What Credit Score Do I Need For Car Finance? What You Need To Know

Wondering “what credit score do I need for car finance?” or “can you get car finance with a poor credit score or a CCJ?” You’re not alone. Credit scores matter, but they're just one piece of the puzzle. Here at Marsh Finance, we hear from customers all the time asking if their credit history will let them get financed on a Personal Contract Purchase (PCP) or Hire Purchase (HP) agreement.

Let’s dive in and help you understand what counts. We'll also give you smart tips to help you get the car you want.

👉 What credit score do you need for car finance?

👉 Do you need a high credit score for PCP Vs HP finance?

👉 What other factors matter beyond your credit score?

👉 How to improve your chances if your score is low

👉 Can you get financing with a sub-500 score?

👉 Can you get car finance with a CCJ?

👉 Pre-application checklist

👉 Your credit score is just one piece, but you can control it

👉 Final thoughts

👉 FAQs

What Credit Score Do You Need for Car Finance?

There’s no universal score that guarantees approval — every lender sets their own thresholds. But here’s a rough guide:

✅ Bottom line: Yes, you can get car finance with a lower credit score, but you might need to accept higher rates or specialist lenders. Learn more in our guide on Bad Credit Car Finance.

Do You Need a High Credit Score for PCP Finance vs. HP Finance?

Both PCP and HP agreements require affordability checks, but PCP often has tighter criteria:

• PCP finance may favour stronger credit scores and lower reliance on credit due to the balloon payment at the end.
• HP finance is often a better match for those rebuilding or with lower scores, since repayments are spread evenly and there's no hefty final payment.

Still valuable either way? Learn why your credit score is key to your car finance here: How Does Your Credit Score Affect Your Car Finance?

What Other Factors Matter Beyond Your Credit Score?

Lenders will also look at:

1. Payment history: Missing payments, overdrafts, and CCJs can count against you.
2. Credit utilisation: High balances compared to limits can be a warning sign.
3. Credit age and mix: Multiple types of credit and longer history can help.
4. Income vs. outgoings: You must prove you can afford the new car payment.
5. Recent credit applications – Too many checks can suggest financial distress.

How To Improve Your Chances If Your Score Is Low

Even with average credit, you can boost your odds:

• Check your credit report for mistakes and fix them.
• Set filings on the electoral roll to strengthen identity checks.
• Use direct debits to ensure your payments are always on time, it helps your score and looks good to lenders.
• Keep credit use low: aim for under 30% of your limits.
• Build a healthy payment record with utilities, credit cards, and small loans.
• Save a deposit: even a few hundred pounds shows responsibility and can improve your terms.

Can You Get Financing with a Sub-500 Score?

Yes, with specialist lenders. It might mean:

• Slightly higher APR
• Larger deposit requirement
• Emphasis on affordability over just credit scores

Can You Get Car Finance with a CCJ?

Absolutely. Having a County Court Judgment (CCJ) or past missed payments doesn’t mean your application is doomed.

Many lenders, including Marsh Finance, can look past older or settled CCJs — especially if you can show you’ve repaired your credit over time. The key is:

• Show you’ve addressed the debt responsibly
• Demonstrate stable, regular payments since
• Offer a strong deposit to reduce the borrowing risk

✅ Before You Apply: A Quick Pre-Application Checklist (Improving Your Score)

• Have you checked your credit score and report recently?
• Are you registered on the electoral roll?
• Do you have bank statements, payslips, or proof of income ready?
• Can you demonstrate stable payments and cover the new monthly cost?

Your Credit Score Is Just One Piece, But You Can Control It

Lenders look at the whole picture, including your payment history, income, stability, and credit profile. A lower score isn’t a dead end. It’s about showing consistency, reliability, and correct preparation.

Want to understand the full picture of your credit report? Dive into our guide — Understanding Credit Scores.

Final Thoughts

So, what credit score do you need for car finance? While a score above 700 gives you the easiest path, scores below this, or even with a CCJ, can still get approved by specialist lenders.

If you're aiming for PCP or HP finance, focus on showing affordability, stability, and proof of income. At Marsh Finance, we treat every application with care; you’re more than just a credit score.

Ready to explore your options?
Run a soft search today with Marsh Finance. It won’t affect your score, and you'll get a clear view of what finance deal you could qualify for. Start your journey here.

FAQs