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 Ranges Do Lenders Use For Car Finance?

UK car finance lenders do not use one universal score, but most decisions broadly align with how credit reference agencies classify credit risk.

✅ 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.

Why Does My Credit Score Look Different Everywhere?

Your credit score varies because each credit reference agency uses different data and scoring models to assess your credit history.

Each credit score agency uses different data, which is why your score will fluctuate depending on who you use to check your score.

✅ 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?

PCP finance typically requires stronger credit profiles than HP because lenders take on more risk due to the final balloon payment.

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 assess affordability, stability, and overall risk, not just your credit score, when deciding whether to approve car finance.

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 a low or average credit score, practical steps can significantly improve your chances of being approved for car finance.

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?

Car finance is still possible with a credit score below 500, but approval usually depends more on affordability, income stability, and deposit size.

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?

A County Court Judgment does not automatically prevent car finance, especially if the debt is settled and recent payment behaviour is stable.

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

What credit score do you need to get car finance in the UK?

There’s no fixed credit score that guarantees approval — each lender is different. However, as a general guide:

• 700+ (Excellent) – Best rates and flexible PCP or HP terms
• 600–699 (Good) – Competitive deals, possibly with a small deposit
• 500–599 (Fair) – Finance still possible but expect higher interest
• Below 500 (Poor) – Specialist lenders may help, but rates and deposits are typically higher

👉 Worried about your score? Check if you’re eligible with a soft search at Marsh Finance, it won’t affect your credit.

These ranges vary by credit reference agency. See the table above for CRA-specific bands.

Can I get car finance with a bad credit score?

 Yes — even with a poor credit score, many people get approved through specialist lenders. At Marsh Finance, we regularly help customers with missed payments, defaults, or limited credit history find finance that works for them. 

 💡 Explore your options with our bad credit car finance guide or start a soft search now. 

Is PCP or HP better if I have a low credit score?

If your score is on the lower side:

• HP (Hire Purchase) is often more accessible, equal monthly payments and no large final payment
• PCP (Personal Contract Purchase) can be tougher to qualify for, due to the balloon payment
  👉 Find out what’s right for you — try a no-impact soft search with Marsh Finance here.

Can I still get car finance with a CCJ or default?

 Yes. Lenders like Marsh Finance look at the bigger picture. If your CCJ is settled or you’ve made steady payments since, you may still qualify. A deposit and proof of affordability help your case.

Do lenders only care about my credit score?

Not at all. Lenders also assess:

• Your income and outgoings
• Payment history (missed or late payments)
• How much credit you’re using
• Recent credit applications

✅ Show you’re financially stable, and your score becomes just one part of the story. Run a quick finance check with Marsh now.

How can I approve my chances of approval with bad credit?

Try these smart steps before you apply:

• Fix errors on your credit report
• Register on the electoral roll
• Use direct debits to show consistent payments
• Keep credit use below 30% of your limits
• Save a deposit: even £200–£500 can help

📈 Ready to apply? Get a car finance quote with no credit impact here.

Can I get car finance with no credit history?

 Yes, but it can be more difficult. With no credit footprint, lenders have little data to assess risk.
👉 Marsh Finance works with first-time borrowers too, start your soft search today. 

Will applying for car finance affect my credit score?

 Only a hard search affects your score. At Marsh, we offer a soft search tool to check your eligibility first, with no impact on your credit rating.
🔍 See what you could borrow today: it’s quick and won’t harm your score. 

What’s the lowest credit score you can have and still get finance?

 There’s no set minimum. We’ve helped people with scores of 500 secure finance, especially if they can show affordability and stable income.
🚗 Want to know if you qualify? Try a soft search with Marsh Finance here. 

Does having a deposit help with approval?

Absolutely. A deposit shows commitment, reduces the amount you need to borrow, and improves your chances, especially if your score is lower.
💰 Even £200–£1,000 can make a big difference. Ready to get started? Check your options now.

Do I need excellent credit for 0% car finance?

Yes. Most 0% or manufacturer-subsidised deals are reserved for applicants with excellent credit profiles and low risk indicators.