Car Finance on Benefits

  • No Deposit
  • We help find you the perfect car
  • PCP and HP from 8.9% APR
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Get a Quote Does not affect credit score
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Securing car finance on benefits can present unique challenges. 

However, that doesn’t mean you should give up on owning your dream car. Support from CarMoney can help you find car finance for people on benefits.

We will slice through the market to present the lenders that are most likely to approve your application. This means you don’t waste time approaching lenders who may not even consider your application.

Finding car finance on benefits may seem daunting at first, but it isn’t impossible.

Representative Example: Borrow £6,000 with £1,000 deposit over 48 months with a representative APR of 17.9%, monthly payment would be £171.83, with a total cost of credit of £2,247.83 and a total amount payable of £9,247.84. CarMoney Limited can introduce you to a limited number of finance providers based on your credit rating and we will receive a commission for such introductions this can either be a % of the amount borrowed or a flat fee. This does not influence the interest rate you’re offered in any way. CarMoney is a broker not a lender



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We Help Find You the Perfect Car

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PCP & HP from 8.9% APR

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Free Check, No Mark on Score

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Living on benefits means dealing with a limited income, which can make traditional car finance options seem out of reach.

Many mainstream lenders may be hesitant to offer loans to individuals in this situation due to concerns about the ability to make repayments.
However, there’s a lot that you (and we) can do to make your application more likely to be approved by lenders.

When applying for car finance, it’s crucial to demonstrate financial stability, regardless of whether you are receiving benefits. This can include having a consistent source of income, even if it’s from benefits, and having a well-maintained bank account. Providing evidence of regular, on-time bill payments and responsible financial behaviour can boost your credit score and make your application more successful.

You should also remember to be realistic about the car you want to buy. Think carefully about your budget and your needs. We all love a high-spec car, but sometimes it just isn’t practical.

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By choosing CarMoney, you will increase your chances of finding car finance on benefits.

We work with a wide range of lenders, many of whom specialise in helping those with limited income or a poor credit rating get car finance. We’ll use your information to find the lenders that are most likely to approve your application.

At the same time, the type of loan you apply for can affect how likely it is to be approved.

If you’re having difficulty obtaining car finance on your own, consider exploring guarantor loans. This involves having a trusted individual (such as a family member or close friend) co-sign the loan agreement, essentially vouching for your ability to repay and agreeing to make the repayments if you can’t. This can provide added assurance to lenders and increase your chances of approval.

Saving for a deposit can significantly improve your chances of securing car finance. Even a modest down payment demonstrates your commitment to the purchase and reduces the overall amount of the loan. This can make lenders more willing to work with you, even if you are living on benefits.

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Obtaining car finance on benefits in the UK is indeed possible, though it may require some additional effort and research.

If you can demonstrate financial stability and are realistic about the sort of car you want, you can increase your chances of having a finance application approved.
Get a quote or contact CarMoney today.

Frequently Asked Questions

Can I get car finance on benefits?

Yes, it is possible to get car finance while receiving benefits. However, the eligibility criteria and terms of the loan may vary depending on the lender, your credit score, and the type of benefits you receive.

Which benefits might be considered for car finance eligibility?

Depending on the lender, some benefits, such as Disability Living Allowance (DLA), Personal Independence Payment (PIP), or Carer’s Allowance, may be counted as part of your overall income. However, each lender has its policies.

How does receiving benefits affect my eligibility for car finance?

Benefits can affect your eligibility for car finance, as lenders typically assess your ability to repay the loan. If benefits are your primary source of income, lenders may consider this alongside other factors when setting your loan terms.

Will my credit score still be evaluated for car finance on benefits?

Your credit score is an essential factor in the car finance approval process. Lenders will assess your creditworthiness to determine your ability to repay the loan. While some lenders may be more lenient regarding income requirements for benefits recipients, they will still evaluate your credit score.

How it works
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Inclusive Financing Solutions

Everyone deserves access to reliable transport. Our specialist car finance options help people on benefits so everyone can get around.

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Fast & Hassle-Free Approval

People on benefits can get approval quickly and flexibly, so they can secure the car they need when they need it.

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Quick and Easy Application Process

We simplify getting a car loan with a streamlined application process that removes the hassle and paperwork of buying a car.

Join thousands of happy customers

Our customers love our CarMoney Ninjas

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“Great service, Sean Davidson was great and was always trying to help and give me the easiest experience possible. Thank you very much Sean.”

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“Alan, who I spoke with on the phone, was amazing! He sorted everything out for me, it was so easy and was able to get my car the very next day. Fantastic!”

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“Sophie who sorted my finance out for car was amazingly nothing was too much trouble for her always kept me up to date. Five stars Sophie. Thanks for everything”

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“My ninja from start to finish Ellie McGavin I Needed a car it was complete from picking to collecting within 2 days friendly staff great communication brilliant.”

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“Excellent professional and courteous service nothing too much trouble James was thoroughly committed to helping me source my car”.

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CarMoney LIMITED is authorised and regulated by the Financial Conduct Authority (FCA) for consumer credit activity and our registration number is 674094. Representative 17.9% APR. Over 18’s only. CarMoney IS A BROKER NOT A LENDER.

REGISTERED ADDRESS: Pioneer House, 2 Renshaw PL, Motherwell, ML1 4UF, Scotland.Company Number: SC467274.

All finance is subject to status and income. Written Quotation on request. CarMoney Limited can introduce you to a limited number of finance providers based on your credit rating and we will receive a commission for such introductions.