates available, so your finance will cost more in the long run.

If you are still bankrupt, unfortunately we won’t be able to help you. This is not because we don’t want to, it’s because taking further credit at the level you’d need to buy a car, when you’re bankrupt, is legally not allowed.

I am in an Individual Voluntary Agreement (IVA) or Debt Management Plan (DMP), can I still get car finance?

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Zuto does have lenders who are willing to lend to people who are currently in an IVA, for example, if you have entered into an IVA and have to sell your vehicle to get a cheaper one. This can usually be arranged when the car you’re looking to sell is worth more than £5,000.

Being in an IVA will have damaged your credit score, and having a damaged credit score will affect the rate of interest you are offered on any finance options available to you and you are not likely to be offered the best rates.

When you’re in a DMP, you are still eligible to apply for finance. However, again you will find that the rates you are offered will be less attractive than those for people with good to perfect credit histories.

Can I get car finance with a CCJ?

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You may still be able to secure finance through Zuto if you have incurred a CCJ. If you paid the full amount of a CCJ within a month you can get the judgment removed from the register. Meanwhile, if you paid after a month, you can get the record marked as ‘satisfied’ in the register. You need to contact the court to and prove payment to get the record changed and an administration fee will apply, typically £15.

The longer ago you had the CCJ was, the less likely lenders are to take account of it. We’d recommend you look at any judgments against you on the register of judgments. This will cost £4. If the information on the register is wrong, you can contact Trust Online, who will check the details with the court.

I’ve suffered with money problems so how can I improve my credit score to get finance again?

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You can do this in a number of ways. For example, set up direct debits for your household bills to ensure you don’t miss any payments. Over a few months, this will indicate to a potential lender that you are up-to-date with your on-going monthly overheads. In addition, you could get a prepaid credit card where you preload money onto a card before using it to pay for things. These cards help you to build up a credit history but don't require any credit checks or proof of income to apply.

If you’ve simply missed a payment, you can help your chances of approval when applying for new credit by adding a ‘notice of correction’, to your credit file. This is a statement of up to 200 words in which you can offer an explanation as to why you missed a repayment. Lenders may review this in determining whether to accept your credit application.

If you’re worried about your current credit score, we’d recommend gaining access to your file. Our partner, ClearScore, lets you access your credit file for free.

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10am to 6pm Sunday and Bank Holidays