A woman driving her new car

Self-employed car finance

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    See if you'll be approved with no impact on your credit score
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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 £7,000 over 48 months with a representative APR of 19.3%, the amount payable would be £205 a month, with a total cost of credit of £2,831 and a total amount payable of £9,831.

Car finance when self-employed

Running your own business can be very rewarding, giving you the freedom to work your own hours and expand your career on your own terms. When you’re self-employed you can sometimes encounter financial challenges, but if you’re a freelancer or self-employed, car finance can be simple.

We work with a trusted panel of lenders who understand, and offer specific products, which meet the unique considerations of self-employed work or running your own business.

Finding the right car finance might even be an essential part of growing your business, so Zuto is here to help you get it right. We’ll do our best to find you a car finance deal that suits your working situation and personal circumstances.

Apply for a quote now, call us for advice or keep reading for more information.

Car finance calculator

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Types of car finance if you’re self-employed

There’s the same variety of car finance options for self-employed people as anyone else. The three main types are:

  • Hire Purchase (HP) – the most popular type of used car finance, you pay off the value of the car in monthly payments, plus interest over a set period. You can pay to own the car outright at the end of the contract.
  • Personal Contract Purchase (PCP) – more popular with new cars, with PCP your monthly payments cover the car’s depreciation. You can make a balloon payment to own the car outright at the end of the contract.
  • Personal loan – you can take out a loan to cover the cost of the vehicle, which is yours from the start.

Find out more about car finance options.

Quick things to think about

Your car finance quotes and eventual agreement will be based on numerous factors. Today, lenders understand there are many different ways of proving your earnings.

Proving your income can be challenging for people who are self-employed, so we have more details below.

How to prove your income if you’re self-employed

Most lenders want to see proof of earnings. That applies as much as if you’re employed, self-employed, unemployed or receiving benefits.

There are several different kinds of self-employed status, and which is the best way to prove your earnings may differ depending on which category you fall into. We may require:

  • Bank statements
  • Accounts
  • Tax returns

We have over 15 years’ experience in helping people who are self-employed get car finance. Once we know more about your situation and the kind of deal you’re looking for, we’ll be able to advise you about the proof of earnings you’ll need to provide.

Will applying affect my credit score?

Simply, no – applying for car finance quotes won’t affect your credit score.

A ‘hard’ credit search will only be carried out with your consent, and only if you’re approved and have decided to proceed with your car finance offer.

Being self-employed with bad credit

Bad credit shouldn’t stop you from finding self-employed car finance.

We work with a panel of lenders who are used to helping drivers with poor or bad credit ratings, whether that’s because of a short history – such as for young drivers – or measures including county court judgements (CCJs).

If you have a bad credit score, there are some things to think about:

  • Try to improve your credit rating – whatever kind of credit score you have, there could be some easy things you can do to improve it, such as making sure you’re on the electoral register.
  • Find a guarantor – guarantors are usually family members, like parents, who know you well and will vouch for you, and who will make the repayments if you can’t. Even with bad credit, many people can still get car finance without a guarantor.

Whatever your situation, the Zuto team have lots of experience in finding car finance for self-employed people, or those with bad credit. Just get in touch and we’ll see how we can help.

Useful information and guides

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    Find out about different types of car finance

    Get to grips with the most popular car finance options and find the right one for you.

    Read our guide
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    How to get car finance with a bad credit score

    No matter your credit score, we can help you find a car finance agreement that works for you.

    Read our guide
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    Talk to one of Zuto’s car finance experts

    Our team understands the complexities of being self-employed and are on hand to help you.

    Contact us

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